CFI without commercial?

Its not considerd flying for hire.

It is if you're being paid.

Not the situation originally discussed, but suppose a non-pilot (who
perhaps reads a lot and plays flight sim) acts as an instructor for a
pilot who wants to learn something about flying from him. What that
might be I will leave to your imagination. The pilot is current and
rated in the aircraft, and acts as PIC. The passenger is being paid to
instruct, the instruction is not logged.

Is the non-pilot paid instructor "flying for hire"?

Jose
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