The IRS has bumped the standard mileage rate for medical care travel to $0.235/mile, effective July 1, 2026. A $0.03 increase from the prior year.
This rate applies to mileage driven for medical care, which remains an eligible expense under Health Care FSAs, many HRAs, and HSAs. Participants tracking mileage to appointments, pharmacies, or other medical care should use the updated rate going forward.
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Also on our radar: The IRS recently released proposed regulations on employer contributions to the new “Trump Accounts” under Code Section 128. We’re digging into the details now…look for a full breakdown in an upcoming DBS Digest post.