Monday, March 11, 2013

Q&A: Filing my taxes as a Delivery Driver?

Question by shiano13: Filing my taxes as a Delivery Driver?
Normally, I just file them in the standard 1040EZ with the standard deductions. However, I’m kinda curious as to what I would receive if I were to file using my mileage. No, I don’t expect someone to say “you’ll receive $ xxx.xx”.

At the company I work at, we receive $ 1.25 PER run. Not mile, but run. With a delivery area that is 11 miles one way in some spots, obviously, that doesn’t even COVER my fuel and at $ 5.25/hour (yes, sub-minimum wage b/c I’m considered a “tipped” employee even when people don’t tip)

Based on my last check stub (12/19), my current information is (YTD):
Gross———-7195.27
Tips————-2280.26
Fed ————–130.00 (*)
SS—————-397.99
Medicare——-137.42
State————–30.27 (GA)

(*apparently, when I tell the HR to take out an ADDITIONAL $ 5 per week, they don’t understand correctly)

I know that I’m above the maximum to not be taxed but I’m not sure how much they are really going to be taking out if I file Standard or if I do an Itemization with my Mileage.

For Jan and Feb, I added up my mileage and it comes to 1370.xx round trip. We’ve been busier since then so I can’t really use that as the norm for a yearly average but if I did, that would equal 8225.xx miles for the year.
I keep a log book of all my deliveries from the beginning of the year. So that’s how I know the mileages.

I’m still in the middle of tallying them all but if anyone has actually filed their taxes as mileage as a delivery driver, I could really use your detailed advice.

If all my deliveries tipped $ 5 or higher, I’d not even have to think about doing it this way.

Any real help is appreciated.
Btw, “Take it to a tax professional/preparer and ask them” is NOT real help. I barely make enough money to make rent, utilities, and sometimes food. I know that most of them are free, but it’s not free to file through them.
Feel free to message me if you have too much information to list here.
Howard brings a detail I left out to light.

I had 407 deliveries in those 2 months and that equals $ 508.75 in “reimbursements” from the company.

Best answer:

Answer by Howard L
The mileage rate for 2011 is 51 cents before June 30, 55 cents for miles after July 1 so calculate what your allowable deduction is based on the miles you’ve driven, roughly 8225 X .53 or $ 4,360. If $ 4,360 is more than you received at $ 1.25 per run take the difference as a deduction.

You will need to file form 1040 in order to claim that amount as an unreimbursed employee expense.

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Q&A: Filing my taxes as a Delivery Driver?

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