How gyms trick PTs into "free rent"

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How gyms trick PTs into "free rent"

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Күн бұрын

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Пікірлер: 71

@JamesSmithBusiness Ай бұрын

30 ways in 30 days to build your business free www.jamessmith.business/30-days-james

@333nickmcd Ай бұрын

It’s not minimum wage. There’s no NI, pension, holiday, sick pay, benefits It’s slave labour

@eddy_creative Ай бұрын

that "disgusting!" reference, i forgot that video was living rent free in my head

@LeetGaming-1337 18 күн бұрын

This is actually really good advice, never have I seen a video explain this model in such an easily digestible way, thank you.

@Snerdles Ай бұрын

Just a quick maths FYI. 100 dollars a week is not 400 a month, it's more like 433 a month. So the weekly/monthly scam manipulation is even worse than described here.

@tamsynblake9285 Ай бұрын

Nuffield health employee here.... They are consistently offering free PT sessions to new members that we do not get to claim for. The maternity leave is also based on my last 2 months before I leave.... So based on my work as a 7-9 month pregnant human ... Not sure I'll be back after the mat leave

@giorgipiorgi Ай бұрын

Pregnant human 🤔

@tamsynblake9285 Ай бұрын

@@giorgipiorgi don't start that with me.

@ty9er 17 күн бұрын

@@tamsynblake9285 you dont start that, being all weird - only biological women can get pregnant

@compassofthesoul Ай бұрын

great video as always James ☺ and not trying to be an accounting nerd but just FYI for correctness, the expenses (such as paying gym rent) gets deducted from your INCOME which then means you pay tax on a lower amount of income (as opposed to figuring out your tax bill then deducting your expenses from that). So it's still good to have expenses but doesn't reduce your tax bill quite in the way you described it. Not trying to be a smart ass just helping the peeps understand how it all works 🙌

@JamesSmithBusiness Ай бұрын

Yeah but I’d argue the way you just said it there (albeit more correct) is harder for people to understand. We’re talking to personal trainers here 😂)

@compassofthesoul Ай бұрын

@@JamesSmithBusiness fair point 😂

@stewarttaylor2419 Ай бұрын

@@JamesSmithBusinessyou’d argue that the facts are harder to understand, so you’d rather just tell your fans a complete lie? great guy!

@hjewkes Ай бұрын

@@JamesSmithBusiness You’re going to wind up with personal trainers who watch James Smith’s financial advice, look at last years tax bill of $15k and go look for a place to rent or a trip to ibiza to get up to that $15k since “its good to have business related costs”. only to realize they still have a $12k tax bill after the deductions and now theyre fucked because they didnt put that aside.

@TheVaxruo Ай бұрын

He didn't lie. It could have been more direct but explanation was fine

@eszterbackhausz4270 Ай бұрын

I love your video but that's not how taxes actually work. Say, you make 50k a year. You take home just over 40k, taxes a bit above 10k, as you said. If you have 9k expenses (say, gym rent), you deduct 9k from your 50k income as expense, so you pay taxes after 41k, taking home £33.6k, paying about 8k taxes. So you do save £2k on taxes, which is the tax you would have paid on the 9k expense, not the whole 9k. It is still saving, and makes the rent cheaper, but not 0. So tax deductible doesn't mean you deduct the whole thing from your taxes, just that you deduct from your taxable income. You don't need to worry much though, HMRC self assessment will walk you through the whole thing.

@JamesSmithBusiness Ай бұрын

what about through a business? I'd love to know the full breakdown of your business costs etc. I'm very much over simplifying to make a point and I'm not a tax accountant. But I'd love to know the implications for a small business. If you were to pay a sensible salary, (of course pay tax) but then if the business had no profits after the financial year, due to expenses. Would that technically be 0?

