Updated Mileage Rates for Balance of 2026
Earlier this month, the IRS announced new rates in optional standard mileage rates. For business use, mileage rates will increase from 72.5 cents per mile to 76 cents beginning July 1, 2026. The announcement noted that the modification of rates is due to the recent increases in the price of fuel.
The following chart shows mileage rates for the first half of 2026 and the increased rates for the balance of the year.
| Mileage Rates for | January 1 – June 30, 2026 | July 1 – December 31, 2026 |
| Self-Employed and Business Use | 72.5 cents | 76 cents |
| Charity Use | 14 cents | 14 cents |
| Medical | 20.5 cents | 23.5 cents |
| Military Moving | 20.5 cents | 23.5 cents |
Announcement 2026-11 was published in the Internal Revenue Bulletin, on July 13, 2026. The announcement stated that “the revised standard mileage rates set forth in this announcement apply to deductible transportation expenses paid or incurred for business, medical, or moving expense purposes on or after July 1, 2026, and to mileage allowances that are paid both (1) to an employee on or after July 1, 2026, and (2) for transportation expenses paid or incurred by the employee on or after July 1, 2026.”
Be certain to update your expense report forms and notify employees of the changes.
As always, should you have questions on this or other matters affecting you or your business, please call 215.675.8364 or email us to speak with a CPA today.
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