FAR sixty-one dot one thirteen and the seven exceptions that let a private pilot share expenses without breaking the law

FAR 61.113 governs what private pilots can and cannot do when money is involved in a flight. The baseline rule is straightforward: a private pilot may not act as pilot in command for compensation or hire. But the FAA carved out seven specific exceptions, and understanding them is the difference between a perfectly legal expense-sharing arrangement and a certificate action.

What Does FAR 61.113 Actually Say?

Paragraph (a) of 14 CFR 61.113 contains two sentences. A private pilot may not act as PIC of an aircraft carrying passengers or property for compensation or hire, and may not act as PIC of an aircraft for compensation or hire. Simple on the surface, but the exceptions and interpretations add significant nuance.

Compensation does not just mean cash. The FAA defines it broadly as anything of value — a free hotel room, a meal, goodwill that leads to future business. The agency has pursued enforcement cases where the only “compensation” was the business relationship itself.

Can a Private Pilot Split Fuel Costs With Passengers?

Yes, but with strict conditions. Exception one allows a private pilot to share operating expenses with passengers. Operating expenses are defined as fuel, oil, airport expenditures, and rental fees — nothing else. Not your headset, not your insurance, not lunch at the destination.

The critical requirement: you must pay at least your pro rata share. Three people on the airplane means you divide costs by three, and you pay at least one-third. If two passengers cover the entire cost while you fly for free, you have become a pilot for hire.

What Is the Common Purpose Test?

This is where most private pilots get tripped up. The FAA requires that you and your passengers share a common purpose for the flight. The flight must be going somewhere you would have gone anyway, with passengers coming along because they want to go to the same place.

If the only reason you are making the trip is because someone is paying you to take them, you have crossed into compensation or hire — even if they only paid a share of the fuel.

This is exactly why ride-sharing apps and online bulletin boards have gotten pilots into trouble. The FAA sent cease-and-desist letters to websites matching private pilots with cost-sharing passengers. The agency’s position: if you hold yourself out to the public as willing to fly people places, you are acting as an air carrier.

What Are All Seven Exceptions to FAR 61.113?

Exception 1 — Expense sharing. Share operating expenses (fuel, oil, airport fees, rental) with passengers, paying at least your pro rata share, with a common purpose for the flight.

Exception 2 — Charitable event flights. Act as PIC for charitable, nonprofit, or community event flights under FAR 91.146. The flight must be nonstop, begin and end at the same airport, and stay within a 25 statute mile radius. This covers events like Young Eagles rallies.

Exception 3 — Search and rescue. Act as PIC for flights transporting persons to conduct a search and rescue operation, even if someone reimburses your costs.

Exception 4 — Aircraft demonstrations. Demonstrate an aircraft in flight to a prospective buyer, provided you have logged at least 200 hours of flight time. No commercial certificate required.

Exception 5 — Glider or ultralight towing. Accept compensation for towing a glider or unpowered ultralight vehicle, provided you meet the training and endorsement requirements under FAR 61.69.

Exception 6 — Expense sharing between pilots. As an aircraft owner, share operating expenses with another pilot. Both people must hold pilot certificates — this is distinct from the passenger expense-sharing rule.

Exception 7 — Training for additional ratings. Act as PIC while receiving training for an additional rating. A private pilot training for an instrument rating can fly with their instructor without it constituting compensation.

Can a Private Pilot Fly a Company Airplane for Business?

Almost certainly not. If your boss asks you to fly the company airplane to pick up a client, your salary constitutes compensation, and you are flying on behalf of your employer’s business. That is commercial activity requiring at least a commercial certificate, and depending on the operation, potentially more.

How Do These Rules Apply in Practice?

Consider three variations of the same flight:

Scenario 1: You and three college friends, all pilots, fly your Cherokee to Sun ’n Fun. Total fuel is $400, split four ways at $100 each. Legal. Equal expense sharing, common purpose, pro rata share paid.

Scenario 2: Same flight, but only you are a pilot. The other three are passengers, each paying $100. Still legal. Passengers can share operating expenses as long as you pay at least your share and the common purpose exists.

Scenario 3: You post on social media that you are flying to Sun ’n Fun with three empty seats available for anyone who wants to split fuel. A stranger responds. Not legal. You are holding yourself out to the public, which the FAA consistently treats as air taxi activity. The strangers do not share a common purpose with you in the regulatory sense.

What Should a Private Pilot Do Before Accepting Money?

Before any flight where money changes hands, run through this checklist:

• Am I paying at least my pro rata share of operating expenses?
• Do my passengers and I share a common purpose for this flight?
• Am I holding myself out to the public?
• Is the reimbursement limited to fuel, oil, airport fees, and rental?

If someone offers to pay all expenses, or if you find yourself making a trip solely because someone else needs a ride, that flight likely violates 61.113.

Key Takeaways

• FAR 61.113 prohibits private pilots from flying for compensation or hire, but provides seven specific exceptions
• Expense sharing is legal only when you pay at least your pro rata share and a common purpose exists for the flight
• Compensation includes anything of value, not just cash — meals, lodging, business goodwill, and salary all count
• Advertising available seats to the public crosses the line from expense sharing into air carrier activity
• The FAA’s Haberkorn and Mangiamele interpretation letters provide detailed guidance on how the agency applies these rules