@eszterbackhausz4270 Ай бұрын

@@JamesSmithBusiness If you had no profit as a business then yes, there is no corporation tax. Still, if you paid out salary then both the recipient and you will pay standard "employed person salary taxes" (over a certain threshold, I believe 9kish, but that would be tax-free as a self-employed person as well). So any money you actually take out will be taxed. Dividends (another way to get money out from your company) will be taxed first as corporation profit and then personal dividend tax. Of course, it's still nice to get equipment tax-free, but not everything is tax-deductable either, so technically you cannot deduct all work wear, only those with your own company logos and uniforms, though I don't think anyone is checking. Basically, everything you buy that's tax-deductible is as if it was 20-40% cheaper than it actually was (depending on your tax bracket), but it's not free.

@bengough6955 Ай бұрын

I was in puregym for 6 years. No rent but worked for them 15 (dropped to 2012 in 2017) hours a week for the privilege. We are all self employed so all the holiday/sick days etc are on you not the gym.

@BulletPointFitnessPodcast 8 күн бұрын

Don't forget how they don't allow you to train clients on shift so then on top you have to become a calendar mastermind while working a second job so you don't end up on the street

@TheCul8 19 күн бұрын

Not even looking to be a PT, but subscribed because the content is so informative and good

@davidwelburn Ай бұрын

Trouble is, most people don't have over £700 per month to give to a gym while they are trying to build up a client base - which could take months. So, you kind of have to start off by working for them for free. I wouldn't want to work for them and pay them as well, though. Even £150 per month is a lot to be giving them when you don't have clients. Also, why are you multiplying and dividing by 4 to convert weeks to months? A calendar month is not 4 weeks (except February in a non-leap year). I've recently passed the level 2 Instructor course, so am ideally looking for an Instructor position for now. I start the PT course in September. Many gyms don't want to employ Instructors, though.

@marcusmoonstein242 Ай бұрын

One of the biggest perks of being self-employed is claiming tax deductions for "business expenses". Everything from your sunglasses (protective eye-ware) to your travel (business trip) becomes tax deductible.

@RTFitnessLtdDurham Ай бұрын

Mental!!! That this still happens…we pay our coaches a decent hourly rate, coaching only…no cleaning, minimum 12 hours paid coaching and then they get free rent to charge whatever they want

@JamesSmithBusiness Ай бұрын

what is decent may I ask?

@RTFitnessLtdDurham Ай бұрын

@@JamesSmithBusiness ah shit may feel you will hate this, bare in mind we are in Sunderland but its £15ph min

@RTFitnessLtdDurham Ай бұрын

happily give a bit insight though some coaches do 12 hours some do 30+ for us, some get more roles to do at home, nutrition check ins, sales, client management, its always our goal to scale them past £3k pm and still have the room for growth in their own ventures

@ActiveArron Ай бұрын

This is why the drop out rate for new PTs are ridiculous! New PTs who need experience for confidence and development are skint and end up absolutely desperate(which isn’t a good look to potential clients)

@Zeerse_Chef Ай бұрын

I signed up for my PT through a Nuffield gym, when I decided to leave the gym due to my own work moving location, we agreed to continue private sessions. Theres a tiny private gym he can book for £10/hour. I'm guessing he can't be trying to poach active Nuffield members but hiving off the leavers into his private practice seems like the way to go.

@BulletPointFitnessPodcast 8 күн бұрын

I was working for a PureGym in a busy city centre (not London. It's worse there) and when I started there it was £650 a month. A few months in it went up to £700. How on earth are PTs new to the game supposed to be confident and comfortable growing themselves as a person with authority that people follow when they're under the unbearable weight of paying more than they pay to have a roof and a bed ... As part of your job. Honestly, from the bottom of my heart fuck those fucking vampires. They rinsed my savings. And another guy said he'd saved ten grand knowing about this issue. And PureGym took it all from him before he was in profit

@JamesSmithBusiness 7 күн бұрын

mate wild, I had to pay £220 a WEEK in Sydney at fitness first

@BulletPointFitnessPodcast 4 күн бұрын

@@JamesSmithBusiness That's pretty rank as well tbf. These starving vampires will rinse you for everything you've got. They don't give a hoot about your career

@LittCS 16 күн бұрын

In my gym (one of the bigger chains of gym in the uk) i am on a 16 hour per week (i usually do around 20 hours a week) 11.55 per hour contract PAID - because i do these contracted paid hours they also allow me to PT, I can have as many clients as i want the only catch being i pay a £75 a month rent (1 client) and i dont pt during my paid hours, if more gyms operated this way more pts would make it in the buisness. you can do it as a pt you just have to know where to look.

