How to Track Mileage for Tax Deductions as a Gig Worker

Why mileage tracking matters for your taxes

If you drive for work as a gig worker — whether delivering food, transporting passengers, or running errands — you can deduct the cost of that driving from your taxes. The IRS lets you claim either your actual expenses (gas, maintenance, insurance) or a standard mileage rate, which is a fixed amount per mile. Most gig workers find the standard rate simpler and often larger, but you have to prove how many miles you drove for work.

The IRS audits mileage claims more than almost any other deduction because people guess instead of track. A logbook or app that records your trips as they happen — not months later from memory — is what holds up in an audit. You do not need fancy software; a notebook works. What matters is that you record the date, starting point, ending point, miles driven, and the business purpose of each trip.

The standard mileage rate changes each year. For 2024, it is 67 cents per mile for business driving (the rate for 2025 will be set by the IRS in late 2024). If you drove 10,000 miles for gig work in a year, that is $6,700 in deductions. The actual cost of your car — gas, oil changes, tires, insurance — might be higher or lower, but you cannot claim both the standard rate and actual expenses in the same year.

Key Takeaways

• You must track the date, mileage, starting location, ending location, and business purpose of each work trip to claim a mileage deduction.
• The standard mileage rate (67 cents per mile in 2024) is usually simpler than tracking actual expenses, but you have to choose one method per tax year.
• A logbook, spreadsheet, or mileage app that records trips as they happen is far more defensible in an audit than estimates made later.
• Commuting from home to your first gig job and from your last gig job home does not count as business mileage.
• If you use the standard rate, you do not need to keep receipts for gas or repairs, but you do need to prove the miles.

What counts as deductible mileage

Only miles driven for the actual work count. If you drive for DoorDash, the miles from when you accept an order until you drop it off are deductible. The drive to the restaurant and the drive to the customer both count. Miles driven between orders while you are logged in and waiting for the next job also count in most cases, because you are actively working.

Commuting does not count. The drive from your home to your first delivery of the day is not deductible, even if you are heading straight to a restaurant. The drive home after your last delivery is not deductible either. If you stop at the grocery store on the way to a gig job, only the miles from your home to the store and from the store to the job count — not the miles you would have driven if you had gone straight.

Personal errands during a work shift do not count. If you are delivering for Instacart and you stop at your own doctor's appointment, those miles are personal. If you drive to a gas station to fill up between deliveries, that counts as business mileage because it is necessary to keep working.

How to set up a mileage log

The simplest method is a small notebook you keep in your car. At the start of each work day, write the date and your starting odometer reading. After each trip or at the end of the day, write the ending odometer reading, the miles driven, where you went, and what you were doing. Example: "March 15 | Start 45,230 | End 45,287 | 57 miles | DoorDash delivery, Maple St to Downtown | Business." That is all the IRS requires.

A spreadsheet works the same way. Create columns for date, starting odometer, ending odometer, miles, location, and purpose. Update it daily or weekly. The advantage is that a spreadsheet can add up your total miles automatically and you can sort by month for tax time.

Mileage tracking apps (like MileIQ, Stride Health, or Everlance) use your phone's GPS to record trips automatically. You confirm whether each trip was business or personal, and the app keeps a digital logbook. Many apps sync with tax software. The trade-off is that they cost money — usually $5 to $20 per month — and they require you to have your phone with you and location services on during every work trip.

Whichever method you choose, start now. The IRS expects contemporaneous records — meaning you wrote them down at the time, not reconstructed them later. A logbook from March that you filled in during March is credible. A logbook you fill in during tax season in April is not.

Choosing between standard mileage and actual expenses

The standard mileage rate is the easiest path for most gig workers. You multiply your total business miles by the current rate (67 cents per mile in 2024) and that is your deduction. You do not need receipts for gas, oil, tires, or repairs. You only need your mileage log. The downside is that if your car is very expensive to operate — an older vehicle with high fuel costs or frequent repairs — you might save more money by tracking actual expenses.

The actual expense method means you add up every dollar you spent on your vehicle for work: gas, oil changes, tire replacements, insurance, registration, repairs, and depreciation. You then calculate what percentage of your total driving was for work and deduct that percentage of your expenses. This is more complicated and requires keeping every receipt. You also have to decide how to handle depreciation, which involves IRS tables and can be confusing. Most gig workers find this method takes more time than it saves.

You can switch from actual expenses to the standard rate in a later year, but switching from the standard rate to actual expenses has restrictions. If you used the standard rate in your first year of business, you can switch to actual expenses later. If you used actual expenses first, you can only switch to standard if you used the standard rate in the immediately preceding year. Plan ahead: if you think actual expenses might be better, use that method from the start.

What to keep and what to do at tax time

Keep your mileage log for at least three years. The IRS can audit returns from the past three years, and occasionally longer if they suspect fraud. Store your logbook, spreadsheet, or app records in a safe place — digital backups are smart. If you use an app, export your data and save it as a PDF or spreadsheet in case the app shuts down.

At tax time, add up your total business miles for the year. Multiply by the standard mileage rate for the year you are reporting (rates vary by year). Enter that deduction on Schedule C (Profit or Loss from Business) if you are self-employed, or on the appropriate form if you use tax software. You do not attach your logbook to your return, but you must have it if the IRS asks.

If you use tax software like TurboTax or TaxAct, there is usually a section for vehicle expenses where you can enter your mileage. If you work with a tax preparer or accountant, bring your mileage log and they will handle the calculation. The key is having the log ready — without it, you cannot claim the deduction at all.

Common mistakes to avoid

The biggest mistake is not tracking at all and estimating miles at tax time. The IRS knows that people overestimate, and a logbook that appears months after the fact is weak evidence. Start tracking now, even if you have already been working for months. Going forward is better than nothing.

Another mistake is including commuting miles. Your drive to the first job and from the last job are not business miles, even if you are thinking about work the whole time. Only the miles between jobs, and from job to customer, count.

Some workers track mileage but forget to note the purpose of each trip. "March 10 | 45 miles" is not enough. "March 10 | 45 miles | DoorDash delivery" is. The purpose shows the IRS that you were working, not running personal errands.

Mixing personal and business use in a single trip causes confusion. If you drive to a gig job and stop at the bank on the way, record the miles separately: miles to the bank (personal), miles from bank to job (business). This is tedious but necessary if you want to defend your deduction.

Frequently Asked Questions

Do I have to use an app or can I just write it down?

You can write it down. A notebook is perfectly acceptable to the IRS as long as you record the date, miles, location, and business purpose of each trip. An app is convenient but not required. What matters is that you have a contemporaneous record — something you wrote at the time, not a guess later.

What if I forget to log a trip?

Log it as soon as you remember. A logbook with a few gaps is better than no logbook. If you forget many trips, you lose the deduction for those miles. This is why tracking as you go is so much better than trying to reconstruct a month's worth of trips from memory.

Can I deduct the miles my passenger drives in my car?

No. Only miles you drive for work count. If you are a rideshare driver and a passenger sits in your car, you deduct the miles you drove them, not the miles they traveled. The deduction is based on your vehicle's use, not theirs.

Do I need to track mileage if I use the actual expense method?

Yes. You still need to know what percentage of your total driving was for work so you can calculate what portion of your expenses to deduct. You might track mileage differently — total business miles versus total personal miles — but you still need the numbers.

What if my gig work is only part-time or seasonal?

Track the same way. Log only the miles you drive for gig work. If you work three months a year, you deduct only the miles from those three months. The IRS does not care whether you work full-time or part-time; the rule is the same.