[philboy]

Feen, if putting ya prices up will help then do it, every custie you have will know how expencive fuel is and 90% will understand. But, what if you loose custie's as a result of you price increase, will you still have gained? What you could try is stream lining your round so that there is a little distance between jobs as poss, if you tell a custie that there will be a three week interval between their next clean because your adjusting your round and then they will be back to four weeks, they probably won't mind this. I did it so that I work in the same area as much as poss, I recon I save between £7 and £10 per week on fuel, probably more when you take wear and tear into account, and on top of that, less travel time means more work time.

[frames to panes]

Stopping any collecting would save me the most fuel.

[macmac]

Go for it feen
I started 2 weeks ago for the same reason, haven't had any cancel & the majority are sympathetic to the need. I told most custy's it was mainley rising fuel prices that led to the price increase. coldstream & duns filling stations must be the dearest in the uk

Tony

[Scrimble]

a place here sells bio diesel for 86p litre, thats what i fill my van up with,

i'm gonna get a petrol/lpg van hopefully end of this year looking forward to 50p ltr of fuel :-)

[Paul Coleman]

a place here sells bio diesel for 86p litre, thats what i fill my van up with,

i'm gonna get a petrol/lpg van hopefully end of this year looking forward to 50p ltr of fuel :-)

Would that really be a saving though?  I thought the MPG for LPG was pretty low.  Good idea if doing a fair bit of work in Central London though as it avoids the congestion (pollution?) charge.

[Feen]

if you put it against your tax bill then it doesn't make any difference what the cost of diesel is as it is 100% tax deductable.

£1 a litre or £2 a litre really doesn't change anything.

Alan, it does matter. Take this very simple example. Assume you earned £10000 and paid £1000 in fuel. You are taxed on (10000-1000) 9000. At 25% that is 2250 Add the 1000 spent on fuel =£3250. Now suppose fuel spend goes up to £1100. You are taxed on (10000-1100) 8900. At 25% that is 2225 + 1100 spent on fuel = 3325. £75 more Still think it doesn't matter if it's £1/litre or £2

[Feen]

Feen, if putting ya prices up will help then do it, every custie you have will know how expencive fuel is and 90% will understand. But, what if you loose custie's as a result of you price increase, will you still have gained? What you could try is stream lining your round so that there is a little distance between jobs as poss, if you tell a custie that there will be a three week interval between their next clean because your adjusting your round and then they will be back to four weeks, they probably won't mind this. I did it so that I work in the same area as much as poss, I recon I save between £7 and £10 per week on fuel, probably more when you take wear and tear into account, and on top of that, less travel time means more work time.

Philboy, I have thought about streamlining and try to do it where possible. Regards, losing custies. I dream about losing some of them Maybe I should try to smoke 'em out with big increases

[steve m]

get rid of your diesel vans and get a dual fuel van,51.9 pence per litre.

[Feen]

get rid of your diesel vans and get a dual fuel van,51.9 pence per litre.

Supposing I could buy it here, which I can't, mpg???

[L.J.S cleaning]

My prices go up every year on differant parts of round never have any complaints when i do it

[steve m]

work out what the mpg is for petrol and lg work out about 2/3. That is unless you got lots of hills

[alanwilson]

feen - thats not how it works.

10000 @22% = 2200

say you spend 1000 on diesel then 2200 - 1000 = 1200 in tax.

very simple, calculate your tax bill, then minus the fuel costs along with your other costs.

[Paul Coleman]

feen - thats not how it works.

10000 @22% = 2200

say you spend 1000 on diesel then 2200 - 1000 = 1200 in tax.

very simple, calculate your tax bill, then minus the fuel costs along with your other costs.

Allow for NI too.  Once your business is above a certain profit level (about £6,000+) you start paying a percentage of NI as well on top of the £2+ a week.

[alanwilson]

very true but I'm only covering the tax issue here.

what most guys on here don't see is that you aren't really paying for the fuel.

honestly, if your tax bill is £8000 for the year, and you spend £2500 on diesel (and lets assume you don't claim anything else) then your tax bill is 8000 - 2500 = 5500

so to repeat my point - you don't pay for your fuel.

thats if you are indeed paying tax

[macmac]

very true but I'm only covering the tax issue here.

what most guys on here don't see is that you aren't really paying for the fuel.

honestly, if your tax bill is £8000 for the year, and you spend £2500 on diesel (and lets assume you don't claim anything else) then your tax bill is 8000 - 2500 = 5500

so to repeat my point - you don't pay for your fuel.

thats if you are indeed paying tax

You're wrong alan & if you've been doing this then you could be in trouble.
You take your fuel cost off your gross earnings & NOT your tax liability!!

If you spend 1k on fuel then all it means is that you don't pay tax (22%) on that 1k. i.e. you take the 1k off your year end gross, so you'll not pay 220 quid in tax!

Tony

[alanwilson]

well I sat down with my tax inspector (nice lady) at the start of the new year and thats what she did (my old accountant died in December).

I'll double check it now.

[alanwilson]

yeah just checked and that definitely what she did.

all fuel claimed directly against total tax bill not gross income. 

[macmac]

well I sat down with my tax inspector (nice lady) at the start of the new year and thats what she did (my old accountant died in December).

I'll double check it now.

I would cos' if that's what you've been doing then you will have to re-think

Think about it, if what you say is correct then why would the transport industry be up in arms with such high fuel costs? they wouldn't, neither would we or any business that used fuel if we could all subtract the cost from our tax liability
Be nice if it were true mind

Tony

[alanwilson]

as above - thats exactly what the tax inspector has done, its in her handwriting, she filled out the form (as explained my acc passed away)

[macmac]

yeah just checked and that definitely what she did.

all fuel claimed directly against total tax bill not gross income. 

She's either bent or not qualified for such tasks then. either way you will pay for her mistakes if you are inspected.

Tony