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Check out some mileage apps that will automatically log your mileage... on your smart phone.
Gas receipts don’t take personal mileage into account. They have some that are free to use so you can experiment with different apps until you can find one that suits you. The app.. does all the work!
Set up a log book and show the start location, destination and mileage. Best to show the odometer readings and also note personal use. No need for detail on personal millage. Be sure to note the date and which items are business.
"In general" actual expenses will be higher than the per mile allowance. People use the mileage as a shortcut to save time and effort of maintaining the records of actual expenses, so it's a worthwhile trade off.
As mentioned above, you won't know for sure unless you do both and compare.
You need to know your business mileage and have it document so an auditor reviewing will believe you.
You will probably be completing Sch C on your 1040 Federal Income tax return. Google the instructions for sch C and then look up the questions you will be asked about your car.
I mean, doesn't Uber keep a record of all your trips? I bet the others do the same. So it's not as if you have to do that much record keeping with those guys.
Logging mileage is the standard. Apps are one way, but I always had a manual log, where I also logged in gasoline and mileage on the odometer at the time. I recorded all service and repairs in Quicken and kept receipts (these days, just photograph them on your phone). If you get audited, that short-circuits a lot of questions.
The IRS allowances are sufficient for offsetting costs per mile on newer cars, and are a basis for most company reimbursements. I drive older cars, so the reimbursement I got while working for others often ended up with part of it being found non-taxable income. With my own business, it was a write off that reduced my tax liability.
Having such records sometimes can have side benefits. My father (who resided in Florida for many years) once got a ticket from Delaware, where a red light camera had supposedly recorded his tag going through a red light there. He sent copies of documentation that he was in Florida the entire time and made it disappear.
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