How does Moving Mileage work?

Moving mileage refers to the distance traveled during a move. It’s important because it affects your costs, how companies charge you, and even whether you can get money back on your taxes. Let’s break down what you need to know about moving mileage.

Understanding Moving Mileage: What It Is and How It Impacts Your Move

When you move, whether it’s across town or across the country, the distance between your old home and your new one is key. This distance, or moving mileage, directly impacts several things:

• Moving Company Costs: Professional movers often base their fees partly on mileage, especially for long-distance moves.
• Truck Rental Costs: If you rent a truck, you’ll likely pay a base rate plus a charge per mile you drive.
• Tax Deductions/Reimbursements: In certain situations, like for military moves, the number of miles counts towards possible tax benefits or reimbursements.
• Fuel Costs: The more miles you travel, the more gas you’ll need to buy.

So, figuring out the miles is a big first step in planning your move budget.

Who Can Claim Moving Mileage?

This is a key question for many people. Under current tax laws, most individuals cannot claim moving mileage or other moving expenses on their federal taxes. The Tax Cuts and Jobs Act changed the rules in 2018.

However, there’s an important exception: active-duty military personnel. If you are in the military and move because of a permanent change of station (PCS), you can usually deduct your qualified moving expenses, and this includes moving mileage.

So, if you’re not in the military, you likely won’t be able to claim moving mileage on your taxes. But if you are paying attention to your miles, it is important.

Military Moving Mileage: The MALT Rate

For military members, the moving mileage rate is called the Monetary Allowance in Lieu of Transportation, or MALT. As of 2024, the MALT rate is also 22 cents per mile. This rate applies whether you’re driving yourself or transporting dependents to a new duty station. The military uses this rate to figure out how much to reimburse you for driving your own car during a move. You can find updates on official military travel websites.

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