UK mileage allowance calculator 2026/27
Calculate 2026/27 employee mileage amounts or sole-trader simplified vehicle expenses without mixing the two rule sets.
How the Mileage allowance estimate works
The mileage tool applies HMRC’s simplified vehicle-expense rates to business miles. It is useful for comparing a mileage deduction with records, but it does not decide whether a journey has a business purpose.
Rules checked
Read the checking method
What the result includes
- The current car and van rate across the 10,000-mile boundary
- Motorcycle and bicycle rates
- A monthly equivalent of the annual deduction
What to have ready
- A mileage log with dates, destinations and business purpose
- Vehicle type and total business miles
- Any employer mileage payments for a separate employee claim
Questions about Mileage allowance
Is ordinary commuting business mileage?
Travel between home and a permanent workplace is normally ordinary commuting, not a business journey. Different rules can apply to temporary workplaces and itinerant work.
Does the mileage amount equal cash back from HMRC?
No. It is generally a deduction from taxable profit or earnings, so the tax saved depends on the person’s tax position.
About this estimate
Employee approved mileage amounts and self-employed simplified expenses overlap, but they are not identical. The calculator changes the available vehicles and result wording to match the selected use.