# 2nd day, I would like to know if I have my bases covered on what to keep track of.



## Ubernic (Apr 24, 2016)

I have read many threads, posts, and information on basic tax stuff to save.

Here is a list of receipts I am saving. Or can print easily online.

-Gas
-Food
-Snacks
-Water
-Cell Phone
-Maintenance
-Insurance

Is that everything?

Also, I have a question about the mileage. I know we get 0.557 per mile to deduct correct? Yesterday I put 300 miles on my car, they were not all "on the clock" some of it was driving back from rides that went out of the way. Can I deduct the full 300 miles? Or can I only deduct the amount driven when on a fare?

Another thing, is there a good app or PC program someone can recommend where I can punch in my daily expenses at the end of the day?

The big question is what is this quarterly tax situation people talk about? Do I need to register somewhere as being self employed or is that all taken care of?

Thanks guys!


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## Beur (Apr 14, 2015)

You can claim all miles you drive with the app, passenger doesn't need to be in the car. 

Try Stride Drive, great app for tracking all your expenses.


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## Ubernic (Apr 24, 2016)

Beur said:


> You can claim all miles you drive with the app, passenger doesn't need to be in the car.
> 
> Try Stride Drive, great app for tracking all your expenses.


Ok, so I must be "Online" then to have this documented? Yesterday I drove way out of the way, and on the way back I went offline to make sure I wasn't requested while on my way back to downtown. I didn't want to keep getting further away.


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## Beur (Apr 14, 2015)

Ubernic said:


> Ok, so I must be "Online" then to have this documented? Yesterday I drove way out of the way, and on the way back I went offline to make sure I wasn't requested while on my way back to downtown. I didn't want to keep getting further away.


Not must be online, but if your day is spent driving claim all mileage


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## Ubernic (Apr 24, 2016)

Thanks buddy, I will check out that App.


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## Beur (Apr 14, 2015)

Turn the app on when you start driving and leave it on until you get home. It will automatically track your mileage.


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## Ubernic (Apr 24, 2016)

Beur said:


> Turn the app on when you start driving and leave it on until you get home. It will automatically track your mileage.


I was going to download triplog, does this act the same as triplog? I think with triplog I can tell it when I am on the clock or not.


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## Beur (Apr 14, 2015)

Ubernic said:


> I was going to download triplog, does this act the same as triplog? I think with triplog I can tell it when I am on the clock or not.


I've used Triplog, Stride is better in my opinion. Find the one that works best for you, use a few to see what you like and don't like.


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## UberTaxPro (Oct 3, 2014)

.575 was 2015. 2016 .54
You'll need to pay estimated tax and Self employment tax *if your making a profit *4 times a year:
January 1 - March 31, due on 2016 April 18, 2016
April 1 - May 31, 2016 due on June 15, 2016
June 1 - August 31, 2016 due on September 15, 2016
September 1 - December 31, 2016 due on January 17, 2017


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## UberTaxPro (Oct 3, 2014)

Deductible miles are not necessarily only app on miles. The requirement is that the miles are "business miles".


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## UberTaxPro (Oct 3, 2014)

I find the automatic mileage tracker apps to use up to much resources on my phone. I use BizXpensTrkr and enter manually. Many people on here take pics of odometer....probably a good idea also


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## UberTaxPro (Oct 3, 2014)

Form 1040ES for estimated taxes and SE taxes. 
https://www.irs.gov/uac/Form-1040-ES,-Estimated-Tax-for-Individuals-1


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## UberTaxPro (Oct 3, 2014)

If your using the Standard Mileage Deduction you can't deduct *insurance, gas, and maintenance *but it's a good idea to save the receipts anyway


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## Ubernic (Apr 24, 2016)

UberTaxPro said:


> If your using the Standard Mileage Deduction you can't deduct *insurance, gas, and maintenance *but it's a good idea to save the receipts anyway


Thanks for all of your advice here. I drive for Select only, and if things continue how they are a profit is inevitable. I am saving every receipt anyways to add it all up and see whether I will claim the 0.54 or actual expenses. Thanks again for all of your advice.


