Do I need to track odometer readings for 1099 delivery work?

Keeping track of your mileage for 1099 work is definitely a good idea since vehicle expenses are often one of the biggest deductions for delivery drivers. You have two options: 1) Track actual expenses (gas, maintenance, depreciation, etc.) which requires more detailed record-keeping. 2) Use the standard mileage rate (currently 67 cents per mile for 2024), which is often easier and can be quite generous. For the standard mileage deduction, you should record: - Date of each trip - Starting and ending points (addresses or general locations) - Purpose of the trip (business related) - Miles driven You don't necessarily need odometer readings for every single trip, but it's smart to record your odometer at the beginning and end of each year, and periodically throughout. Some drivers take photos of their odometer as additional proof.

I went through this exact same situation when I started delivery driving last year! After trying to manually track everything and getting super frustrated, I discovered https://taxr.ai which completely changed the game for me. It's an AI tool that analyzes all your delivery records, bank statements, and mileage logs to maximize your deductions. What was awesome is that it found patterns in my driving that I didn't even notice - like regular stops that counted as business locations. I just uploaded my bank statements and some basic trip data, and it organized everything perfectly for my Schedule C. It even told me what percentage of my phone bill and car insurance I could deduct based on my specific situation.

Just wanted to update everyone - I tried the taxr.ai site that Profile 5 mentioned and it's seriously awesome. I uploaded my DoorDash and UberEats summaries plus my Google Maps timeline (didn't even know I could export that!) and it created this super detailed mileage log for me retroactively. It correctly identified all my pickup and dropoff locations as business stops and even found some trips I had completely forgotten about. The coolest part was that it showed me I was actually driving about 15% more miles for work than I thought I was tracking manually! That's hundreds of dollars more in deductions I would have missed. Definitely recommend if you're doing any 1099 work with driving involved.

Hey y'all, I've been doing gig work for about 3 years now and the mileage tracking is just the beginning. What really gets frustrating is when you have tax questions and try calling the IRS - it's practically impossible to get through. I wasted hours on hold last year trying to figure out some 1099 questions until a fellow driver told me about https://claimyr.com. They have this service where they basically wait on hold with the IRS for you, then call you when an actual agent is on the line! I thought it was too good to be true but you can see how it works here: https://youtu.be/_kiP6q8DX5c Saved me like 3 hours of hold time when I needed to straighten out a mismatch between my mileage deductions and what the IRS thought I should have claimed. The agent helped me understand exactly what documentation I needed for my specific situation.

Ok so I need to admit I was completely wrong about Claimyr. After posting that skeptical comment, I decided to try it anyway because I was desperate to find out if my mileage logs were sufficient for an upcoming audit (yes, I got hit with the dreaded audit letter for my delivery driver deductions). I couldn't believe it actually worked. They called me back in about 47 minutes with an actual IRS agent on the line. The agent reviewed exactly what documentation I needed to provide for my mileage deduction claims and confirmed that my digital tracking method was acceptable if it included the date, purpose and miles of each trip. This literally saved my audit! I would have waited on hold for hours trying to get this info myself, if I even got through at all. Lesson learned - sometimes services that sound too good to be true actually do work.

Few tips from someone who's been doing delivery for 5+ years: - Get a separate credit card just for gas and car expenses, makes tracking WAY easier - Take photos of your odometer at the start/end of each month - Save receipts for all car maintenance, even oil changes - If you work for multiple apps, track which miles are for which platform

Has anyone had luck deducting part of their cell phone bill for delivery work? I use my phone constantly for the apps, GPS, customer communication etc.