How to Calculate Medical Mileage for Taxes

Many individuals overlook potential tax savings, including those related to medical expenses. The Internal Revenue Service (IRS) allows taxpayers to deduct certain unreimbursed medical costs, and this can extend to the mileage driven for healthcare purposes. Understanding how to calculate and claim this specific deduction can help reduce your taxable income. This guide aims to clarify the criteria, documentation, and calculation steps necessary to properly account for medical mileage on your tax return.

Understanding Eligible Medical Travel Expenses

To qualify for a deduction, travel must be primarily for and essential to receiving medical care. This means the purpose of the trip must directly relate to the diagnosis, cure, mitigation, treatment, or prevention of disease, or for treatments affecting any part or function of the body. Expenses incurred for general health improvement or for cosmetic procedures not deemed medically necessary typically do not qualify.

Qualifying travel includes trips to medical professionals such as doctors, dentists, chiropractors, and psychiatrists. It also covers transportation to hospitals, clinics, diagnostic laboratories for tests, and pharmacies to pick up prescribed medications. Travel for therapy sessions, such as physical therapy or mental health counseling, also falls under eligible medical travel. These trips must be directly related to an existing medical condition or the prevention of one.

Documenting Your Medical Mileage

Accurate and thorough record-keeping is fundamental for claiming medical mileage as a deduction. For each qualifying trip, taxpayers should record specific details. This includes the date of travel, the exact destination, and the medical purpose of the visit. The total miles driven for that specific medical appointment must also be logged.

These records can be maintained through various methods, such as a physical logbook, a digital spreadsheet, or a mileage tracking application. In addition to mileage, taxpayers can include parking fees and tolls incurred during these medical trips. For the 2023 tax year, the standard medical mileage rate was 22 cents per mile, and for the 2024 tax year, it is 21 cents per mile.

Calculating Your Deduction and Tax Reporting

Once eligible medical mileage and associated costs like parking and tolls have been meticulously documented, the next step involves calculating the total deductible amount. This calculation begins by multiplying the total qualifying miles driven by the applicable IRS standard medical mileage rate for the tax year. Any documented parking fees and tolls are then added to this mileage total to arrive at the aggregate transportation medical expense.

Medical expenses, including mileage, are deductible only if they exceed a certain percentage of your Adjusted Gross Income (AGI). For most taxpayers, this threshold is 7.5% of their AGI. Only the amount of total qualified medical expenses that surpasses this 7.5% AGI limit can be claimed as a deduction. For example, if your AGI is $50,000, only medical expenses over $3,750 would be potentially deductible.

To claim this deduction, taxpayers must itemize deductions on Schedule A (Form 1040), Itemized Deductions, rather than taking the standard deduction. All eligible medical expenses, including the calculated mileage, parking fees, and tolls, are aggregated on this form. Maintaining all supporting documentation, such as mileage logs, receipts for parking and tolls, and medical bills, is important in case the IRS requests verification.