How to Calculate Business Mileage

Step 1: Track every business journey

The first step is to record every business journey you make. HMRC requires the date, the start and end points, the total miles and the business purpose. You can track this manually, but automatic GPS tracking is far more accurate and saves hours of admin.

With MileageCalendar, journeys are detected automatically using GPS. You simply confirm whether each journey was business or personal — the app records the date, route and distance for you.

Step 2: Separate business from personal

Not every journey in your vehicle is a business journey. Your regular commute to a fixed workplace is personal, not business. But travel between client sites, to supplier meetings or to temporary work locations is business mileage.

MileageCalendar lets you classify each journey as business or personal with one tap. Only business journeys are included in your claim.

• Business: travel between client sites, supplier visits, business errands
• Business: travel to temporary work locations (under 24 months)
• Personal: your regular commute to a fixed workplace
• Personal: private journeys and social trips

Step 3: Apply the HMRC approved rate

Multiply your total business miles by the HMRC approved rate: 55p per mile for the first 10,000 miles, and 25p per mile above 10,000. For example, 8,000 business miles = 8,000 × £0.55 = £4,400.

If you exceed 10,000 miles, the rate switches automatically. MileageCalendar handles this calculation for you — you never need to think about the threshold.

Step 4: Export your claim

Once you have your total, you can export a compliant report for your Self Assessment or accountant. The report should include every journey with its date, route, miles and purpose.

MileageCalendar exports PDF and CSV reports that meet HMRC record-keeping requirements, and can also send claims directly to Xero, QuickBooks, FreeAgent or Sage.