Self-Employed Courier Costs UK 2026
Gross courier earnings are only half the story. Before you can calculate your real take-home, you need to account for fuel, insurance, vehicle wear, tax, and National Insurance. This guide gives you a realistic 2026 cost model.
Typical Annual Costs for a Van Courier
Fuel: £4,000–£8,000/year (based on 25,000–40,000 miles at 35–45 MPG and current diesel prices). Hire-and-reward insurance: £1,500–£2,500/year. Vehicle maintenance (servicing, tyres, brakes): £1,000–£2,500/year. Mobile phone (business proportion): £200–£400/year. Total before tax: £7,000–£14,000/year.
Tax and National Insurance
On profits of £30,000, you pay: Income Tax of approx £3,486 (20% on profits above £12,570) plus Class 4 NI of approx £1,566 (9% between £12,570 and £50,270). Total tax burden: approx £5,050 — set aside roughly 17% of gross earnings.
Net Take-Home Worked Example
Gross earnings: £35,000. Less expenses: £10,000. Taxable profit: £25,000. Less tax and NI: £4,300. Net take-home: approximately £20,700/year (£1,725/month). Many van couriers in denser urban areas net more by reducing deadhead miles.
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