As a starting point, use the number of routes that your business will manage, how many drivers you will have per route, and expected weekly pay per driver on that route.
For illustrative purposes only:
- Your business has 5 routes. You plan on using 2 drivers per route at £15 an hour. You expect to pay each driver £825 per week.
- £825 x 2 (drivers on each route) x 5 number of routes = £8,250 in weekly payments to drivers
- £8,250 x 52 = £429,000 in annual payments for drivers and helpers.
- Your business may also have clerical and owner payments to consider when reporting.
It is important that you accurately report your projected driver(s)' payments as under/over reporting can affect your insurance policy. If you are unsure on how to work out your annual payments to drivers, please speak with your business coach as they may be able to help provide some guidance.