Business RegistersThe real cost of a kilometre
Fuel is only part of what a vehicle costs. Counting the rest shows whether a trip, a route or a rate pays.
What to include
- Fuel, from your fill records.
- Service and repairs, including parts.
- Tyres, spread over the kilometres they last.
- Tolls and parking.
- Driver pay, if you pay for time.
- Insurance, tax and loan interest, spread over the year's kilometres.
A worked example (made-up numbers)
| Item for a month | Amount |
|---|---|
| Fuel (780 km at 14 km per litre, 56 litres at 100) | ₹5,600 |
| Service and small repairs | ₹900 |
| Tyre share | ₹400 |
| Tolls | ₹300 |
| Total for 780 km | ₹7,200 |
| Cost per kilometre | ₹9.23 |
Use the logbook to record fuel and "other spend" for each date with the odometer reading. Its summary divides the total by the kilometres logged.
Using the number
If you charge customers per kilometre, your price must be above the cost per kilometre plus your own pay and profit. A route with long empty return trips costs more per paid kilometre. The freelance rate calculator approach, working from your income goal, applies to drivers too.
Service records
Write each service with the odometer reading. It shows when the next one is due and helps if you sell the vehicle.
Common questions
Should I include my own time?
Yes, if you drive it yourself, because the time is not free. Count a wage you would pay a driver.
What about depreciation?
A vehicle loses value with use. For a rough view, divide the fall in its value over a year by the year's kilometres and add it.
Keep going
- Vehicle logbookOpen the register
- All guidesMore for small businesses
- Data safetyWhere records are kept
The registers keep their data in your own browser and send nothing to us. Names, numbers and prices in the examples are made up. No law, tax or fee is stated here: check local rules where they matter. Checked 14 November 2026.