John Exley Driver Training: Can you earn £30000 / year?

John Exley Driver Training Information

Can you earn £30,000 p.a. as a driving instructor?

(adverts say earn £30000 / year as a driving instructor)

Price breakdown (from my experience as a driving instructor using an Audi A3 Quattro training car)

£30000 / year, working 50 weeks at a lesson price of £20 / hr = 1500 lesson hours / year = 30 lesson hours (= probable 45 actual hours) / week

3000 miles used 454 litres (100 gallons) diesel
at 110.9 p / litre ≈ £500
≈ 1 mile costs 16.5p

If an average 1 hour lesson covers 25 miles (incl. travelling to / from) the cost of diesel = £4+
RFL & Insurance = £750 / year ÷ 1500 lessons = 50p / hour.
Service & repair costs (37,500 miles / year) = £1500 / year ÷ 1500 lessons = £1 / hour.
Adverts = £750 / year ÷ 1500 lessons = 50p / hour.
Telephone/Internet = £750 / year ÷1500 lessons = 50p / hour.
Car depreciation* = £1500 / year ÷ 1500 lessons = £1 / hour.

For 1500 lessons per year 1 hour costs approx. £7.50 and take 1.5 hours (travelling to / from, planning, etc.) = £12.50 / 1.5 hours = £8.33 / hour = £12495 / year. (Income tax and NI need to be paid from this)

But if you only do part time: 10 lesson hrs (= probable 15 actual hours) / week = 500 lesson hours / year:
Service & repair costs reduce (12,500 miles / year) = £500 / year ÷ 500 lessons = £1 / hour, but all other costs remain the same ÷ 500 instead of 1500.

Diesel = £4 / lesson hour.
RFL & Insurance = £750 / year ÷ 500 lessons = £1.50 / hour.
Adverts = £750 / year ÷ 500 lessons = £1.50 / hour.
Telephone/Internet = £750 / year ÷ 500 lessons = £1.50 / hour.
Car depreciation* = £1500 / year ÷ 500 lessons = £3 / hour.

For 500 lessons per year 1 hour costs approx. £11.50 and take 1.5 hours (travelling to / from, planning, etc.) = £8.50 / 1.5 hours = £5.66 / hour = £2830 / year. (Income tax and NI need to be paid from this)

If only getting 10 hours / week adverts can not be working / be justified so taking advert costs out:
For 500 lessons per year 1 hour costs approx. £10 and take 1.5 hours (travelling to / from, planning, etc.) = £10 / 1.5 hours = £6.66 / hour = £3330 / year. (Income tax and NI need to be paid from this)

Car depreciation* = buying a used car for £10000 and selling 3 years later for £5500

These figures will vary depending on location and type of car used.

22i2010