UK Mileage Allowance Calculator
Work out your HMRC Approved Mileage Allowance Payments (AMAPs) for 2025/26. See how much you can claim in tax relief if your employer pays below the approved rate, or check whether any excess reimbursement is a taxable benefit.
Optional — used to show your business %
Extra 5p per mile per passenger
Enter 0 if your employer doesn't reimburse mileage
| Vehicle | First 10,000 miles | Over 10,000 miles |
|---|---|---|
| Car or Van | 45p | 25p |
| Motorcycle | 24p | 24p |
| Bicycle | 20p | 20p |
Plus 5p per mile for each fellow employee carried as a passenger (cars only).
HMRC Approved Amount
£3,600.00
Employer Pays
£0.00
0p per mile
Tax Relief Claimable
£3,600.00
Claim via Self Assessment or P87
You can claim £3,600.00 in tax relief
Your employer reimburses less than the HMRC approved rate. You can claim the difference as Mileage Allowance Relief (MAR).
- Form P87 — if your total employment expenses are under £2,500 and you don't file Self Assessment
- Self Assessment — include in your tax return under employment expenses
Keep a mileage log with dates, destinations, and business purpose for each journey.
How HMRC Mileage Allowance Works
If you use your own car, van, motorcycle, or bicycle for business journeys, your employer can reimburse you tax-free up to the HMRC approved rates. These are called Approved Mileage Allowance Payments (AMAPs).
The approved rate for cars and vans is 45p per mile for the first 10,000 business miles in a tax year, dropping to 25p per mile after that. Motorcycles get a flat 24p per mile and bicycles 20p per mile.
The 45p/25p Split Explained
The 45p rate covers not just fuel but also insurance, road tax, servicing, and depreciation of your vehicle. After 10,000 miles, HMRC assumes running costs per mile decrease, so the rate drops to 25p. The threshold resets at the start of each tax year (6 April).
Claiming Mileage Allowance Relief
If your employer pays you less than the approved rate (or nothing at all), you can claim Mileage Allowance Relief (MAR) on the shortfall. For example, if your employer pays 25p per mile and you drive 8,000 business miles, you can claim relief on the 20p difference — that's £1,600 of tax relief.
Use Form P87 if your total employment expenses are under £2,500 and you don't need to file Self Assessment. Otherwise, include the claim on your Self Assessment tax return.
What Counts as Business Mileage?
- Travelling between different workplaces
- Visiting clients, customers, or suppliers
- Travelling to a temporary workplace (under 24 months)
- Journeys from a home office to the employer's premises (if home is your main workplace)
Your regular commute from home to your normal workplace does not count as business mileage.
Frequently asked questions
What are the HMRC mileage allowance rates?
HMRC Approved Mileage Allowance Payments (AMAPs) are: Cars and vans — 45p per mile for the first 10,000 business miles, then 25p per mile. Motorcycles — 24p per mile (flat rate). Bicycles — 20p per mile (flat rate). There is also an extra 5p per mile for each fellow employee carried as a passenger on business journeys.
Can I claim mileage allowance relief?
Yes, if your employer reimburses you at less than the HMRC approved rate (or doesn't reimburse you at all), you can claim Mileage Allowance Relief (MAR) on the difference. If your total employment expenses are under £2,500 you can claim using Form P87. Otherwise, you'll need to file a Self Assessment tax return.
What happens if my employer pays more than the HMRC rate?
If your employer reimburses you at more than the HMRC approved rate, the excess is treated as earnings and is subject to income tax and National Insurance. The excess should be reported on your P11D or processed through payroll as a taxable benefit.
Do I need to keep records of my mileage?
Yes. You should keep a mileage log recording the date, destination, purpose of the journey, and miles driven for each business trip. You must be able to separate business miles from personal commuting miles. HMRC may ask to see your records if you claim Mileage Allowance Relief.
Can I claim mileage for commuting to work?
No. Your normal commute from home to your regular workplace is not a business journey and does not qualify for mileage allowance. Business mileage only covers journeys between workplaces, to temporary workplaces, or to client/customer sites. If you work from home as your main workplace, journeys to the office may count as business travel.