When you track your miles during business travel, your tax savings increase in sync with your odometer.
Luckily, a host of car mileage tracker apps use GPS tracking to make it easy to keep tabs on your small business travels—and keep IRS-compliant reports. Some free mileage trackers let you take a limited number of trips before you have to break out the credit card to cover a premium package. Other mileage apps lack a free version but offer a wealth of entry-level features.
Here are the five best mileage tracker apps for businesses in 2023. But first—how do you deduct business mileage, anyway?
If you're self-employed, you can deduct your mileage any time you leave your business location—even if that business location is your house. One condition: The trip has to be for work purposes.
Meeting with clients, making a sales call, visiting the post office to send shipments to customers—these are all day-to-day examples of when your small business might apply the mileage tax deduction.
Keep in mind that the mileage has to be "ordinary and necessary" to be a write-off. If you drive 15 miles to pick up inventory from a vendor and 15 miles back to your place of work, for example, you can deduct 30 miles total.
But if you take a 10-mile detour on the way back so you can visit your favorite bubble tea shop, that extra mileage can't be deducted. You can only deduct the 30 miles you traveled for business.
You deduct mileage from your taxes using a standard per-mile rate. For the 2021 tax year, the rate was 56 cents per mile. For the 2022 tax year, it's 58.5 cents.
For quick trips around town, this may not add up to much. But once you start tracking work trips like attending conferences, visiting far-flung clients or vendors, the standard mileage rate can take a significant chunk out of your tax obligation—so long as you have a clear mileage log.
On top of that, food, lodging, and other costs on the road are also deductible business expenses. To learn how your business trips can save you money on taxes, check out our article on deductible travel expenses.
As an added bonus, even the cost of a mileage tracker is a deductible business expense. That's right, a deductible expense to track even more tax deductions.
The best mileage tracker for your business will depend on your needs as a business owner. Are you a rideshare driver? Do you pay reimbursements to employees for travel? Do you use Apple iOS or Android? Different apps cater to different needs. Skip scrolling through an app store with the five best mileage tracker apps to make mileage logging stress a thing of the past.
Free version: Up to 40 trips per month
Full version: $5.99/month, or $59.99/year (paid annually)
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As one of the most popular mileage tracking apps out there, MileIQ automates so much of the mileage tracking process. When you tag trips as "business," the app remembers the route and assigns it the same tag in the future. This means tracking business miles doesn't have to be a conscious thing—so long as you're driving the same routes frequently. This feature may not be a good fit for rideshare drivers with routes that always vary.
MileIQ doesn't offer any accounting capabilities beyond counting and classifying mileage; you won't be able to calculate your tax deduction on the fly.
Best for:
MileIQ is a solid choice if you drive for your business, but not for a ridesharing job. It's also helpful if you have irregular hours since you can set work hours in the app.
Free version: Up to 30 automatic trips per month, plus unlimited manual trips and receipts
Self-employed premium version: $60/year (paid annually), or $8/month (paid monthly)
Business version: Starts at $120/user/year (paid annually) or $12/user/month (paid monthly)
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Everlance is easy to use, offers multiple options for expense tracking, gives managers more visibility into their team's trips, and ensures IRS compliance for self-employed users and businesses of all sizes. With more than 18,000 ratings, their 4.8-star rating (out of 5) speaks for itself—currently, they're the number-one ranked mileage tracker on the App Store.
Best for:
Whether you're a rideshare driver, frequent business traveler, or manager of a growing business, Everlance will probably work for you. The app is user-friendly and feature-rich, and if you don't make many trips, the free version is likely enough to suit your needs. Their downloadable mileage logs can save you work during tax season, too.
Keep in mind that Everlance has received some negative reviews about its automatic tracking capabilities. Before you start relying on it for your business, check out the newest reviews and developer updates, and take the free version for a spin.
Basic version: $5.99/month or $59.99/year (paid annually)
Full version: "Super Premium" starts at $10/month
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SherpaShare stands out for features tailored to rideshare drivers. Its SmartDrive tools not only let you keep track of how much you're earning, but collect information that can help you earn more. Its driver heatmap, for example, shows you where other drivers are operating, so you can plan your locations strategically.
However, there's no free version of SherpaShare—so you'd better be sure you're going to use it before signing up.
Free version: No automatic tracking, five vehicle limit, 40 trips per month
Full version: Premium plan is $4.99 a user/month or $60/year, team time tracking is $3.33/month. Enterprise pricing available by request.
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TripLog functions best when tracking all your employees' mileage in one place. They even have the option of including extra expenses with photo capture, including gasoline or meals on the road. The app starts automatically when your vehicle starts moving, and you can activate an onscreen widget that counts your miles in real-time.
Best for:
TripLog is your best mileage tracking option if you have multiple employees with multiple vehicles who need to track their mileage. The free version lacks automatic tracking, though—so if you don't have employees, but you'd like to test-drive a mileage tracker, TripLog may not be the best bet.
Free version: Single user, no automatic tracking
Full version: $8.34/month for Premium, $16.67/month for Pro (when billed annually)
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Hurdlr stands out by integrating with rideshare and similar "gig economy" apps and calculating your taxes on the fly. If you have to pay estimated quarterly taxes, this can be a blessing; on-the-fly tax calculations make it much easier to estimate in advance how much you owe the IRS.
Since Hurdlr offers other expense tracking capabilities, it can be used to track expenses beyond travel for other tax deductions. If you're just starting your business or dipping your toes into expense reporting apps in general, Hurdlr might be the one-stop-shop you're looking for.
Note that some users have found Hurdlr delays a bit before it begins automatically tracking, so there is a chance your mileage reports may not be 100% complete. If that's essential for your business, you may want to try a different app.
Best for:
Rideshare drivers and other "gig economy" workers, solopreneurs, and freelancers. Hurdlr also explicitly targets their app at real estate agents.
Mileage is just one of the travel write-offs that can reduce your tax obligation. Lodging, food, airfare, and other travel costs can also cut you a break. Learn more with our guide to business travel deductions.
Further reading: The Best Apps for Managing Receipts
How Accracy can help
Your mileage is just one of many potential tax deductions available to your business. If you're looking for a solution to tracking the rest of your expenses so you don't miss a single tax deduction, try Bench. We're America's biggest bookkeeping company, and our platform automates so much of the stress of staying on top of your monthly reporting. Just connect your accounts, and your personal bookkeeping team automatically imports all your transactions to categorize and generate reports. You also get access to our tax professionals who will help you optimize your income tax return, so you don't leave a single cent of savings on the table. Learn more.
We are offering free 1 Month Basic Bookkeeping to all new customers so you can experience Accracy's seemless and professional services.
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