Driving instructor's earnings

Driving instructor earningsWhen thinking about becoming a driving instructor you will want to know how much you can expect to earn.

Almost all driving instructors, including those working for large driving schools such as the AA or BSM, are self-employed.

This means that there will be business expenses such as vehicle running costs and advertising to pay for out of your weekly takings.

Driving tuition is normally given on a one-to-one basis (one pupil in the car with the driving instructor) in a vehicle fitted with dual-controls.

The majority of driving lessons last one hour, although some schools use a 45 minute lesson unit. It is quite common for pupils to take two or three lessons in one week or to take 'double lessons'. An increasingly popular alternative is offered by schools that specialise in intensive one week courses.

Charges for hourly driving lessons are typically between £18 - £25. A survey conducted by SmartDriving in October 2009 showed that 82% of those polled charge between £20 and £25 per hour. 10% however, were charging under £20 per hour. At the top end of the scale 2% charge over £28 per hour.

There are various factors affecting the lesson rate including the trading area and any ‘unique selling point’ (an example of a unique selling point can be found in the SmartLearners Online course which instructors can use to help sell their lessons - this course is due for a major revamp in late 2010 to develop a powerful training/sales tool). Better trained instructors and those with higher grades generally have the confidence to charge the highest rates.

Driving Instructor's earningsPayment is normally made in advance or at the time of the lesson appointment. It is usual for prepaid multiple advance bookings to attract a discount.

Many driving instructors work long hours both weekdays and weekends, often from 8 am to 8 p.m., although there may be slack periods when clients are working or at college.

Well established and 'well managed' driving instructors with a good reputation will often have a more 'family friendly' working schedule.

A reasonably well established instructor will work between 30 and 50 hours per week, perhaps less in the traditionally quiet months of December/January due to Christmas and adverse weather conditions, and July/August when many people are on holiday.

When choosing a driving instructor training course and driving instructor career option, beware of inflated income claims. Many training providers claim that almost unattainable income levels are the norm.

After all expenses (but before income tax) an income of between £16,000 and £30,000 can expected, depending on your chosen method of business and your skills as an instructor and as a business-person.

Earnings example

To fully understand the earning figures you need to do some simple calculations for yourself.

Average lesson rate (£23.00)
Multiply by: Paid hours worked per week (35)

Multiply by: Weeks worked per year (47 - allowing for holidays and public holidays) = total earnings (turnover): £37,835

Many instructors work more hours but you must remember that there is unpaid traveling time between lessons if you work door-to-door. This could mean that a 35 hour paid week is actually a 46 hour working week.

Expenses

You then have to deduct your expenses from the income. These include the cost of your vehicle or franchise fee, fuel,accountancy and other sundry expenses. Assuming a 35 hour week your expenses would total (approximately) £12,000 per year.

If you are working for a 'franchise' you will also have a fee to pay to the 'parent' company.

Bottom line before tax

Based on the rough calculations above, a realistic average earning rate would be in the region of £25,500 plus car + self employment tax benefits (phone bill, percentage of rent, heat, light, etc.). Everything above the 35 hour basic used for the calculation above is virtually clear profit.

Get the figures!

When choosing a driving instructor training provider ask them to give a full breakdown of any earning projections – always ask for an estimated income after all expenses are deducted and also remember that you will have a lot of traveling time between lessons.

IADI badget might be worth noting here that the promise of a 'job' is not a good basis upon which to choose a training provider - getting a job is fairly straightforward when you are qualified.

Remember, many people who have been given lucrative sounding 'job offers' never actually qualify because the training they receive is not up to scratch. Although it might sound cynical, some companies rely on a low qualification rate to maintain their income and profit from instructor training.

The other point about guaranteed jobs is that this is not the same as a guaranteed income - remember that you will be self-employed and that you will only be paid for the hours that you work.

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