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## Ubernic (Apr 24, 2016)

Beur said:


> You can claim all miles you drive with the app, passenger doesn't need to be in the car.
> 
> Try Stride Drive, great app for tracking all your expenses.


I am getting conflicting reports on dead miles. Some say it is fraud to claim miles when the pax is not in the car. Others say the app must be on, then others of course say all miles from when you start your day to when you finish.

From a professional standpoint I consider my entire day spent on Uber as work, I would not be driving to and from location to get rides if that wasn't the case.


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## Beur (Apr 14, 2015)

Ubernic said:


> I am getting conflicting reports on dead miles. Some say it is fraud to claim miles when the pax is not in the car. Others say the app must be on, then others of course say all miles from when you start your day to when you finish.
> 
> From a professional standpoint I consider my entire day spent on Uber as work, I would not be driving to and from location to get rides if that wasn't the case.


All your miles while working can be deducted. Consult your tax guy.


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## Ubernic (Apr 24, 2016)

Another question I have, is how much net profit should I set aside for taxes? Let's say I had $500 in mileage/maintenance/expenses to make $1000, how much would I put aside for taxes? 

Thanks for all your help guys. Just trying to get sorted.


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## UberTaxPro (Oct 3, 2014)

Ubernic said:


> Another question I have, is how much net profit should I set aside for taxes? Let's say I had $500 in mileage/maintenance/expenses to make $1000, how much would I put aside for taxes?
> 
> Thanks for all your help guys. Just trying to get sorted.


You'll need 15.3% for your self employment tax. Income tax is a little harder to determine because it will depend on your total income for the year. 30% or so total might be a good place to start. Reminds me of a quote I heard...."Teach your kids about taxes, eat 30% of their ice cream."


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## clint5922222 (May 3, 2016)

hey guys i have few questions.i use mileiq to track my miles i drive i only turn on the app to track from time i leave my drive way to drive for uber and when i get home i turn it back off i also take a picture of my trip at end of day which i reset everyday before i go to work is this enough with this app and my trip to get my miles deduct when is tax time?do i need to be more detail or is this enough?dont want no problems with uncle sam at end of year lol


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## Stygge (Jan 9, 2016)

UberTaxPro said:


> ...."Teach your kids about taxes, eat 30% of their ice cream."


In my family we have a dad tax on everything they have and I like. My kids asked me how I have the right to tax them and I explained I have all the power so I'm entitled to tax them. They will grow up to be good citizens. Ha ha.


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## Fuzzyelvis (Dec 7, 2014)

clint5922222 said:


> hey guys i have few questions.i use mileiq to track my miles i drive i only turn on the app to track from time i leave my drive way to drive for uber and when i get home i turn it back off i also take a picture of my trip at end of day which i reset everyday before i go to work is this enough with this app and my trip to get my miles deduct when is tax time?do i need to be more detail or is this enough?dont want no problems with uncle sam at end of year lol


You need your total odometer readings, not the trip one which can be reset. If you get audited you can show that say your odometer read 28,554 on May 5 and you got your oil changed the day before at 28521, then that's a believable point to be at. Your mileage log should all make sense with your maintenance, car inspection (which is on carfax, as is dealer work most times now). The IRS doesn't want "I drove 200 miles on May 3" they want starting reading of 28554 and ending 28774 to back it up. Your other records just confirm.

I write my mileage on the receipt when I get gas. That's another record. I don't use those receipts as I deduct actual mileage, but they back up when and where I was and the mileage if I'm audited.

But the short version is, use complete odometer readings for your records. I use paper, but whatever works. I would strongly suggest you make sure it's not only on your phone or a lost phone is a problem.


