How Much Do Uber Drivers Make? All Income and Expenses


If you happen to’re questioning why Uber and Lyft have generally been accused of misrepresenting the typical revenue of their drivers, a giant piece of that equation is location. Whereas it’s true that many elements contribute to your revenue ranges as a driver, the place you drive can have a reasonably important affect on that.

As you may see from the above map, a driver in New York is making, on common, greater than twice that of a driver in Nashville. That doesn’t essentially imply it will be inconceivable to make rather a lot within the decrease paying cities, it will simply take some technique.

If you happen to’re questioning what you’d have the potential to make yearly in your metropolis, you can see a full list here. Here’s a small pattern of some widespread cities, with annual pay estimates:

  • Boston, MA: $40,480
  • Chicago, IL: $44,990
  • Durham, NC: $40,934
  • Grand Rapids, MI: $35,474
  • Houston, TX: $39,780
  • Louisville, KY: $36,004
  • Minneapolis, MN: $40,279
  • Orlando, FL: $40,248
  • Pittsburgh, PA: $46,831
  • Syracuse, NY: $32,605
  • Virginia Seashore, VA: $36,691

How A lot Does Uber Pay vs. Lyft?

Compared to the typical Uber driver, Lyft drivers do earn considerably increased wages.

This can be a HUGE issue that impacts each drivers, and riders, when evaluating the differences between Uber and Lyft.

Whereas an Uber driver makes a median of $14.73 per hour when ideas are factored in, a Lyft driver makes an average of $17.50 per hour.

A big issue on this: Lyft takes 20% of fares from drivers, plus booking fees, whereas Uber takes 25% of fares.

The trigger behind the remaining disparity is up for hypothesis.

Earnings from every firm fluctuate by location.

Riders give higher tips about Lyft based on some accounts, whereas Uber riders are the beneficiant ones based on others.

Uber surge tends to present your earnings the next multiplier, whereas Lyft’s equal and lower-cost Prime Time could encourage riders to make extra requests.

Basically, the rideshare driver expertise is about the identical, and your location and availability will affect your earnings greater than anything.

Whatever the service you’re driving for, automotive upkeep prices and self-employment taxes will all the time be a part of the job.

As an impartial contractor, needless to say these bills aren’t usually coated by your organization.

The one exception is that Uber offers free car inspections at a lot of their driver help facilities and accomplice inspection facilities.

You possibly can determine the place you will get your annual inspection coated in your metropolis’s car inspection web page on


Computing Uber’s full fee charge

Uber administrative knowledge on the fares generated per hour labored (from Cook dinner at al. 2018) will also be used to compute Uber’s full fee charge, the share of passengers’ fares that Uber claims in charges and commissions and that don’t go to drivers. Uber’s fee charge is steadily mentioned as if it had been 25 p.c however it’s truly 33.2 p.c, that means Uber retains a 3rd of Uber passenger fares.

The related knowledge are offered in Desk 3. Whereas the desk first presents the Cook dinner at al. 2018 knowledge on numbers of drivers and weekly fares, our evaluation primarily begins with what passengers are paying the drivers. Notice that the hours-weighted gross fare per hour (Row 6 in Desk 2 and Row 11 in Desk 3) doesn’t mirror what riders present in fares as a result of it excludes the reserving charge they pay for every journey. So we have to add the reserving charges charged per hour to the fares generated per hour from Desk 2 to acquire the overall quantity riders pay Uber per hour; the reserving charges per hour are derived in Rows 7 by way of 10.

Desk 3Estimating Uber charges and fee charge per hour Row Merchandise Supply Knowledge 1 Variety of driver contributors Cook dinner et al. 2018, Desk 1 1,873,474 2 Variety of driver-weeks Cook dinner et al. 2018, Desk 1 24,832,168 3 Weekly fares Cook dinner et al. 2018, Desk 1 $376.38 4 Gross fares/hour, person-weighted Cook dinner et al. 2018, Desk 1 $21.07 5 Journeys per week Cook dinner et al. 2018, Desk 1 29.83 6 Hours per week Cook dinner et al. 2018, Desk 1 17.06 7 Reserving charge per journey  $1.55 8 Journeys Row 5 × Row 2 740,743,571 9 Journeys per hour Row 5/Row 6 1.75 10 Reserving charges per hour Row 9 × Row 7 $2.71 11 Gross fare/hour, hour-weighted Row 3/Row 6 $22.06 12 Complete passenger fare/hour Row 10 + Row 11 $24.77 13 Fee/charges on complete fare Row 10 + (Row 12 – Row 10) × 0.25 $8.23 14 Fee/charge charge Row 13/Row 12 33.2% Supply: Evaluation of Cook dinner et al. 2018, Desk 1 Share on Fb Tweet this chart Embed Copy the code beneath to embed this chart in your web site. Obtain picture

