Taxes
Taxes when you drive for gig apps.
You're self-employed in the eyes of the IRS — which sounds scary but is mostly good news. The mileage deduction wipes out most of your tax bill if you track it.
The deduction is the prize — see what yours is worth
Adjust the inputs to your own situation. Numbers recalculate live.
Your numbers
Defaults to a typical full-time gig driver: 30K business miles, $48K gross. Adjust to your own situation. 2026 IRS rate: 67¢/mile.
Approximate federal tax avoided by claiming the mileage deduction at a 22% marginal rate + 15.3% SE tax.
The basics every gig driver has to know
1099 contractor, not employee
Every platform sends a 1099-NEC at year-end if you made $400+. No tax withheld — you owe it directly to the IRS.
Self-employment tax is 15.3%
Social Security + Medicare on every dollar of net gig income, on top of regular federal income tax.
Quarterly estimated taxes
If you'll owe more than $1,000, the IRS expects payments Apr 15, Jun 15, Sep 15, Jan 15. Set aside 25–30% of every gig dollar.
Mileage deduction is the prize
67¢/business mile in 2026. A typical 30K-mile gig year = $20,100 in deductions. Biggest tax break in the gig.
What you can deduct
Mileage
67¢/mile for 2026 — must track to deduct.
Phone bill
Business-use percentage of your monthly bill (usually 30–70%).
Phone mount + charger
Anything bought specifically for driving.
Hot bags / coolers
Insulated bags, drink carriers, anything for keeping food at temp.
Tolls + parking
Tolls during deliveries are deductible. Citations are not.
Car washes
Especially relevant for rideshare.
Mileage tracking apps
If you don't track miles, the IRS doesn't give you the deduction. Pick one on day one.
Stride
Auto-tracks drives in the background. Zero learning curve. Best free option.
Everlance
More automatic categorization. Worth it once you're full-time.
MileIQ
Swipe left/right to classify drives. Reliable. Subscription required.
Hurdlr
Mileage + invoicing + tax estimates. Best if you have multiple income streams.
Solo / Gridwise
Pulls earnings from each platform and combines them. Great for multi-appers.
How to file
TurboTax Self-Employed
Easiest if you've used TurboTax before. Walks you through Schedule C.
FreeTaxUSA
Much cheaper than TurboTax. Same forms.
H&R Block Self-Employed
If you want in-person help available.
A CPA who knows gig
Worth it once you're earning $40K+. Saves more than they cost.
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Calculator is for general illustration only — not tax advice. State income tax not included. Consult a CPA for your specific situation.