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## Ubernic (Apr 24, 2016)

I am using SherpaShare, it logs each trip and backs it up online. I am able to label each trip as either business or personal with a GPS log. Surely that is good enough for the IRS.


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## Ubernic (Apr 24, 2016)

So I am going to be making my first tax payment. I am using QuickBooks SE, it tracks all of my mileage and I entered my expenses and pay. Instead of leaving default projections, which were kind of way off, I zeroed out my projections for the rest of the year so it shows me exactly what I owe on what I have done so far. I am going to make that payment. 

I have not added in cell phone payment, or car loan interest, as I was advised to do that end of year only I believe?

Anyways, I am happy with where my payment is. If it sounds like anything is missing here please let me know before I make the payment in a day or two.


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## socal_uberx (Nov 2, 2015)

Ubernic said:


> So I am going to be making my first tax payment. I am using QuickBooks SE, it tracks all of my mileage and I entered my expenses and pay. Instead of leaving default projections, which were kind of way off, I zeroed out my projections for the rest of the year so it shows me exactly what I owe on what I have done so far. I am going to make that payment.
> 
> I have not added in cell phone payment, or car loan interest, as I was advised to do that end of year only I believe?
> 
> Anyways, I am happy with where my payment is. If it sounds like anything is missing here please let me know before I make the payment in a day or two.


sounds good from my perspective since you're leaving out a majority of allowable deductions but accounting for mileage. better to to over than under paid as not to incur penalties / interest

here's the IRS link for e-pay... https://directpay.irs.gov/directpay/payment?execution=e1s1


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## Ubernic (Apr 24, 2016)

Thanks, this is only half of my tax liability right? I should still be putting away 15% for other taxes as well at the end of the year?


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## socal_uberx (Nov 2, 2015)

Ubernic said:


> Thanks, this is only half of my tax liability right? I should still be putting away 15% for other taxes as well at the end of the year?


whelp there's a SE (self employment) tax element that's included in the Schedule C using the net P&L # too. but yes there's also a state tax component based on your location (you're on your own w/ that unless you live in CA).


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## Ubernic (Apr 24, 2016)

socal_uberx said:


> whelp there's a SE (self employment) tax element that's included in the Schedule C using the net P&L # too. but yes there's also a state tax component based on your location (you're on your own w/ that unless you live in CA).


Yes I am in Cali. I have $1k in a reserve account, I don't think I need even close to that, but it is there just in case.


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## UberTaxPro (Oct 3, 2014)

Ubernic said:


> Thanks, this is only half of my tax liability right? I should still be putting away 15% for other taxes as well at the end of the year?


The 1040 ES includes all your federal taxes. To pay CA estimated tax use CA form 540ES


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## Ubernic (Apr 24, 2016)

UberTaxPro said:


> The 1040 ES includes all your federal taxes. To pay CA estimated tax use CA form 540ES


Do we have to file estimated? Or it just helps?


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## socal_uberx (Nov 2, 2015)

Ubernic said:


> Do we have to file estimated? Or it just helps?


quarterly estimates are mandatory if you aren't pulling IRS/state taxes from a primary W2 type job (meaning, increasing withholding to account for UBER Sch. C SE plus net P&L tax)


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## LAuberX (Jun 3, 2014)

Ubernic said:


> Do we have to file estimated? Or it just helps?


If you keep track of your miles daily, and drive one dead mile for every paid UberX/pool mile you will owe NO TAXES.

Uber, it just don't pay.


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## UberTaxPro (Oct 3, 2014)

Ubernic said:


> Do we have to file estimated? Or it just helps?


