The Importance of Mileage Tracking for Independent Contractors

According to the LA Times, the number of independent contractors have significantly grown over the years to about 6.9 percent in the year of 2017. Independent contractors now have the largest amount of people working for the alternative work category. Many people prefer to work independently as opposed to the employee-employer relationship. There are much more benefits to working independently. You are able to control when you work, and you are able to control how much you work. You no longer have to depend on requesting for overtime if you need to make more money. As an independent contractor your earnings will depend on how much work you put in and how much business you have at the end of the night. Like any other self-employed position, there are its pros and cons. However, if you are currently working as a self-employed individual, it is imperative that you track every single mile you drive if you are using your own vehicle to make your earnings.

According to Brookings, there are more than 15.5 million workers in America who have already established alternative working arrangements. This means that other than their normal standard full time position working for an employer, then also have side jobs that allow them to make extra money. These positions may include: independent contractor work, on-call work, temp work, and workers hired by external firms. Since the invention of Uber, many people are opting to work on the side to earn some extra money. The great advantage of working for yourself is that you are able to work whenever you want, which many people can appreciate if they already have another job. In addition, if you need to earn more money, you are not on a restriction. As an independent contractor, you can earn as much as you want. However, you may be paying out of pocket for expenses, which is why it is critical to keep track of all your miles and anything you spend out of pocket for your job to be able to count them as tax deductions.

There has been many new creations of apps and devices that allow the self-employed to be able to carefully track their miles. Every time you perform any type of work for earning money, you must make sure to keep careful records. Tracking miles on your car is especially important because the deductions for taxes are significant. One easy app that you can try when tracking your miles for work can be found at: https://www.everlance.com/. From here, you should be able to find out how you can easily download the app and get started.

Remember, keeping organized and keeping track of everything is key to being a successful independent contractor. Without records, you will not be able to truthfully claim miles for tax deductions, which will end up costing you money the end of the year for taxes. Overall, stay organized and always remember to track your miles and keep all your receipts with every purchase you make for your jobs.