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Contract Work
http://www.taxi-driver.co.uk/phpBB2/viewtopic.php?f=1&t=367		 Page 1 of 2
Author:  guest [ Tue Feb 17, 2004 11:06 am ]
Post subject:  Contract Work
My vehicle is doing a £40 school contract, twice a day. I am P/H, working for a local cab firm. The £40 is the driver price, i.e. my pay for the job, but
i have discovered that the cab firm invoice the local transport authority £50 for the job, 25% extra. Is this the going rate amongst most cab firms? i already pay an office bill which combined with my radio hire and Vat is nearly £100 a week. The vehicle is mine obviously.
Are the cab firm covering their VAT costs with this extra 25% ?
Do they charge me Vat and the local transport authority too?
I have no problems with my office bill charges, but the thought of paying £100 a week to work for them, plus, then they make an extra £100
on my school contract appears a bit off from my stand-point. What do you lads think?
Author:  Sussex [ Tue Feb 17, 2004 3:20 pm ]
Post subject: 
Many circuits make very good money out of contract work.

They will charge the VAT on top of the mark up. As for the mark up, they will say it covers expenses, and the interest between when you get paid, and when they do.

I suppose if they didn't do it this way, then the office rent would have to go up.
Author:  captain cab [ Tue Feb 17, 2004 9:05 pm ]
Post subject: 
So whats the problem guest?

you are presumably happy with your £40 and so long as you get your £40 what difference does it make? If your doing the job twice per day is it worth £80 per day to you?

Lets face it they are paying you money that they wont get for a few weeks, either that or they are putting it out to invoice financing.

The VAT element of your radio rental is probably inclusive.

How they charge the VAT to the account customer is more of a matter between them and the customer, you are only the sub contractor.

I would have thought for the £40 per day (or £80) (over 5 days £200 (or £400)) you should be happy, as it pays your rental for the week and isnt a bad start really.

Regards

Captain Cab
Author:  Guest [ Wed Feb 18, 2004 12:14 pm ]
Post subject: 
Is that it then? I should be happy for someone to make a £100 a week out of my vehicle without even contributing towards the running costs?
Author:  Tom Thumb [ Wed Feb 18, 2004 12:59 pm ]
Post subject: 
And you £100 a week pays for not only the office staff, the admin team and also the marketing to go and gewt that work does it?

If you are so peeed off about it why don't you hand it back in and let some other poor mug have £400 a week in his satchel before he does his eleventh job of the week.

Like it is only £14,400 a year that you are guaranteed.

You have the choice!
Author:  aitch [ Wed Feb 18, 2004 3:06 pm ]
Post subject: 
Anonymous wrote:
Is that it then? I should be happy for someone to make a £100 a week out of my vehicle without even contributing towards the running costs?

:cry: wish it were my job gimme gimme gimme :roll:
love & kisses aitch
Author:  captain cab [ Wed Feb 18, 2004 3:41 pm ]
Post subject: 
Guest,

Why would the firm you sub contract to want to take on a credit job that would leave them with no profit? What incentive would there be?

Are you happy with what you get, or are you upset that they are making money for seemingly not doing anything.

I could understand it if you were not getting paid the going rate for the job, but you haven't mentioned this. So we presume that the money your getting is fine by you.

I dont see a major problem with it, so long as you get what you think you deserve for your labours.

Regards

Captain Cab
Author:  Guest [ Wed Feb 18, 2004 3:58 pm ]
Post subject: 
its t6he scurge 0of our industry, someone always feels they vare being done.

stick out for your 50 quid, shout and scream and call them robbing swines.

then watch the firm go downhill.
Author:  Guest [ Wed Feb 18, 2004 4:09 pm ]
Post subject: 
I'm not saying the job is a bad one or complaining about the job price.
School contracts don't always last for a full year, some of them are only for a term.
I just think that 25% mark up on a £40 job is a bit steep.
I suppose my £100 office bill doesn't go nowhere near paying for marketing or administration costs.
Author:  Sussex [ Wed Feb 18, 2004 5:44 pm ]
Post subject: 
I think it's just another stealth tax on the drivers. :wink:

However if they didn't make the money on account jobs, a pound to a penny tells me that your office rent would increase. :(
Author:  captain cab [ Wed Feb 18, 2004 6:46 pm ]
Post subject: 
It has been my experience that the drivers that do the most complaining about account work are the ones that flatly refuse to do it.

They seem to be jealous of those of us who do it without question and then put in snide remarks because we do.

The guest is quite right to question a 25% mark up, but at the end of the day the company has to explain this to the person who pays the invoice.

Dont see a problem so long as the driver is happy with what he gets.

If the drivers happy, the office is happy, whats the problem?

Like the comment passed, its the scourge of the industry.

Regards

Captain Cab
Author:  Nidge2 [ Wed Feb 18, 2004 8:00 pm ]
Post subject: 
Don't do contract work the reason why above :? :? :? :? :?
Author:  195.93.32.11 [ Thu Feb 19, 2004 12:52 am ]
Post subject: 
Check out your own contract with the company you work with. If its breaking its own terms of sub-contracting such work to you then you have every right to complain.. However, I would suggest to you that the mark up would be regarded as commision for providing you with lucrative work outside of the normal single job issue.

And I am sure if you thought that the job was under priced and non-profit making you wouldnt do it in the first place.
Scanner
Author:  Le Shark [ Thu Feb 19, 2004 9:11 am ]
Post subject:  Contracts
Remember Mr Guest
The grass is always greener on the other side - or is it ?, if you are self employed then move on , but if you cant take the contract with you then apply for your own, simple, no not really, and this is why, independent drivers who get their own school runs have a poor record of keeping and maintaining the business because most only have the one car and sods law comes into play on a regular basis ie. breakdowns/accident/sickness and yes even holidays.
Councils really do prefer to deal with bigger firms who can cover work and not be a burdon, so hand it in or get on with it, by the way are you declaring it to HM Gov.
Author:  Guest [ Thu Feb 19, 2004 10:02 am ]
Post subject: 
Thanks for all your constructive comments. BTW, yes I am declaring the income to HM Gov.
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