To track mileage for work, record each eligible trip with the date, starting point, destination, business purpose, and business miles. Apply the rate in effect on the travel date, route the claim for approval, and retain the record with the related expense report.
The best method depends on trip volume. If your team drives occasionally, manual entry works. Frequent drivers and distributed teams usually need a mileage tracker that records trips consistently and connects them with approvals, coding, and reporting.
Key takeaways
Business mileage generally covers travel required to perform work, such as driving between job sites, visiting customers, making business deliveries, traveling to a temporary work location, or moving between company facilities during the workday. A normal trip between home and a regular workplace is generally commuting, not business mileage.
Treatment can differ for temporary work locations, home offices, and special assignments, so define common scenarios in your policy and tell employees to ask before submitting an uncertain trip.
Write down which trips qualify, which rate applies, required fields, submission deadlines, and approval responsibilities. For policy design, review ExpensePoint's Mileage Reimbursement Guide.
Enter the trip during or immediately after travel. Delayed logs are more likely to omit journeys, use estimated routes, or miss the business purpose.
Record the date, origin, destination, business reason, business miles, employee, vehicle when required, and the entity, project, department, or cost center that should receive the expense.
Exclude normal commuting and personal detours. When one journey contains both business and personal travel, claim only the business portion and document how it was calculated.
Multiply approved business miles by the rate effective on the travel date. If the rate changes mid-year, keep separate effective dates rather than replacing the earlier rate.
Ask managers to confirm the purpose, distance, and coding. Then retain the approved claim with its route details, comments, and reimbursement calculation.
Main advantage: you can start a paper mileage log immediately without a device, account, or training. It works when one employee logs only a few business trips each year.
Best fit: rare, low-value mileage claims in a simple approval environment. Key consideration: paper records are easy to lose, hard to search, and time-consuming for finance to combine or audit.
Main advantage: a spreadsheet creates standard fields and can calculate reimbursement automatically. It gives finance more consistency than free-form email or paper submissions.
Best fit: a small team with one entity, one rate, and predictable trip volume. Key consideration: employees still have to remember each trip, and multiple file versions can weaken review and reporting.
Main advantage: mileage stays connected to the expense report, approval path, general ledger coding, and reimbursement process. This is stronger than storing mileage in a separate file.
Best fit: employees with occasional trips, unusual routes, or detailed project coding. Key consideration: the process is only accurate when employees enter each trip on time.
Main advantage: a GPS-based mileage tracker records routes and calculates distance with less manual work. Employees can review trips, separate personal travel, and submit eligible mileage.
Best fit: field service, sales, construction, logistics, and other roles with frequent travel. Key consideration: you need a clear privacy policy, appropriate device permissions, and a review step before reimbursement.
The IRS changed the optional business standard mileage rate during 2026. The travel date determines which rate applies.
| Travel date | Business rate | How to apply it |
|---|---|---|
| January 1 to June 30, 2026 | 72.5 cents per mile | Use for eligible business miles driven before July 1. |
| July 1 to December 31, 2026 | 76 cents per mile | Use for eligible business miles driven on or after July 1. |
The federal rate is optional. You can use another rate or reimburse actual vehicle costs, subject to your policy and applicable law. Reimbursements above the substantiated amount may have tax consequences. State rules can also affect your reimbursement obligations.
Multiply approved business miles by the applicable mileage reimbursement rate. For example, 120 eligible miles driven on July 15, 2026, at 76 cents per mile produces a reimbursement of $91.20.
Keep parking and tolls separate if your policy reimburses them in addition to mileage. Do not add fuel, maintenance, or depreciation again when you use a standard mileage rate intended to cover vehicle operating costs. ExpensePoint's mobile receipt capture and email forwarding make them easy to report and reimburse.
Calendar entries can help confirm a trip, but they are not a substitute for a timely mileage log. Record trips daily or use automatic tracking.
A drive to the regular workplace is generally commuting. Spell out how your policy treats travel between work sites, temporary locations, and home-office situations.
For the 2026 rate change, a June trip remains in the earlier rate period even when the employee submits the report in July.
Even accurate mileage claims stall when employees submit them after your reporting deadline. Ask employees to record and submit mileage promptly so reimbursements land in the correct reporting period.
A route shows where the employee traveled, not why the travel was required. Use a short, specific purpose, such as customer inspection or travel between Plant A and Warehouse B.
A correct reimbursement can still produce incorrect financial reporting. Require the right entity, facility, project, or department before approval.
Finance teams need a mileage tracking solution that supports both GPS tracking and manual entry, clearly separates business and personal travel, applies mileage rates based on effective dates, and requires employees to include business purposes and financial coding. The system should also route approvals by manager, project, or entity while maintaining maps, comments, and other records that simplify audits and integrate with accounting, payroll, or ERP systems.
Mileage becomes harder to control when employees travel across facilities, legal entities, projects, and customer locations. Finance needs one required data set, but coding and approval rules may differ by operation.
Some organizations also use different reimbursement policies, approval hierarchies, or cost allocations across entities. Your mileage tracking process needs to flex with these differences while routing each claim to the appropriate reviewer and coding each reimbursement correctly for financial reporting. ExpensePoint supports more than 150 finance and business-system integrations and can align fields and exports with different accounting structures.
Reliable mileage tracking does not require the most complex tool. The teams that get it right prioritize timely trip records, a clear reimbursement policy, the correct effective rate, and a review process that connects each claim to the right business purpose and cost center. Get those pieces in place and mileage stops being a month-end scramble: employees log trips in minutes, managers approve with full context, and finance closes the books with records it can defend.
ExpensePoint brings GPS and manual mileage tracking, effective-dated rates, and approval routing into the same system as the rest of your expenses, whatever cards or accounting stack you run.