For those who are interested in setting their own work hours, having control of their pay, and like meeting new people, become a driver with the popular ride-sharing company, Uber, is always a great option.
Uber is one of the largest rideshare companies in the world, with thousands of contractors driving for them across the country. In this article, we will show you how much Uber drivers are making hourly as well as walk you through ways in which their earnings are being calculated.
As is common with rideshare companies, the work schedule varies considerably for each driver, so it is hard to say specifically what a driver’s net income will be. There are also a number of factors that go into how much a driver takes home.
First, there’s the standard trip fare which consists of the base fare in addition to how long and how far your trip is. The rate per minute and per mile varies from city to city. The standard fare is higher for Uber XL, Uber Black, and Uber SUV drivers. When rider demand is high, as with special events, holidays, or areas that are extremely busy, surge pricing occurs. This means that drivers have the opportunity to earn more money on top of the standard fare. Drivers can also make extra money from tips, promotions, and carpools.
On average, Uber X drivers can make anywhere from $16.00 to $19.00 per hour, including tips and incentives. However, because you set your own hours and routes, quite a few full-time drivers have managed to bring in more.
The total amount that a rider pays does not go to the driver, unfortunately. Uber takes a 20% commission for the service. The driver gets to keep any tips from the passenger.
Those interested in potentially driving for Uber must also consider car expenses such as insurance (both personal insurance and rideshare insurance), car/lease payments, tolls, license, gas, permit fees, maintenance, self-employment taxes, and more. The driver is responsible for these costs.
On the bright side, according to a recent survey conducted by Ridester, earnings for Uber X drivers have increased by 38.46% on average since 2018. This is due, in part, to Uber dishing out more incentives and bonuses to encourage drivers to stay on the road.