Van Costs
Monthly finance payment, or estimate depreciation if you own it outright.
Tools & Equipment
Insurance
Business Costs
Gas Safe, NICEIC, CIPHE, trade body fees, etc.
Checkatrade listing, website, business cards, leaflets.
Billable Days
260 working days minus holidays, sick days, training & admin. Default 207 is a realistic estimate.
What are overheads and why do they matter?
Overheads are the costs of running your business that aren't directly tied to a specific job. Your van doesn't stop costing money when you're not working. Neither does your insurance, your phone, or your accountant. These costs run whether you're on site or not.
Most tradespeople dramatically underestimate their overheads — and as a result, they undercharge. This calculator helps you see the full picture so you can build a realistic day rate that actually covers everything.
Typical overhead costs for UK tradespeople
Here are realistic annual overhead ranges for a UK sole trader tradesperson:
| Cost Category | Typical Annual Range | Notes |
|---|---|---|
| Van (finance/depreciation) | £2,400–£5,000 | £200–£420/month |
| Fuel | £1,800–£4,200 | Depending on mileage and area |
| Van insurance | £600–£1,500 | Higher for young drivers |
| Van tax, MOT, servicing | £400–£900 | Budget more for older vans |
| Tools & equipment | £600–£2,000 | Higher for specialist trades |
| Public liability insurance | £150–£500 | Essential for any trade |
| Phone & internet | £500–£900 | Business mobile + broadband |
| Accountant | £300–£700 | Worth every penny |
| Workwear & PPE | £150–£400 | Boots, overalls, safety kit |
| Professional memberships | £100–£500 | Gas Safe, NICEIC, etc. |
| Marketing | £200–£600 | Checkatrade, website, cards |
Total typical range: £8,000–£20,000 per year depending on your trade, location, and how you work.
Which overheads can I claim as tax expenses?
Most business overheads are allowable expenses for Self Assessment purposes, including: fuel (business mileage), van insurance, tools, work clothing, phone bills, accountant fees, professional memberships, and marketing costs. Keep receipts for everything. Your accountant can confirm what's claimable in your specific situation.