As independent contractors, REALTORS® are responsible for tracking their own business expenses and mileage throughout the year. Yet, many leave this task until tax season, risking missed deductions and unnecessary stress. Whether you’re driving to showings, paying for marketing, or picking up supplies, every mile and dollar counts when it comes to reducing your taxable income. Fortunately, there are tools designed to make this easier, saving you time and helping you keep more of what you earn.
Why Track Mileage and Expenses?
The IRS allows deductions for legitimate business expenses, including vehicle mileage, marketing, office supplies, and more. But without accurate records, these deductions can be disallowed or overlooked. Tracking throughout the year not only keeps you organized but also ensures you don’t leave money on the table.
Top Tools for Real Estate Professionals
Here are a few apps commonly used by agents to simplify tracking:
- MileIQ – A popular mileage tracking app that runs automatically in the background and classifies trips with a simple swipe. NAR members receive a discount through REALTOR Benefits®.
- QuickBooks Self-Employed – Tracks mileage, categorizes expenses, and generates easy tax reports. This is a great all-in-one solution for agents wanting more than just mileage tracking.
- Hurdlr – Designed for self-employed professionals, Hurdlr tracks income, expenses, mileage, and even calculates estimated taxes in real time. CAR members receive a free premium account.
Our Recommendation
Take advantage of the REALTOR Benefits® Program through NAR and member discounts through C.A.R. before purchasing any app. These partnerships often provide cost savings you won’t get elsewhere. You can explore these member benefits at www.nar.realtor/realtor-benefits-program and www.car.org/members/benefits.
Remember, what gets measured gets managed. Invest a few minutes now to set up one of these tools, and you’ll thank yourself when tax season arrives.