@slix88 18 күн бұрын

Bro is recommending tax avoidance

@SDrtheone 15 күн бұрын

It's a legitimate loophole - I'm a financial advisor

@lewisgilbert9945 Ай бұрын

Cheers James! This was really helpful. It's demoralising knowing you're essentially getting taken for a ride yet giving hours to the gym remains the prevailing advice within the chain gyms for some reason. I will be changing to rent asap. Thanks!

@ArktosBears 20 күн бұрын

Why don't you take the Gym's deal, and the steal clients from them? Take them aside, and tell them - I can give you a better deal if you hit me up outside the gym

@dannyboy9715 17 күн бұрын

People should be really careful when they see ''pay per month'' vs ''pay per week''. I paid £100 rent per week when I arrived in the UK some years ago. Colleagues of mine were paying £400 a month in another house. On the surface, it looks the same, but it doesn't take a genius to make a simple calculation: £100 x 52 weeks = £5200 per year £400 x 12 months = £4800 a year Saving £400 is huge.

@LatinoAaron 22 күн бұрын

This is why companies want to get people on a freelance basis, because having employees is bloody expensive!

@realhaydenthomas Ай бұрын

Fantastic advice and I definitely want to be off shift as soon as possible but as a new PT at a Pure Gym who is only six months in, I would need about 3k a month to cover all my expenses if I was to go straight away on rent. How the hell did you manage to make this work so easily in the beginning? Thanks a lot for the video as always!

@DilrajGill-rs6tx Ай бұрын

amazing video - killing it James

@AnIdiotOnline Ай бұрын

buy your own shit, its allllll assets. this is very good info tho james, you're a decent guy. just to clarify tho, you earn 54.6, take home 42.2 and the gov get 12.3. The 9k you pay isnt deducted from the 12.3 tho is it? you dont then have to just pay the government 3.3? its only going to be tax deductible like that as a ltd business which after you pay a salary which then would get taxed based on earnings/dividends plus NI contributions? I need to figure taxation out more, am i getting self employed and ltd mixed up a bit here? thanks for the video tho, some good info to think on

@davidmatthews6233 17 күн бұрын

You said you had a massive corporation tax bill where you get taxed on profitability within the business, you kitted out your entire gym otherwise you would of have to give it to the government, so are you saying you didn't have to pay the corporation tax at all? Or you paid less corporation tax because you put it back into your business as expenses?

@him050 Ай бұрын

Loving the tax deductible coaching! I had a friend who did OnlyFans professionally. He bought a new car and was able to deduct it as he made a video in it 😂.

@Willjoestar Ай бұрын

And to top it off they have you doing classes for free, thing is as PT'S we never came together and said no as a collective to this B.S.

@codingoblin Ай бұрын

I came for the free rent, I stayed for Joseph Fritzel

@slax4884 28 күн бұрын

I like this side channel :)

@JamesGJohnstone Ай бұрын

This video was DEFINITELY made after the photo I sent in the Mentorship 😂

@TomAlmonds Ай бұрын

Do you think it makes sense to start working for the gym at the very beginning of your journey? This way when instructing classes you have potential consumers and can start getting relationship with clients? As soon as you’re able to do 30 hours a week PT then just upfront the cost?

@JamesSmithBusiness Ай бұрын

Then you’re someone taking a spin class asking for £35 a session. Its not great positioning!

@fine9375 Ай бұрын

The minimum wage shit is a bit irrelevant, the labour you'd be doing is literally a minimum wage standard of work - cleaning shit, restacking weights ect. As a way to get into being a PT, it's fine. If you can cover the extra cost of rent through your PT work then obviously go for the no labour option. It's always good to have options.

@JamesSmithBusiness Ай бұрын

the point is, its not free rent. its paid, paid poorly rent.