To derive reserving charges per hour, we pull knowledge from Cook dinner et al. 2018 (Desk 1) on the variety of journeys every week (29.83) and the hours labored every week (17.06), and we enter these figures in Rows 5 and 6 in Desk 3. Given this, we all know that drivers common 1.75 journeys per hour (Row 9 in our Desk 3). To compute reserving charges per hour, we multiply the 1.75 journeys per hour by an Uber reserving charge of $1.55 per journey,14 which signifies that Uber earns $2.71 in reserving charges for each hour labored by a driver.

Including the $2.71 in reserving charges per hour (Row 10 in our Desk 3) to the hours-weighted gross fare per hour of $22.06 (Row 11 in our Desk 3) tells us that complete passengers’ fares paid to Uber every hour common $24.77 (Row 12).

So how a lot of the $24.77 collected by Uber every hour is taken as commissions and charges? As we now have established, Uber collects $2.71 in reserving charges per hour plus 25 p.c of the hours-weighted gross fare per hour of $22.06 in commissions. So we multiply 0.25 by $22.06 and add the ensuing $5.52 to the $2.71 in reserving charges and discover that Uber’s fee and charges complete $8.23 per hour, which represents 33.2 p.c of the $24.77 in complete passenger fares per hour, not the 25 p.c steadily mentioned.

Uber driver hourly compensation is $11.77 an hour. An Uber driver’s yield from $24.77 in complete passenger fares, after bearing in mind all Uber charges/commissions ($8.23) and driver bills ($4.78), is simply 47.5 p.c of what passengers pay ($11.77/$24.77).

The Info

So now that we’ve talked about every thing that contributes to the precise take-home earnings of an Uber or Lyft driver what do the numbers say?

Harry Campbell, a preferred ridesharing blogger, performed a examine, and utilizing knowledge, offers some actual numbers to the query of how a lot drivers are actually making.

Campbell discovered that drivers “reported incomes $15.28 per hour,” however assumes that quantity is known as a bit decrease based mostly on all the incidental bills we’ve already talked about. As you may see from this pie chart, the most important variety of drivers earn between $10-15 per hour.

Glassdoor, an organization that makes use of worker data to present in-depth appears into corporations, reviews on Uber earnings commonly, and their knowledge helps this common quantity as effectively.

If you happen to had been hoping to make greater than that driving for Uber or Lyft, there are a number of methods you may attempt to up your earnings.

Begin Incomes With Uber

Incomes sufficient to make ends meet is straightforward with Uber, however with our ideas, you may strategize your method towards some fast money very quickly.

Impressed to tackle a brand new gig?

How one can develop into an Uber driver in NYC

Not like in different U.S. cities, you want a Taxi and Limousine Fee (TLC) license to drive an Uber in New York Metropolis. That’s the largest distinction between driving with Uber in NYC and doing the identical in some other metropolis. Beneath is a step-by-step information on learn how to develop into an Uber driver in NYC:

Step 1: Apply for a driver’s license

You want a legitimate driver’s license earlier than driving with Uber in NYC. The license can both be a Industrial Driver’s License (CDL) or a Class E Division of Motor Automobiles (DMV) license. Moreover, Uber requires that drivers be a minimum of 21 years of age. You will need to even have a minimum of one yr of driving expertise with a license beneath your belt. Uber will run a background screening when deciding whether or not or to not approve your software.

Step 2: Get hold of a TLC For-Rent Automobile (FHV) license

A Taxi and Limousine Fee license is a New York State license that permits you to drive taxis. Along with rideshare automobiles like Uber and Lyft, you need to use this license to drive different forms of taxis. These embrace yellow and inexperienced taxis, black automobiles, liveries and limousines.

Acquiring a TLC license requires that you just take a 24-hour TLC schooling course. You may as well enroll for a web based course to present your self an edge earlier than taking the precise course. You’ll finally be examined in your defensive driving expertise. You’ll solely be eligible for the license if you happen to go the course.

