Most recently the IRS released the IRS 2018 Standard Mileage Rate and in preparation for the 2019 IRS mileage rates, we’re creating this page in advance to keep you updated on mileage rate changes as they happen.
So, why do we update this page every year? Isn’t the standard mileage rate a fixed rate? Unfortunately, the mileage rate is not set value. The amount-per-mile fluctuates on a yearly basis by a penny or two, up or down.
For instance, in 2017 the rate was $0.535 per mile. In 2018 it’s $0.545 per mile. In 2019? Well, we don’t quite know yet (though, we’d guess it might rise a penny to $0.555) but when we do we’ll post it here as soon as the numbers are released.
What is the IRS 2019 Standard Mileage Rate?
Beginning on Jan. 1, 2019, the standard mileage rates for the use of vehicles during the course of business is: TBD.
|Business Mileage||54.5 cents per mile|
|Medical Mileage||18 cents per mile|
|Charity Mileage||14 cents per mile|
Expense Actual Costs: What Can I Deduct In 2019?
- Lease Payments or Interest On A Vehicle Loan
- Gasoline & Fuel Costs
- Oil & Maintenance
- Vehicle Repairs
- Parking Fees
- Most Other Vehicle & Driving Related Fees
- View the complete list here
Why would you choose to expense actual costs vs. the standard mileage rate in 2019? Well, this isn’t cut-and-dry, it’s going to be a tough decision for some. Since you can’t utilize both deductions you’ll have to do the math and determine whether it makes more sense to deduct all vehicle-related expenses (that apply) or take the standard deduction of $0.545 per business mile.
The IRS attempts to make it easier for the average person to file business-use deductions for auto travel, which is why they created the standard mileage rate, to help offset fuel, lease payments and even depreciation.
What is the IRS Standard Mileage Rate?
The IRS allows for each mile driven by the taxpayer for business, charitable, medical or moving purposes to be added as a tax deduction known as the standard mileage rate. The standard mileage rate can be taken in lieu of actual costs incurred when calculating deductible automobile-related business expenses.
Learn more about the 2018 Standard Mileage Rate
Who Can Use The IRS Standard Mileage Rate Deduction?
- Anyone that drives for business purposes
- Uber, Lyft & other ridesharing services
- Real estate agents
In addition to business mileage, there is also an exemption for moving and charity. What does this mean for you? It means that you can deduct the IRS-approved amount towards every mile you drive related to moving or charity.
Do you drive for a charity like Meals on Wheels? Did you move or help a friend move? The mileage you drove for these activities is deductible at the standard rate.
How To Keep Track Of Your Mileage
Keeping receipts and accurate mileage logs can be incredibly difficult and monotonous. Not everyone wants to write down their mileage every single time they get in the car. Take real estate agents or field sales reps for example.
These types of professionals are in their car every day, sometimes all day. For them, keeping every single paper receipt on file and writing down mileage in a paper mileage log is an absolute chore.
Everlance was created to solve this problem!
With Everlance, keeping track of business mileage and expenses only takes a few seconds. Everlance uses GPS to automatically track every drive and calculates your deduction immediately, based on the current standard mileage rate.
The best part? The fact that you don’t really have to do anything! The app works silently in the background and all you have to do is classify the trip with a swipe. Was it a personal trip? Swipe left. Was it a business trip? Swipe right.
It’s that easy.
In addition to mileage, you can also keep track of business expenses and revenue.
This means that you can track your entire business financial picture just as easily as you can track miles.
Have a receipt for a toll or a parking garage? Just take a snapshot and Everlance stores it securely in the cloud. If you want, you’ll even have the option to link your credit card or bank account directly to track expenses automatically!
The automatic expense tracking feature is amazing and quite literally saves businesses over 100 hours vs. manually entering data at the end of the month, or end of the year.
Imagine, all you had to do to track your deductible expenses was download an app and link your bank account & credit card? With Everlance you can, and aside from a few manual requirements, such as swiping to classify trips, you’ve got an automated solution right in your pocket!
Of course, what good is all of this great data if you can’t do anything with it? Whenever you’re ready to do your taxes you can simply export the data into a file and upload it to your favorite tax software or give it to your accountant.
It’s that easy when you use Everlance.
IRS Standard Mileage Deduction Rates: Previous Years
|2018 Standard Mileage Deduction Rate||54.5 cents|
|2017 Standard Mileage Deduction Rate||53.5 cents|
|2016 Standard Mileage Deduction Rate||54 cents|
|2015 Standard Mileage Deduction Rate||57.5 cents|
|2014 Standard Mileage Deduction Rate||51 cents|
|2013 Standard Mileage Deduction Rate||56 cents|
|2012 Standard Mileage Deduction Rate||55.5 cents|
|2011 Standard Mileage Deduction Rate(s)||51 cents
|2010 Standard Mileage Deduction Rate||50 cents|