How to Track Vehicle Usage

Tracking mileage on your business vehicles will help you claim deductions on your taxes.

Vehicles that are used for business should be monitored for mileage usage. Tracking a vehicle's mileage is necessary if you want to apply for deductions at the end of each tax year. If the vehicle is used for business purposes only, monitoring mileage is as easy as reading an odometer at the beginning and end of the year. However, if you use your car for both business and personal travel, you will need to monitor vehicle usage more closely.

Instructions

1. Write down the mileage reading on the vehicle's odometer before embarking on a business trip. This is the starting point for tracking your mileage. Use a notebook to create a mileage log.

2. Complete your business trip, then record the new odometer reading in your log. .

3. Subtract the odometer reading recorded at the beginning of your trip from your ending trip odometer reading. Record this number in your log, along with the date. This number signifies the total miles for the trip.

4. Repeat this process for every business trip. You can add your daily mileage totals to arrive at weekly or monthly totals throughout the year.

References

• Mighty Bargain Hunter: Tracking Your Mileage