How to Make Money with Uber
Every day is more common to hear the name of Uber, and why is that? The reason is simple, their fares are a lot cheaper than the taxis for sure, and I know it because my husband and I are frequent customers of Uber. We are always happy to see how much money we save by comparing it with a taxi.
But what about the Uber drivers, do they make enough money? You might think they don´t since their fares are cheaper compared to taxis, but that’s not the case, Uber Drivers may earn enough money to decide to make it their full-time job.
This post may contain affiliate links please read my affiliate disclosure for more info.
But as everything has a “but,” this story is not the exception as earning results depend on several factors which I mention below:
1.- The city where you work. What it means, the bigger the city, the greater the number of services of trip requested to the day, therefore, greater gain.
2.- Number of hours worked per week.
3.- Work in hours of greater demand.
Well as I mentioned earlier, I use Uber frequently, so I’ve heard a few good stories from the drivers on how happy they are, and I do not want to miss the opportunity to share them with you.
- A man around 60 years old who works for an airline fixing airplanes, he told me he makes enough money, but after his oldest son starts college, he decided to drive with Uber to earn extra money for the family, that way he is not stressed with the bills.
- A single mom of a seven months girl started after the baby’s father left them. Now she is working six days/week in the mornings and making enough for both and her mother who helps with the baby.
- A College student is working on the weekends and a few days of the week (night time) for paying part of his college.
Great stories, eh? My husband and I like hearing them.
After these inspiring stories, let’s go back to what we all want to know, how much do Uber drivers make?
First of all, let me explain where this fare comes from, then you could understand the earnings that I will mention later.
Okay, it is very simple, the money you make comes from the Uber Fares which is charged to the rider who is making the trip with you.
This fare is calculated based on the miles and time it takes to reach your destination + a booking fee ($1-2) + a base fare (if applicable).
There are three different kinds of fees which depend on the type of service offered, Uber X, UberXL, UberSELECT, UberBLACK, UberSUV, UberLux.
Then, How much do Uber drivers make on average?
Based on a National Study published by Benenson Strategy Group in December 2015 the average earnings per day in the United States is around $19.00 across the top 20 markets.
This study consisted of capturing Uber driver’s earnings data from the United States through surveys during 2014 and 2015. The survey conducted in 2014 included 601 Uber drivers while the survey in 2015 from January to November included 833 drivers. Each Uber driver had to report at least four trips per month. See the complete study in Newsroom.uber.com
These are some of the results
Average of earnings per week in some of the largest market
Drivers in San Francisco are making $732/week in net earnings*
Drivers in Los Angeles are making $616/week in net earnings*
Drivers in Chicago are making $648/week in net earnings*
Drivers in Boston are making $732/week in net earnings*
* These numbers come from the official Uber website and are based on median hourly earnings for the month of July 2016. Remember that actual earnings may vary depending on the time of the day, location as well on hours worked per week.
Related Post: Make Money with UberEats
As we can see it is possible to make the average earnings mentioned in the research, but much will depend if you drive in one of the largest markets so here is a list of some of them.
If you do not see your city, you can estimate your earnings only by knowing the time and distance fares for that city. Here you can check Mileage and Time Fares by Cities from all over the world and apply it to the formula below.
Example: If a rider takes a trip to Los Angeles, which is 9 miles and 35 minutes away, where mileage fare is 0.90 cents per mile and time fare is 0.15 cents per minute.
The rate is calculated as follows:
(9 miles x $0.90) + (35 minutes x $0.15) + Booking fee (1.65) + (Surge fare if applicable*) = $15.00
*Surge Fare: It’s an extra fee when there’s a higher demand for service.
After the reduction of the booking fee also called Rider fee ($1.65). Uber Driver will keep 75% and Uber the other 25% as a commission. So your real earning is $10.02. Just keep in mind that you have not yet considered the expenses that you may have like gasoline among others.
When and how do you get paid?
There are two options, weekly where your earnings are deposited directly into your bank account and recently they added Instant pay using a Debit Card From GoBank.
How to become an Uber Driver?
1. Visit Uber.com and Sign Up
2. Tell about yourself and your car (if you do not have a car they offer programs to lease or rent one to work)
3. Share some documents like the license, registration, proof of insurance, and some information to start a driver screening.
And that’s it; after you are approved, they’ll give you all the tools you need to start working as an Uber driver.
Can I ask you for comment before you leave? Let me know what you think about Uber, or if you have any questions, I will be happy to help.
One more thing, if you do not believe that this job is for you maybe it is for someone else in your family or friends, do not forget to share it.
If you want more ideas to make money check my post 8 excellent ways to make money from home.
You Might Also Like: