Use one matching time period
Annual miles should be compared with annual energy, maintenance, insurance, depreciation, and financing or lease costs. Mixing a monthly payment with annual miles will distort the result.
Use /mileage/standard-vs-actual/ only for the separate tax-method comparison.
Cash cost is not standard mileage
A standard mileage rate is a tax deduction that represents many vehicle costs. This tool adds your actual cash categories to show economics; it does not claim that the total is deductible.
The /guides/driver-vehicle-costs/ page explains where the boundaries matter.
Use the result in a shift decision
Delivery Driver Worth It can use the cost assumptions in a proposed-shift model. Recheck the period when mileage, fuel price, insurance, or financing changes.
Frequently asked questions
Does cost per mile equal the IRS mileage rate?
No. Cost per mile is your cash-economic estimate; the IRS rate is a tax deduction rule.
Should I include depreciation?
Include a defensible economic depreciation amount when measuring total vehicle cost, but do not automatically claim it alongside standard mileage.
What if I drive several apps?
Use one consolidated vehicle-mile denominator so a physical mile is not counted twice.
Official sources
- IRS 2026 inflation adjustments (Rev. Proc. 2025-32)
- IRS Topic 554: Self-employment tax
- U.S. EIA gasoline and diesel fuel update methodology
See methodology for formulas, source status, assumptions, and known limits.