TaxClutch Blog
Can I Deduct Mileage as a Freelancer?
TaxClutch Team2 min read
Mileage is one of the most overlooked freelance deductions. At $0.67 per mile in 2025, even modest driving adds up — and most freelancers leave thousands on the table because they don't track it. Here's what counts, what doesn't, and how to track it without losing your mind.
The 2025 Standard Mileage Rate — $0.67/mile
The IRS sets a standard mileage rate every year that covers gas, depreciation, insurance, maintenance, and registration in one number. For 2025, it's $0.67 per business mile. 200 business miles a month = $1,608/year deduction. 1,000 miles a month = $8,040/year.
What Business Mileage Means
- Driving to client meetings
- Trips to pick up business supplies
- Driving to a job site or co-working space
- Travel between two business locations
- Trips to the bank for business deposits
- Driving to industry conferences or training
What Does Not Count
Commuting from home to your regular workplace is NOT deductible — even if you're a freelancer. The exception: if your home is your primary place of business, you can deduct mileage between your home office and any other work location. For most freelancers, this is true.
If your home is your primary place of business (most freelancers), almost every business-related drive starts and ends as deductible. Document it.
Actual Expense Method vs Standard Rate
Standard rate ($0.67/mile) is simpler. Actual expenses requires tracking your total annual gas, repairs, insurance, registration, depreciation, and applying your business-use percentage. For most freelancers, standard rate gives a similar or larger deduction with far less paperwork. Note: once you choose actual on a vehicle, you generally have to stick with it for that vehicle.
How to Track Mileage
- Mileage app (MileIQ, Stride, Hurdlr, TaxClutch)
- Manual logbook in your glove compartment (works fine if disciplined)
- Odometer photos at start and end of each trip (for irregular business drivers)
- Calendar entries with start/end addresses (reconstructable if audited)
How TaxClutch Tracks Mileage Automatically
Log a trip in seconds with TaxClutch's mileage tool — it stores date, start/end, business purpose, and mileage. The annual total flows into your deduction summary automatically. No end-of-year reconstruction.
Frequently Asked Questions
Do I need to track every personal mile too?
Only if you're using the actual expense method (where you need a business-use percentage). Under the standard rate, you only need to track business miles.
What records does the IRS want to see for mileage?
A contemporaneous log (kept during the year, not reconstructed in April) showing date, miles, destination, and business purpose for each trip. Apps generate this automatically.
Can I deduct mileage if I drive a leased vehicle?
Yes — both standard rate and actual expenses work for leased vehicles. With actual expenses, you deduct lease payments instead of depreciation.
What about EV charging instead of gas?
The standard mileage rate covers it implicitly. Under actual expenses, you can deduct charging costs the same way you'd deduct gas — at your business-use percentage.
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