Van driver invoice template

How do van drivers usually invoice?

Self-employed van drivers invoice either as man and van, by the hour plus mileage with payment on the day, or as a driver supplied to a haulier or agency by the shift, invoiced weekly with the shift dates listed on 7 to 14 day terms. Mileage, fuel and waiting time are separate lines. Agency drivers must check whether they are genuinely self-employed or should be on PAYE.

Van drivers in this example give the customer 14 days to pay. Hourly rates run from £16 to £28. A full day is typically £140 to £240.

What should a van driver put on an invoice?

Beyond the legal basics, van drivers should:

• List each shift or job with the date and hours; agencies reconcile against their rota.
• Charge mileage beyond an included radius at a stated rate per mile.
• For man and van work, take payment on completion and give the invoice as the receipt.
• State whether fuel and tolls are included or recharged.

Every UK invoice, whatever the trade, must also show:

• a unique, sequential invoice number
• your business name and address (and company number if you trade as a limited company)
• the client’s name and address
• the invoice date and, for VAT invoices, the date of supply if different
• a clear description of each item of work or goods
• the amount due and when it must be paid
• your VAT number, the VAT rate per line and the VAT total, if you are VAT registered

Do van drivers charge VAT?

Driving services are standard rated at 20% once you are VAT registered, which is compulsory above £90,000 turnover. A self-employed driver with one van is usually below it and charges no VAT. If you hire out the van with yourself as driver, the whole charge is standard rated once registered.

On the Flat Rate Scheme the sector for van drivers is usually “Transport or storage, including couriers, freight, removals and taxis” at 10% of VAT-inclusive turnover, with a 1% discount in the first year of registration. If you spend little on goods you may be a limited cost trader and have to use 16.5% instead. The scheme suits businesses with few VAT-able costs; check it against the standard method with the VAT calculator before joining.