The University of California's mileage reimbursement rates for expenses incurred in connection with the business use of a private automobile will increase in accordance with the Internal Revenue Service (IRS) standard mileage rates. The following new rates are effective for expenses incurred on or after January 1, 2025:

• The reimbursement rate for the use of a private automobile for University business travel will increase from 67 cents a mile to 70 cents a mile.
• There is no change in the reimbursement rate for driving an automobile in connection with a move/relocation or medical mileage, and it remains the same at 21 cents per mile. (Note that reimbursements for moving-related expenses, including mileage, are considered taxable wage income as of January 1, 2018).

As a public agency, University employees traveling on official business should observe normally accepted standards of propriety in the type and manner of expenses they incur and avoid any expenditure that would appear extravagant or lavish under the circumstances.

Note: Business and Finance Bulletin G-28, Travel Regulations, will be revised to include the mileage rate change in the next update.