IRS Mileage Rate Increase

As supply chain continues to ebb and flow, interest rates rise, and gas prices skyrocket, there is at least a timely break coming from the IRS with the mileage rate.  While the mileage rate is typically set for a year, the IRS can make a special adjustment during the year.  This will help offset the additional cost that employees, contractors, and businesses are experiencing in relation to the spike.

Effective July 1, 2022, the standard mileage rate will increase from 58.5 cents per mile to 62.5 per mile.  The same 4 cent increase will also be added to Medical/Moving to 22 cents and Charitable to 18 cents per mile. 

Other ways to help offset the increased cost for employees would include more flexibility with allowing those who can work remotely.  In the everchanging world post pandemic, being willing to evolve will increase not only employee engagement but the bottom line as well.

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