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  • Taxi drivers and operators

    Businesses in this industry provide road passenger transportation services, including hire car services with driver and taxi cab services.

    These benchmarks are current as at June 2013.

    In this section

    What are input benchmarks

    Use input benchmarks to calculate the expected range of income for taxi operators and drivers based on kilometres travelled or fuel used.

    We developed them in consultation with industry participants. They represent the industry norm.

    Consider your own personal circumstances when using the benchmarks to assess your situation.

    Input benchmark guide

    You can use this benchmark to compare and check your business performance to the taxi industry average.

    Remember:

    • Regional factors may affect total kilometres travelled, gross income and fuel consumption.
    • Fuel consumption for LPG is the equivalent of 5.55 kilometres per litre.
    • Fuel consumption for ULP is the equivalent of 7.5 kilometres per litre.
    Input benchmarks for taxi operators

    Fuel consumption (LPG) – litres per 100 kilometres

    18

    Total litres of fuel (LPG) consumed during year

    27,000

    Fuel consumption (ULP) – litres per 100 kilometres

    13.3

    Total litres of fuel (ULP) consumed during year

    20,000

    Fuel cost – percentage of gross taxi income

    8% to 16%

    Total kilometres travelled during year (from your records or calculated from fuel figures)

    150,000

    Total litres of fuel per shift (LPG)

    54

    Total litres of fuel per shift (ULP)

    40

    For more information on the cents per kilometre rate (CPK), including rates for previous years, refer to Taxi cents per kilometre rates.

    Sales turnover

    Use this benchmark to:

    • calculate your income
    • compare your income against the taxi industry average
    • check that records accurately reflect your income.

    All dollar amounts include GST. Regional factors may affect total kilometres travelled, gross income and fuel consumption.

    Income guide – taxi operator (per taxi)

    Total kilometres travelled during year

    150,000

    Cents per kilometre rate – 2013

    $1.30

    Total fares (kilometres × CPK rate)

    $195,000

    Total shifts worked during year

    500

    Bailment arrangement (average percentage of total fares)

    50%

    Income from bailment (at 50% of total fares)

    $97,500

    Income guide – taxi drivers

    Average shifts worked during year

    225

    Average kilometres per shift

    300

    Total kilometres travelled during year (average shifts × average kilometres travelled)

    67,500

    Cents per kilometre rate – 2013

    $1.30

    Total fares per shift (average kilometres per shift × CPK rate)

    $390

    Total fares (total fares per shift × average shifts)

    $87,750

    Taxi drivers and operators examples

    Income does not match the benchmarks

    Norman is a taxi operator in a metropolitan area. He owns 5 taxis, each travelling an average of 160,000 kilometres per year. The total distance travelled for all five taxis is 800,000 kilometres.

    Norman is worried about his record keeping so he checks his estimated income against the benchmarks. Norman receives 50% of the fares for each taxi. His records show total fares of $780,000. His share of the fares is $390,000.

    Using the 2013 cents per kilometre rate of $1.30, he calculates the total fares for all 5 taxis should be $1,040,000. Norman calculates his share of the total should be $520,000 under his standard 50% bailment arrangement.

    Norman's recorded income doesn't match the benchmarks. He asks his bookkeeper for advice on keeping better records.

    End of example

    Fares below the benchmark

    George is a taxi driver. According to his logbook for 2012–13, George worked 150 shifts and took total fares of $44,000 (including GST).

    George calculates that his total fares per shift are $293, which is below the benchmark of $390.

    George decides to seek advice on his record keeping.

    End of example

    Fares close to the benchmark

    Jeff, a Sydney taxi driver, has purchased 12,000 litres of LPG.

    According to the fuel usage benchmarks, of 18 litres per hundred kilometres, Jeff's taxi should have travelled about 66,670 kilometres. Using the benchmark cents per kilometre rate, Jeff should have taken total fares of $86,671. His records show total fares of only $85,337.

    As this is close to the benchmark, Jeff is reasonably confident that he has correctly recorded all his fares.

    End of example
      Last modified: 21 Apr 2022QC 43674