Step 3: Guide an appointment with the TLC

That is primarily an software to get your TLC license authorised. Submit a proper request to the TLC, after which they may ship you an e-mail to make an appointment. That appointment is the place the TLC will decide if you happen to’re eligible to carry the license. Make sure that to assemble all of the related documentation as you put together for the appointment with the TLC. These embrace your Social Safety Quantity (and a duplicate), CDL or DMV license, your on-line TLC software, certificates displaying that you just handed your defensive driving course, and $100 software charge.

If the TLC approves your license software, you can begin driving with Uber instantly, assuming your automotive meets Uber’s car necessities for NYC. The principle necessities to bear in mind are:

  • The car have to be registered with the TLC and have a TLC license plate
  • It should both be a minivan or a 4-door automotive
  • For normal Uber, the car must be a 2006 mannequin or newer. For UberBlack and UberBlack SUV, your automotive have to be 6 years outdated or newer.
  • Your automotive should not have any business branding on it.
  • It have to be in good situation and haven’t any beauty injury.
  • The car ought to have an emissions inspection carried out by a NYS DMV facility

In case your car will not be eligible, or if you happen to don’t have a car in any respect, Uber might help you get one. They are going to cost you a weekly fee in trade for utilizing the car to earn.

Uber Driver Percentile Pay by Location

The next knowledge reveals the percentile distributions of Uber driver earnings in a number of totally different areas. Notice that median earnings seem within the 50% column.

Location 10% 25% 50% 75% 90%
Connecticut $27,211 $33,402 $40,202 $49,102 $57,205
New York Metropolis $30,183 $37,102 $44,702 $54,602 $63,615
Kentucky $23,730 $29,102 $35,002 $42,702 $49,712
San Francisco $31,409 $38,602 $46,502 $56,702 $65,989
Wyoming $22,403 $27,502 $33,102 $40,402 $47,048

What are Some Widespread Bills for Uber Drivers?

Automobile Upkeep

Once you drive to your job, you drive extra miles than you in any other case would. You’ll want to vary the oil, different fluids, and tires extra steadily.

Automobile Fee

If you happen to don’t already personal your automotive outright, you’ll need to proceed making lease or automotive mortgage funds. In line with Experian, the typical month-to-month fee for a brand new automotive mortgage is $568. The common month-to-month fee for a used automotive mortgage is $397.

Automobile Insurance coverage

Uber drivers want to take care of complete and collision protection on their private auto insurance coverage. In line with data from the National Association of Insurance Commissioners, collision protection prices $363 per yr on common, and complete insurance coverage prices $160 per yr on common.

Uber has further insurance coverage protection that protects your automotive do you have to get into an accident whereas on the clock. Nonetheless, drivers should pay a $1,000 deductible earlier than the protection kicks in. Uber additionally has third-party legal responsibility insurance coverage and uninsured/underinsured motorist bodily damage insurance coverage for drivers. Study extra about Uber and insurance coverage here.


Fuel costs range considerably, relying on the place you reside. Uber drivers should pay for the gasoline used to function their Uber enterprise. You possibly can declare gasoline utilizing the usual mileage deduction or by monitoring precise gasoline bills and deducting an actual determine for gasoline.

In-Automobile Facilities

Some Uber drivers select to supply riders in-car facilities like mints, cellphone chargers to make use of, water bottles, tissues, hand sanitizer, and many others. Facilities aren’t required, however some drivers declare facilities assist enhance their rankings.

You possibly can declare in-car facilities as a enterprise expense outdoors of the usual mileage deduction.

Instantaneous Pay Payment

Uber pays drivers weekly, however if you would like your earnings sooner than that, you’ll need to enroll in Uber Instantaneous Pay. With Instantaneous Pay, drivers can withdraw their earnings utilizing a debit card for $0.50 per transaction. To keep away from the charge, drivers can open an Uber debit account by way of GoBank.

Not each financial institution processes withdrawals instantly, so though it’s known as Instantaneous Pay, it might nonetheless take a day or two till the cash seems in your account.

Well being Insurance coverage

At present, driving full-time for Uber doesn’t imply you get advantages like medical health insurance. Uber drivers must safe their very own medical health insurance in the event that they don’t have already got medical health insurance by way of a member of the family, accomplice, or employer.

This would possibly change sooner or later. Within the Spring of 2020, Uber announced plans to determine a medical health insurance coverage for drivers. Uber would reportedly pay for well being advantages on a sliding scale based mostly on hours labored.

Different Advantages

Uber doesn’t give drivers matching contributions to a retirement plan, life insurance coverage, dental insurance coverage, imaginative and prescient insurance coverage, or different advantages. If you’d like these advantages, you’ll need to buy them for your self as an impartial contractor.