Pay on what you earned for the quarter just like you're doing for the federal. Here's a link to the CA income tax brackets. http://www.tax-brackets.org/californiataxtable Estimate which tax bracket you're gonna be in at the end of the year and pay the corosponding percentage each quarter.  CA has a lot of tax brackets so it might take a little more diligence than the federal. Here's a link to the federal tax brackets. http://www.bankrate.com/finance/taxes/tax-brackets.aspx
It's the same for both. Estimate your tax bracket for the end of the year and pay the corresponding %. There're more detailed ways to deal with this that take into account more deductions etc.. that you'll have at tax time but this is a conservative way to estimate it without it taking up to much time or sending in way to much money.
Estimates are what they are so they're not always correct because people's circumstances change. If you win the lottery for example you can throw any estimates out! The IRS puts the burden on estimating on us which seems a bit unfair. They should call it "estimate correctly or else you pay more taxes" instead of "estimated taxes".


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## Ubernic (Apr 24, 2016)

LAuberX said:


> If you keep track of your miles daily, and drive one dead mile for every paid UberX/pool mile you will owe NO TAXES.
> 
> Uber, it just don't pay.


That's about what happens anyways. I try to avoid dead miles but inevitably half my miles seem to be dead miles.


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## Fireguy50 (Nov 23, 2015)

Beur said:


> Not must be online, but if your day is spent driving claim all mileage


Correct, if you leave home with the intention of picking up riders, start and stop milage records from home. No free miles!

*Also Deductible *

Dash camera
Cell phone mount
Reusable water bottle (like a nice Nalgene brand)
Cleaning supplies for the drunk pukers and messy riders
High quality rubber floor mats (like WeatherTech)
Door edge guards so riders aren't damaging things when opening doors
I would add red reflectors to the inside of you door frames to protect your vehicle against traffic while on the side of the road.
Any stupid amenities you offer the rides (water, mints, etc...)
Defensive protection legal in your area (Uber is no authority and can't help in the moment or even a week later, you'll only get a computer generated apology for the incident)
Extra phone chargers for yourself and riders
Fire extinguisher


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## Ubernic (Apr 24, 2016)

UberTaxPro said:


> Pay on what you earned for the quarter just like you're doing for the federal. Here's a link to the CA income tax brackets. http://www.tax-brackets.org/californiataxtable Estimate which tax bracket you're gonna be in at the end of the year and pay the corosponding percentage each quarter. CA has a lot of tax brackets so it might take a little more diligence than the federal. Here's a link to the federal tax brackets. http://www.bankrate.com/finance/taxes/tax-brackets.aspx
> It's the same for both. Estimate your tax bracket for the end of the year and pay the corresponding %. There're more detailed ways to deal with this that take into account more deductions etc.. that you'll have at tax time but this is a conservative way to estimate it without it taking up to much time or sending in way to much money.
> Estimates are what they are so they're not always correct because people's circumstances change. If you win the lottery for example you can throw any estimates out! The IRS puts the burden on estimating on us which seems a bit unfair. They should call it "estimate correctly or else you pay more taxes" instead of "estimated taxes".


I finally sat down to do this for California today, do we use the same deductions for California? The $0.54 per mile etc? If so then wouldn't it just be the same type of payment as I just made to federal? On paper I believe I will be in the 15% category.


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## UberTaxPro (Oct 3, 2014)

Ubernic said:


> I finally sat down to do this for California today, do we use the same deductions for California? The $0.54 per mile etc? If so then wouldn't it just be the same type of payment as I just made to federal? On paper I believe I will be in the 15% category.


Yep pretty much the same except you'll only be paying 1 tax (state income tax). 15% is your federal bracket right? CA has brackets that go from 1% to 13.3% 
http://www.tax-brackets.org/californiataxtable
https://smartasset.com/taxes/california-tax-calculator


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## Ubernic (Apr 24, 2016)

Just saw this, thanks for that. I guess on paper I will be 2% or 4% tax bracket for State, so I will take my net profit, pay 4% of that then boom done yea? If I overpay I will always get it back at the end of the year.


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## UberTaxPro (Oct 3, 2014)

Ubernic said:


> Just saw this, thanks for that. I guess on paper I will be 2% or 4% tax bracket for State, so I will take my net profit, pay 4% of that then boom done yea? If I overpay I will always get it back at the end of the year.


you got it


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## mattmcdon8 (Apr 8, 2016)

Beur said:


> You can claim all miles you drive with the app, passenger doesn't need to be in the car.
> 
> Try Stride Drive, great app for tracking all your expenses.


