Guide · Mileage
How to invoice mileage
Mileage can be a reimbursement from a client or a deduction on your tax return — often both, but not on the same trip. Keep one log and use it for each purpose correctly.
Two different things
Billing a client for mileage is a pass-through cost: you drove for their project, and they reimburse you. Deducting mileage on your tax return is a business expense. If the client reimburses you under an accountable plan, the reimbursement is generally not income — but do not also deduct the same miles. Ask an accountant how your situation should be recorded.
The rate
The IRS publishes a standard mileage rate each year for business driving. Use the current rate for the year the trip happened, or your actual costs if your policy allows. Do not use last year’s rate because you remember it; check the current figure.
Keep a mileage log
- Date of the trip.
- From and to addresses.
- Business purpose — the client or project.
- Miles driven.
- The rate used, if you are billing a client.
How to put it on the invoice
Use one line: “Mileage — 128 miles at $0.70/mile = $89.60.” If the client agreed to a flat travel fee instead, use that, but say what it covers. Do not bury mileage in an hourly rate; the client cannot verify it and you cannot defend it.
Mileage vs a flat travel fee
A flat travel fee is simpler to invoice and easier for the client to approve, but it can undercharge a long trip or overcharge a short one. Mileage at the current rate is more precise, but it needs a log. Pick one method in the quote and stay with it for the project; do not switch because the trip was longer than expected.
Receipts and backup
A mileage log is the backup, not a fuel receipt. Fuel receipts prove you bought gas, not that you drove for the client. Keep the log with the invoice or expense report, and note the purpose of each trip.
Example
| Date | Trip | Miles | Amount |
|---|---|---|---|
| Nov 4 | Studio to client site | 32 | $22.40 |
| Nov 12 | Client site to printer | 18 | $12.60 |
| Nov 18 | Studio to client site | 32 | $22.40 |
| Total | 82 | $57.40 |
Use the expense report template to total the miles, or the invoice template if the mileage is billed directly. The expense report guide covers the receipt side.
This is general information, not tax advice. Mileage rates and reimbursement rules change; confirm the treatment with an accountant.
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