2024 Charity Mileage Rate

The IRS provides a mileage deduction rate for taxpayers who use their vehicles for charitable purposes. For 2024, the charity mileage rate remains an essential figure for volunteers and nonprofit supporters alike, allowing you to offset some of the costs associated with driving for charitable causes. In this guide, we’ll cover the 2024 charity mileage rate, how to deduct your miles, how the rate is determined, and tips for maximizing this tax benefit.

What is the 2024 Charity Mileage Rate?

The 2024 charity mileage rate at 14 cents per mile.

Unlike the rates for business mileage and medical mileage, which may fluctuate each year based on economic conditions, the charity mileage rate is fixed by law, and only can be changed through legislative action to change. In fact, The charity mileage rate has been set at 14 cents per mile since 1997 and has not been adjusted since then.

How to Deduct Your Miles for Charity

Claiming a charitable mileage tax deduction requires specific criteria, but deducting your miles for charitable work is a straightforward process if you keep accurate records. Here’s what you need to know to claim the deduction:

Drive for an IRS-Recognized Charity

To qualify, you must be driving in service of a qualified charitable organization and ensure these driving activities are in direct support of your charlitable activities such as delivering meals, transporting supplies, or driving to and from volunteer events. To check if your charity is eligible, check the IRS website's search here

Document Your Miles

The IRS requires that you keep detailed log of your charitable miles, including:

• Date
• Purpose
• Miles driven
• Starting location
• Ending location

This can be done by hand on paper, in a spreadsheet, or with an automatic mileage tracker right on your phone, such as Everlance.

Report on Schedule A

To claim the charitable mileage deduction, you’ll need to itemize your deductions using Schedule A on your tax return.

Keep in mind that if you’re taking the standard deduction, you won’t be able to deduct your charitable miles separately.

The Impact of the Charity Mileage Deduction

While the charity mileage rate is relatively modest, it can still make a difference for those who frequently volunteer. For individuals who drive long distances for charitable work or volunteer on a regular basis, the mileage deduction can add up over time.

Here’s how the deduction impacts taxpayers:

Offsetting Out-of-Pocket Expenses

Even at 14 cents per mile, the deduction helps reduce the personal costs of volunteering. For example, if you drive 1,000 miles in a year for charitable purposes, you can deduct $140 from your taxable income.

Encouraging Volunteerism

The deduction is also a small incentive to encourage volunteer work, making it easier for individuals to contribute their time and resources without bearing all the associated expenses.

Maximizing Tax Savings for Itemizers

For taxpayers who itemize deductions, including charitable miles alongside other deductions can increase their total tax savings. While the deduction may not be substantial on its own, it contributes to a more favorable tax outcome when combined with other charitable contributions.

Other Expenses for Charitable Driving

In addition to the mileage deduction, certain out-of-pocket expenses related to charitable driving may also be deductible. These expenses could include:

• Parking fees and tolls:  If you pay for parking or tolls while performing volunteer work, these costs are also deductible in addition to the mileage rate.
• Direct travel expenses: Other travel-related costs directly associated with volunteering, such as specific travel equipment or materials required for the charitable work, may also be deductible. Be sure to keep receipts for these expenses.
  

Best Practices for Tracking Your Charity Miles

Accurate record-keeping is essential for maximizing your charitable mileage deduction. Here are some tips:

Use a Mileage Tracking App
Apps like Everlance can automate the tracking of charitable miles, ensuring you have accurate records come tax time. Simply start and stop tracking for each trip, and your mileage will be logged automatically.

Keep a Mileage Logbook
If you prefer manual records, maintain a logbook where you record the date, purpose, and miles for each trip. The IRS may require these records in case of an audit, so be diligent about logging each drive.

Store Receipts for Parking and Tolls
If you incur additional costs such as parking fees, keep those receipts with your mileage records. This ensures you have all the documentation needed to support your deduction.

While the charity mileage rate for 2024 is not an amount that will change lives at 14 cents per mile, it still offers a helpful deduction for those who volunteer regularly. Keeping detailed records, combining your mileage with other charitable deductions, and understanding the requirements for claiming this deduction can all help you maximize your tax benefits.