Last updated: August 5, 2026
Mileage tracking is the practice of recording vehicle trips and their business purpose for reimbursement, tax reporting, or company recordkeeping. A mileage log commonly records the date, destination, distance traveled, and reason for each trip.
Many drivers use GPS-based mileage tracking software or a mileage-tracking app to capture trips automatically, classify business and personal travel, produce reports designed to support recordkeeping requirements, and connect with expense management software.
Mileage tracking is the practice of recording vehicle trips and their business purpose for reimbursement, tax reporting, or company records. It can be done manually with a log or automatically with a GPS app, and each entry needs the date, destination, distance, and reason for the trip.
Mileage is tracked manually or automatically, using one of four common methods, ordered here from most hands-on to most hands-off: a paper or spreadsheet log, odometer readings kept with a calendar, a GPS mileage app, or an employer or fleet system.
A mileage log should include the date, start and end locations, purpose, odometer readings, and total distance of every business trip. Record each trip as it happens rather than piecing the log together from memory at year-end.
Each entry should capture:
A single log entry looks like this:
| Date | Start location | Destination | Purpose | Odometer start | Odometer end | Distance |
|---|---|---|---|---|---|---|
| Aug 5, 2026 | Office | Client site | Client meeting | 12,450 | 12,478 | 28 mi |
Deductible mileage varies by country, but business driving is recognized almost everywhere, and some systems such as the US also allow limited medical and charitable deductions. A normal commute is generally not deductible.
A commute stays non-deductible even if you take work calls or answer email along the way, because where you live is treated as a personal choice.
Mileage tracking software automatically records business trips and turns them into reports used for reimbursement or a tax deduction, removing the manual work of logging miles. Common capabilities include:
Compare tools and ratings in the mileage tracking software category on G2.
Common questions about mileage tracking, answered.
Yes. Mileage tracking apps use your phone's GPS to detect when you start and stop driving and log the distance automatically, so you can classify each trip as business or personal without writing anything down. Examples include MileIQ, Everlance, and Driversnote.
Some are. MileIQ (4.2/5 on G2) has a free Standard plan and Zoho Expense (4.5/5) includes a free tier, though both cap the number of tracked trips. TripLog (4.6/5) is paid, starting around $8 per user a month (as of August 2026), which frequent drivers tend to prefer once they outgrow a free plan.
As of August 2026, the IRS standard business mileage rate is 76 cents per mile, which you multiply by your business miles to calculate a deduction or reimbursement. It was 72.5 cents from January through June 2026, then rose to 76 cents on July 1 in a rare mid-year adjustment. The IRS can change the rate, so confirm the current figure before filing.
Businesses with employees who drive their own vehicles for work benefit most, including sales teams, field service and home healthcare providers, delivery and logistics operations, and construction or trades firms. Self-employed contractors also use it to substantiate deductions.
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