Work out your business mileage

Mileage Calculator

How much can I claim for business mileage?

Mileage claims are worked out by multiplying the rate per mile for the vehicle you used, by the number of business miles you travelled in it. Use our free mileage calculator to see how much you can claim against your tax bill.

The rate you can claim per mile depends on what type of vehicle you used for your journey, so use the buttons to select the correct option before entering the number of miles. Don’t include any detours to the drive-through.

What are the mileage rates for each vehicle?

Using your car or a goods vehicle for a business trip means you can claim 45p per mile for the first 10,000 miles in a tax year. After that, you can claim 25p per mile, and the rate will reset to 45p per mile when the new tax year starts.

Mileage claims for motorbikes are capped at 24p per mile, but there isn’t a distance limit, and bicycles used by employees and directors are subject to 20p per mile. HMRC don’t currently offer a rate for flying cars, rollerblades, or skateboards.

FAQs

FAQs

  • Can I use Pandle to work out my mileage?

    Absolutely you can! Use the mileage tool to record journeys as you make them, or enter the start and finish points manually once safely parked up, and Pandle will automatically convert your trip into a mileage claim in your accounts.

  • Why can't sole traders claim mileage for bicycles?

    The mileage rate for bicycles is only available for employees (or directors), so sole traders aren’t eligible to use the per-mile method. You might be able to claim the actual costs of buying a bicycle you use solely for work though, as well as any consumables like tyres or servicing. It’s well worth chatting to your accountant about this!

  • Will HMRC ask for proof of mileage?

    You won’t need to send HMRC evidence of your business mileage as part of your tax return – but HMRC do expect you to keep clear records and use these to work out your claim.

  • How do I record business mileage?

    You should keep detailed records of every business journey you make, showing the start and finish point of your trip, what vehicle you used, and the dates. Business miles can be recorded manually, or you can use a mileage tracker app. Pandle has one built-in!

  • Can I include my commute when I calculate mileage?

    No – sorry! Mileage claims are for business journeys, but this doesn’t include your commute to what HMRC describe as ‘your usual place of work’. In short, you can claim for a trip you make to visit a client, but not for the drive from your house to your office. And especially not if you work from home. Cheeky.