Mileage Log

[AdamD1]

Can you explain what is an reasonably acceptable mileage log for a rideshare/delivery driver?  The requirements I am seeing makes it sound like every stop needs to be recorded, and that just seems excessive/unreasonable for this industry. It would be a part time job in itself.  Is is acceptable to just record the mileage for the day?

[SwapnaM]

You're absolutely right – the idea of meticulously logging every single stop for a rideshare or delivery driver sounds incredibly time-consuming and almost impossible to maintain consistently. Record-keeping is crucial for anyone claiming a mileage deduction. The IRS urges you to maintain “comprehensive and contemporaneous records” in case they are requested. Contemporaneous record-keeping is particularly important to the IRS. This means recording your trips as they happen, not reconstructing them later. The IRS is more likely to challenge reconstructed records during an audit.

While the IRS does require adequate records to substantiate your mileage deduction, "every stop" doesn't necessarily mean a separate line item for each individual delivery or passenger drop-off if you're continuously driving for business.

Your mileage log should include:

• Date of the trip: When the trip occurred.
• Purpose of the trip: Why you were driving (e.g., "Rideshare driving," "Food delivery for DoorDash," "Picking up supplies for Uber Eats").
• Destination(s): The general location of the business activity.
• Total miles driven: The actual distance driven.

Using a mileage tracking app is highly recommended for accuracy and ease. Recording the total mileage for the day can be acceptable if you ensure that your log includes the necessary details for each trip. Using a digital mileage tracker can help you capture all required information without needing to manually log every stop.

What is NOT Acceptable:

• Estimating: Simply guessing your mileage at the end of the month or year.
• Rounding: Don't round up or down significantly.
• "Just recording the mileage for the day" without other details: While you do need the daily mileage, the IRS also wants to know the purpose and general locations to confirm it was business-related. A single number without context is weak for an audit.
• Reconstructing records months later: The IRS prefers "contemporaneous records," meaning records kept at or near the time of the expense. Weekly updates are generally considered acceptable, but daily is best.

@AdamD1 Thanks for the question!! Hope this answers your question!

[AdamD1]

Some of this was helpful,  some of this was general. Can you provide an illustrated example of what entries should look like.  If I'm entering for the day, is it OK to have my home as the starting and ending locations?

[ElizabethD7]

No, the mileage from your home to your first rider are considered commuting miles and are not deductible.  Same for the mileage form your last rider to home.

You can see an example of a log in IRS Publication 463 page 39.

[SwapnaM]

The IRS publication as mentioned by @ElizabethD7 is a good starting point.

Session-Based Logging:

• Start of Session: When you leave your home (or personal activity) and turn on your rideshare/delivery app to start accepting requests. Record:
  • Date
  • Starting Odometer Reading
  • Location (e.g., "Starting point for rideshare/delivery in [City/Neighborhood]")
  • Purpose ("Available for rideshare/delivery")
• End of Session: When you turn off your app and are no longer available for business, or when you switch to personal driving. Record:
  • Ending Odometer Reading
  • Location (e.g., "Ending point for rideshare/delivery in [City/Neighborhood]")
  • Purpose ("End of rideshare/delivery session")
• Calculate Daily Business Miles: The difference between your start and end odometer readings for that session (minus any clearly personal detours).
• Important Note on Commuting: Miles driven from your home to your first "business stop" (where you start accepting rides/deliveries) and from your last "business drop-off" back to your home are generally considered non-deductible commuting miles. You should ideally subtract these out or only start your "business mileage" when you begin actively seeking or accepting rides/deliveries. Many mileage tracking apps handle this automatically.

@AdamD1 Hope this helps!!

[AdamD1]

This was helpful,  yet contradicting. You say start logging when I turn on the app to accept requests,  yet commuting is not deductible. I think this might be a gray area?  If Iturn the app on an I am available for work, I am not commuting, right?  If I turn off the app because I'm ready to head home or begin a personal trip, this is commuting,  right? 

[SwapnaM · Accepted solution]

@AdamD1  I agree, it is a little confusing!!

The IRS generally considers the travel between your home and your first business stop of the day, and your last business stop of the day back to your home, to be non-deductible commuting. This is regardless of whether you're "available" for work during those times. Miles from home to your first pickup and from your last drop-off back home are generally commuting and not deductible, even if your app is on.