Mileage Reimbursement Rate Declines in 2021

The General Services Administration (GSA) announced it is lowering the mileage reimbursement rate for federal employees to 56 cents, down 1.5 cents from 2020. 

The lower rate took effect Jan. 1, and it brings the federal rate to that set by the IRS for private sector employees. GSA separately sets the rate for the federal workforce, but it cannot exceed the limit established by the IRS.

GSA may adjust the rate during the year if gas prices change significantly. Gas prices have been lower in 2020, partly because demand for it has declined since the start of the pandemic.

Every year, NTEU closely monitors this issue on behalf of the tens of thousands of federal employees who use their personal vehicles for work related duties.