Can I charge passengers for engine overhaul?

[Challenged]

As a Private Pilot, am I allowed to charge passengers their portion of an engine and/or propeller overhaul fund for a flight?

Additionally, if I have a co-worker who is borrowing my plane to get his PPL, am I allowed to charge him for engine overhaul time? Since he is a named pilot on my insurance, I can't actually rent the plane to him without needing a different policy, but does that also mean I can't get a reimbursement for engine overhaul funds?

Lastly, if I am able to charge for engine overhaul, when does the calculation for that occur? Meaning, can I only charge for engine overhaul based on a zero time engine to manufacturer TBO, or can I charge them a fee based on the engine time from the time of their flight, or would it only be from the time of my purchase of the airplane to TBO?

 

[Jim Logajan]

Can you rent an aircraft and hire a CFI to learn to fly....?

That is how I learned to fly. Rented the airplane from one firm and paid the CFI separately, since he was operating independently.

 

[Jim Logajan]

2) Q: Without upgrading to a commercial insurance policy, can I charge a friend for overhaul time while he uses my plane with a CFI? A) Still not sure about this one. I don't want to make money on the deal, since he's a friend, but it would be nice to be able to at least break even on engine time.

Are you pilot in command when he and the CFI are using it? Doesn't even sound like you are in the plane. Note that 61.113 is in regards to limitations to acting as pilot in command, not in regards to sitting at home in front of the TV. So for the purposes of FAA regulations you can charge him or the CFI anything you like when you aren't PIC (you could even be a passenger and collect 100% expenses and profit from them.)

Insurance company limitations are a different thing altogether. You're named on the insurance too I presume - so does that mean your insurance company doesn't allow you to pay airplane expenses either? Who's left to pay for them if not the named pilots?

Actually, if your friend ever takes your plane up as PIC you would be putting HIM in violation of 61.113 if he did not pay pro rata share. Think about that!