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While the Uber app is considered to be a significant disrupter of the taxi industry, it has also created considerable opportunities for those who aspire to be self-employed taxi drivers.
After all, this brand now boasts more than 91 million monthly active platform consumers across the globe. Accordingly, more than 14 million Uber trips are completed every single day on average.
If you want to become a fully qualified and insured self-employed taxi driver, however, there are a few things to keep in mind before launching your career. We discuss those things here in this post.
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1. Take the Taxi Driver Practical Test
Let’s start with the basics, as you can’t earn any form of living as a taxi driver unless you pass a formal practical test.
The purpose of this test is simple. You need to demonstrate you know how to drive, have a good knowledge of road safety standards, and are capable of applying these in practice.
You’ll also need to demonstrate that you can drive a taxi well while considering your passenger’s comfort and safety at all times.
Completing this type of test will also help to reduce your insurance premiums as a taxi-driver. This subsequently reduces your cost base and improves your profitability when self-employed.
2. Invest in an Affordable and Roadworthy Car
The next step to becoming a self-employed taxi driver is to invest in an affordable and roadworthy car. Moreover, you need one that’s capable of traveling substantial distances while also couriering paying passengers safely.
The Peter Vardy dealership is an excellent place from which to source such vehicles, as they sell high quality and nearly new used vehicles at genuinely competitive prices.
Take models such as the Vauxhall Mokka X, for example, which is a compact SUV that’s ideal for carrying multiple passengers and providing a comfortable journey.
We’d also recommend investing in a vehicle with advanced security features as a taxi-driver, including traction control and an anti-lock braking system. These features will enable you to retain control of the car in the event of a collision or skid.
3. Manage Your Taxes as a Self-Employed Taxi Driver
As a self-employed taxi driver, it’s imperative that you recognize your shift in status. More specifically, you’ll now be responsible for managing your taxes and paying the requisite amount to the tax authorities every year.
If you’re new to the world of self-employment, you may need some assistance to help you achieve these goals. To this end, there are plenty of accountants well-placed to help you calculate your repayments and meet key submission deadlines. You can even get access to a tax CPA online from New York City or wherever you live so that you don’t have to leave your own home.
This type of expert resource can also take steps to help you reduce the amount payable to the tax authorities during each financial year, within the boundaries of the law and all real-time tax legislation.
Arguably, this should be one of the first steps that you take as a self-employed taxi driver, as you strive to find an affordable accountant and comply with the financial demands placed on you by law.
So there you have it. If you want to become a self-employed taxi driver, take a test to prove you can do the job, invest in a good vehicle, and learn to manage your finances and your taxes.