Mileage Rate Increases to 70 Cents in 2025
Just a reminder that your mileage deduction will increase to 70 cents in 2025.
The standard mileage rate will increase 3 cents to 70 cents starting January 1, 2025. We believe this is first time that this number starts with a 7.
The mileage rate for medical costs will remain at 21 cents and the rate for charitable purposes will also remain the same at 14 cents per mile.
This rate applies to both fully-electric and hybrid vehicles along with gasoline and diesel-powered vehicles.
Remember that part of this mileage rate includes a depreciation component and if you sell the vehicle this may result in a gain on sale that you may have not been counting on.