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The standard mileage rate is now $0.655 cents per mile, an increase of $0.03 cents from the last increase in June 2022.
How To Calculate Mileage Costs Total up your miles. For this example, your total is 500 business miles. Multiple that number by the $0.655 standard mileage rate for business. 500 business miles multiplied by $0.655 is $327.50. Your deduction would be $327.50.
To calculate your cost per mile, divide your total expenses for the month by the total number of miles you drove that month. For example, if your expenses totaled $3,000 and you drove 10,000 miles, your cost per mile would be $0.30.
Charging mileage to customers at the IRS rate The IRS has now announced the 2024 IRS mileage rate, which stands at 67 cents per business mile. Regardless of how much you decide to charge customers per mile, the charge is a part of your income and will be taxed ingly.
Up to 5000 km, the CRA mileage rate for 2023 is 68 and after 5000km it is 62. Therefore you would calculate your reimbursement like this: 5000 (first 5000 km) x 0.68 = $3400 (Your reimbursement for the first 5000 km) 1000 (Remaining km) x 0.62 = $620 (Your reimbursement for the km after the first 5000)

People also ask

Divide the total distance travelled by the amount of fuel used. The result will give you your vehicles mileage in miles per gallon (MPG) or kilometres per litre (KPL), depending on the unit of measurement used in your region.
Calculating cost per mile becomes a simple equation once you know your mileage and total expenses. Divide your total expenses by the total number of miles driven, and the result is your cost per mile.
Full logbook The best evidence to support the use of a vehicle is an accurate logbook of business travel maintained for the entire year, showing for each business trip, the destination, the reason for the trip and the distance covered.

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