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Driving to Your Next Contract? The 2026 Mileage Rate Is 72.5¢

Writer: Susan Watkins
Susan Watkins
Dec 30, 2025
2 min read
Bright shared kitchen with an island in a furnished ReNests home for healthcare travelers

A lot of travelers drive to their contracts. Some put thousands of miles on a car in a year, between the drive in, the drive home and everything in between. On December 29, the IRS announced its standard mileage rates for 2026. Here is what they are and what they mean, in plain terms.

The 2026 rates

For miles driven in 2026, the IRS standard mileage rates are:

  • Business: 72.5 cents a mile, up 2.5 cents from the 2025 rate

  • Medical and military moving: 20.5 cents a mile

  • Charitable: 14 cents a mile

The IRS announced the rates in news release IR-2025-128, and the details are in Notice 2026-10.

What the rate is for

The standard mileage rate is a set amount per mile that the IRS publishes each year for figuring the cost of using a vehicle. Different kinds of driving get different rates, which is why there are three numbers above.

Whether any of your own driving counts, and how the rate applies to you, depends on your job, how you are paid and your tax situation. That part is for you and a tax professional, not for a blog post.

A simple example

Say your drive from home to a Milwaukee contract is 400 miles.

  • At 72.5 cents, 400 miles comes to $290.

  • A round trip of 800 miles comes to $580.

The math is the easy part. The harder part is knowing which miles you can count, and having a record of them when you need it.

Clean, furnished private bedroom with white bedding at a ReNests home in Milwaukee

Write it down as you go

If you think your miles may matter at tax time, write them down when you drive, not months later from memory. A short note with the date, where you went and why takes a minute at the end of a trip. Trying to rebuild a year of driving in April takes a lot longer.

Winter driving in Milwaukee

If you are arriving by car this winter, know that the city's winter parking rules run from December 1 through March 1. During a snow emergency, alternate-side parking takes effect from 10 p.m. to 6 a.m. The city declared one for December 1, with cars on side streets moved to the odd side of the street by 10 p.m. and parked flush to the curb. You can sign up for text alerts at milwaukeeparkingalerts.com.

How this fits your stay

When your contract is a long drive from home, the place you land matters. At ReNests, I rent furnished private rooms in Milwaukee to traveling healthcare professionals. Every bedroom has its own keypad lock, there is one adult per room, and you deal with a real, named host. Housing that fits your stipend, often little to nothing out of pocket. The listing is on Furnished Finder.

This post explains the new rates; it is not tax advice. Check with a tax professional about whether and how the mileage rate applies to your situation.

Here if you need anything, Susan

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