Also the comprehensive tax guide that goes with app:
http://blog.stridehealth.com/post/rideshare-tax-deduction-guide


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## Fireguy50 (Nov 23, 2015)

I edited clothing out of my list.

What about home computer office suppliers? Is that going to be a difficult sell with Uber being a mobile app, not utilized in the home. It's probably easier for full time drivers, but I still have to

Keep records of mileage downloaded to excel and stored.
Downloading and checking dash camera footage. (Probably the biggest use)
Send Uber pointless emails to their CSR's.
Access this website for up to date tips and news (can't be found in local or 24hr news)
Order items online from my previous list.
How far could we push the "home office" limit?ubertaxpronomad


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## UberTaxPro (Oct 3, 2014)

Fireguy50 said:


> I edited clothing out of my list.
> 
> What about home computer office suppliers? Is that going to be a difficult sell with Uber being a mobile app, not utilized in the home. It's probably easier for full time drivers, but I still have to
> 
> ...


Don't forget about bookkeeping records in addition to the mileage log. You should be making entries into and balancing your business checkbook that maybe you have on some checkbook software or quickbooks. Nomad is right about the record keeping hassles for that other stuff. There are new safe harbor rules for home office deductions you might want to be aware of. The rules for qualifying haven't changed but if you were to qualify the record keeping requirements are minimal under the safe harbor option. 
https://www.irs.gov/businesses/smal...d/simplified-option-for-home-office-deduction


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## Nomadwolf (Aug 15, 2015)

Nomad said:


> Hmmmm... "mandatory" is a misleading word. *IF*, come tax time, you find out that you owe more than $1,000 to the IRS, you will be hit with an Underpayment Penalty. It's one of the most minimal penalties I've ever seen from the IRS. To me, it makes it more worthwhile to put estimated payments into a savings account and make more money in interest than you'll pay in Underpayment Penalty.
> 
> More than likely you won't end up owing $1,000 or more to the IRS; however, if you find that you are one of the top tier drivers and do end up owing more than $1,000, than the following year you will be required to make mandatory estimated payments based on the previous year's income.


So I've already a full-time job that takes withholdings, and usually I get a refund (I know I should update my W4, but whatever). So Uber earnings won't be enough to get me above $1k owed. But how do I get my FICA taxes properly paid? Is the 1040ES the only way?


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## PooPhD (Jun 26, 2016)

Ubernic said:


> I have read many threads, posts, and information on basic tax stuff to save.
> 
> Here is a list of receipts I am saving. Or can print easily online.
> 
> ...


$.557 = national average for car depreciation, gas, maintenance, insurance, so you will claim Standard Mileage...so use if you don't want to keep receipts of all of those items. Being my first year of Uber driving, I'll compare Standard Mileage and Actual when IRS filing (TaxACT program) and if Actual is substantially higher, then I'll estimate for 2016 and keep receipts in 2017 (gets complicated with a little bit of gas is for personal use).
I suggest DO NOT provide water and certainly not snacks - Uber pays you way too little, which will be very clear to you when you file taxes and in the future try to sell your car with huge mileage and more wear than usual.
miles - Uber has not acted on my comment to include miles driven in weekly summaries...I have to do a copy/paste from another report for each day of the week where miles driven does appear. I have an Excel file that tracks payout, tolls, mileage, phone data plan, any car repairs/deductible. I double miles to add in work miles Uber doesn't/can't track, my meals. The likelihood IRS will choose to audit me is almost nil.
cell phone data plan - claim what you feel is reasonable/justifiable as business not personal use.
Don't sweat it


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## Ubernic (Apr 24, 2016)

Water is $5 for 40 bottles, not a big deal.


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