Claiming Pizza Delivery Mileage On Your 2008 Taxes

Each year I post about how to claim your pizza delivery mileage on your taxes. Last year's post is very detailed and even includes a scanned image of the 1040.

What you need to know:

1. There are 2 methods: Actual expenses or mileage. Unless you are driving a newer car that you are still making high payments on, it is usually better (and almost always simpler) to use the mileage method.
2. If you claim expenses, you must also claim your reimbursements.
3. To claim your expenses, you must itemize your deductions on Schedule A. Unless you have a mortgage and pay a bunch of interest, or make large charitable donations, you are better off claiming the standard deduction.
4. Even if you itemize, your unreimbursed expenses must be at least 2% of your total income.

Well this year I did not claim my mileage. Due to my hernia surgery in June, my suspension in December for not using a car-topper, and generally working fewer shifts, I drove fewer miles.

My total delivery miles for the year were 3774 (compared to 7629 in 2007). This got me $976 in "unreimbursed employee expenses" on Schedule A, Line 24. However, this is less than 2% of my Adjusted Gross Income, so I did not get to claim this deduction for 2008.

I expect this is a common situation for most pizza delivery drivers, either the mileage was not over 2% of the AGI or, even more commonly, the pizza driver will not itemize deductions on Schedule A and instead will use the Standard Deduction.

On Time Pizza Surprise

On my first delivery tonight, the woman answered the door saying, "This is the first time ever the pizza has been on time."

To which I replied, "It must be the first time you've had me deliver it."

She paid and tipped $1. Then she said, "Seriously, it's been late like 4 times in a row." And I replied, "Well I'm glad we got it right this time."

But seriously, lady, $1? If I get the chance to take somebody else their food before hers next time, I won't hesitate.

My night started out pretty awful, at 5 deliveries I had only collected about $3.50 in tips. We have a new policy that drivers are supposed to declare $1.50 in tips per hour. Well the law says that I have to report all of my tips (if I collect at least $20 in tips in a month).

I have always reported all of my tips, which is generally way over $1.50 per hour. But every so often I have a crummy night and we are really slow. Like tonight, at the 3 hour mark I only had the $3.50. And I refuse to lie and inflate my tips above what they actually are.

Luckily for me, my last 2 deliveries of the night each tipped $5 and put me well over the $1.50 per hour rate.

My totals for the night were 5 hours of driving, 9 deliveries, 37 miles, and $18 in tips.

NCAA MSU-Louisville Update

It was bound to happen, I got a cocky and now I have to be a Michigan State fan. Louisville looked awful today, the zone defense wasn't working and they stayed in it until the last 2 minutes when they were already down by 17.

NCAA Elite Eight (halfway) Update

I RULE!

I got 7 of 8 correct in the round of 16, and I'm 2-2 so far in the Elite Eight. If North Carolina and Louisville, both #1 seeds, win on Sunday I will have all 4 final 4 teams correct.

My sister-in-law Dawn, who picked the better seed in every game, is in 2nd place.

The Wrong Side Of Town (Ain't So Bad)

I worked 5 hours driving (plus another cleaning up) and took 10 deliveries tonight (including 3 doubles). Nine of the 10 deliveries were in historically "low-tipping" areas. For those that know the neighborhoods, 6 were in the Lake / Furnace area and 3 were in the East/Middle/West area.

Thanks mainly to a $5 tip on Lake and several $3 tips (including one Codi told her friend on Foster that he had to give) I ended up with $22, not a bad Wednesday shift. I drove 39 miles (thanks to the doubles).

Cleanup took a while as Chris was gone from about 10:15 - 11 on just one delivery, to a customer who unfortunately still doesn't know their own address, and thus is still hungry.