A frequently question asked is “if the caller pays 10p a minute to dial my 0871 phone number, how come I don’t receive 10p?”
Yes, it would be nice to receive 100% of the revenue generated when anyone dials your 0871 number, but unfortunately there are some other costs which you must take into account.
Shown below is an example of how the 10P earnt for dialling an 0871 phone number is divided up.
- Caller is charged 10P/min including vat to dial your 0871 phone number.
- The government takes their share of VAT @ 20% = 2p.
- This leaves 8p/min.
- There is the cost of delivering the 0871 phone call to your normal phone line @ 1p/min
- This leaves 7p/min.
- The phone company you work with has to cover their overhead costs of your 0871 phone service. This charge varies between 1p and 2p.
- This leaves 5p/min.
- The remainder is paid to you ie. you receive 5p/min from the 10p/min charged to the caller for dialling your 0871 telephone number.
