The Best Way to Track Business Mileage (and Why It Matters)

Written by  Manuela Restrepo

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If you drive for work—whether it's meeting clients, running errands, or attending conferences—those miles can add up to serious tax deductions. But only if you track them properly.

Trying to remember your mileage at the end of the year just won’t cut it. The IRS requires a detailed, accurate log and luckily, there are some great tools to help you stay compliant and organized without the hassle.

Why You Need to Track Business Mileage

Tracking business mileage is important because:

  • It lowers your taxable income
  • It’s required for claiming mileage deductions
  • It provides a record in case of an audit
  • It gives you better insight into business-related travel costs

For 2025, the IRS standard mileage rate is 70 cents per business mile. That means 1,000 miles = hundreds of dollars in deductions.

Manual Tracking: The Old-School Way

You can track mileage manually using:

  • A paper logbook
  • A spreadsheet (with date, starting/ending odometer reading, purpose of trip)

But manual logs are time-consuming and easy to forget or lose.

Go Digital: Use a Mileage Tracking App

Apps make mileage tracking automatic, accurate, and audit-proof. Here are some of the best:

1. MileIQ

  • Automatically detects and logs trips
  • Swipe left/right to classify as business or personal
  • Generates IRS-compliant reports
  • Free tier available (with limited trips)

2. Everlance

  • Tracks trips automatically in the background
  • Allows expense tracking and receipt storage
  • Great for freelancers and contractors

3. TripLog

  • Advanced features like GPS tracking, toll and fuel tracking
  • Integrates with accounting tools and payroll systems
Best Practices for Mileage Tracking

To keep your records clean and IRS-compliant:

  • Record mileage at the time of the trip, not later
  • Note the date, destination, purpose, and miles driven
  • Keep both digital and cloud backups of your logs
  • Use one app consistently—don’t switch around mid-year
Make It Automatic (So You Don’t Forget)

The best system is the one you’ll actually use. That’s why automated apps are a smart investment. You don’t have to remember to log every trip. Just review and approve.

Final Thought: Don’t Leave Deductions on the Table

Untracked mileage is money lost. If you’re not tracking your business trips, you're probably overpaying on your taxes. Need help setting up a system or organizing your books to make sure mileage deductions are properly recorded?

I can help. Let’s talk. [Contact me here]

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