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GSA Increases Mileage Reimbursement Rates for Federal Employees

GSA # 10527  

July 28, 2008                               
Contact: Jen Millikin, (202) 501-1231        

WASHINGTON – The mileage reimbursement rate federal employees receive for the use of Privately Owned Automobiles (POA), motorcycles, and airplanes for official travel increased today, according to the U.S. General Services Administration (GSA).

The new mileage rates are effective on August 1, 2008, and will increase from 50.5 cents to 58.5 cents per mile for automobiles, from 30.5 cents to 58.5 cents per mile for motorcycles, and from $1.07 to $1.27 per mile for airplanes.  The rates for motorcycles and airplanes have not been changed since 2006.  GSA also increased the mileage reimbursement rate for relocations of federal employees from 19 cents to 27 cents per mile effective on July 1, 2008.

“With the higher costs of gas, I am pleased that GSA was able to move swiftly on increasing mileage reimbursements on the heels of the Internal Revenue Service (IRS) announcement,” said Kevin Messner, GSA Acting Associate Administrator of the Office of Governmentwide Policy.  “We have a proposed change in law for Congress to consider that would allow us to automatically match IRS rate changes and reduce redundancy and expedite the process.”

This latest rate for automobiles mirrors the new optional standard mileage rate announced on June 23, 2008 by the IRS for use by taxpayers in calculating the deductible costs of operating an automobile for business, charitable, medical or moving purposes.

By law, in consultation with the U.S. Department of Transportation, the U.S. Department of Defense, and representatives of employee organizations of the federal government, GSA conducts periodic investigations of costs associated with travel and operation of privately owned vehicles on a yearly basis.  GSA may not exceed the POA standard mileage reimbursement rate set by the IRS.


GSA provides a centralized delivery system of products and services to the federal government, leveraging its enormous buying power to get the best value for taxpayers.
• Founded in 1949, GSA manages more than one-fourth of the government’s total procurement dollars and influences the management of $500 billion in federal assets,  including 8,600 government-owned or leased buildings and 208,000 vehicles.
• GSA helps preserve our past and define our future, as a steward of more than 425 historic properties, and as manager of, the official portal to federal government information and services.
• GSA’s mission to provide superior workplaces, expert technology solutions, acquisition services, purchasing and E-Gov travel solutions and management policies, at best value, allows federal agencies to focus on their core missions.

Did You Know? In December 1995, GSA created its Office of Governmentwide Policy to consolidate its policy functions into a single organization.

Last Reviewed 2010-04-30