A Scarcity of Uber Drivers

Current will increase in gasoline costs have led to a scarcity of Uber drivers, which can bode effectively for these trying to choose up some rideshare gig work. Right here, once more, understanding the high quality print and variables is vital.

Fewer drivers end in elevated prices for riders. As extra folks want to get again on the street as COVID-19 restrictions ease, they’re discovering wait occasions and costs that mirror the scarcity of drivers.

In April of 2021, Uber developed an incentive program variety of $250 million to get drivers again on the app. It additionally began charging riders gas surcharges to assist drivers address the rising gasoline costs of 2022. This, mixed with elevated fares on account of shortage, means drivers are seeing higher monetary alternatives than earlier than. In massive cities like New York, Philadelphia and Chicago, drivers are making over $30 per hour.

Nonetheless, this short-term demand imbalance mixed with Uber’s dynamic pricing construction suggests this pay improve is probably going an uncommon exception, not the rule. These signing up as drivers now could make good cash, however they need to achieve this with an finish date in thoughts.

Good To Know

The common automotive insurance coverage won’t cowl a car used for rideshare work. Uber offers insurance coverage that covers drivers whereas they’re ready for a request, en path to pick-up or throughout a journey. To guard your self once you use your car for Uber, make certain to enroll in a rideshare auto insurance policy.

The affect of fixing buyer patterns

The latest resurgence of enterprise and social exercise has introduced rideshare again to life, however the enjoying area is totally different than it was again in 2019. Drivers want to review the marketplace for rideshare and use good methods to make as a lot cash as doable—and maintain on to it.

Being conscious of passenger patterns is a should on this setting. Let’s take a look at among the actions passengers partake in, how effectively they’re recovering because the world regroups after the pandemic shutdowns, and the methods it impacts Uber drivers.

Air journey

Airport passengers are coming again! By early April 8, the TSA reported 2,318,977 folks handed by way of checkpoints. On that very same date in 2021, just one,549,181 went by way of the gates. Whereas that’s not fairly as much as 2019’s variety of 2,590,499, airport visitors is certainly displaying promising indicators of restoration. There’s a change, although: in 2022, extra journey is oriented towards pleasure than enterprise. 

Firms have discovered that on-line conferences will be extremely efficient and much cheaper than these soft enterprise journeys. In actual fact, many consider enterprise journey could by no means return to pre-pandemic ranges. This implies you need to alter your mindset about airport driving and cater to the pleasure crowd somewhat than banking on the enterprise traveler.


Enterprise occasions are coming again, however not as strongly as rideshare drivers would possibly like. There are conferences and conventions, however a lot of them are both retaining a web based presentation format, or making a hybrid choice, which mixes reside gatherings and digital experiences. Very similar to enterprise journey, company occasions could also be taking over new varieties that had been inconceivable earlier than the occasions of 2020 modified the methods folks collect.

Fortuitously, the image is brighter for leisure. In line with, crowds are coming again to public occasions, from the flicks to shopper showcases and hockey video games. Concert events are again in enterprise in a giant method. Live Nation said that 2022 is on monitor to be a report yr.  That is nice information for rideshare drivers. Whereas there’ll nonetheless be many digital leisure occasions, developments present that there will probably be crowds once more—and that they are going to be in want of rideshare providers.

Greater rideshare costs

Whereas it’s clear that passengers are coming again, they might not be as simple to search out as they’ve been in occasions previous. Greater costs for rideshare will preserve a few of them away. If you happen to reside in an even bigger metropolis, this creates extra competitors amongst a big inhabitants of drivers for what’s certain to develop into fewer rides. You’ll must be extra conscious than ever about the place passengers could be and at what occasions. 

Gridwise ideas

With Gridwise, you’ll be capable of monitor airport visitors quantity and rise up to the minute details about all of the occasions in your city. What’s extra, Where to Driveoffers you knowledge from actual drivers, displaying you the areas the place extra money will be made. Gridwise offers you all of the perception it’s worthwhile to preserve your earnings up the place you want them to be. Download Gridwise to get all these options and extra.

So How A lot Do Uber Drivers Really Make?

Many Uber drivers are college students who need to pay their method by way of school. How a lot Uber drivers earn varies from one driver to a different, and all of it will depend on how a lot they drive, and plenty of different points, resembling automotive upkeep, gasoline bills, tolls, insurance coverage, and so forth. The time of the drive can also be related to the quantity a driver goes to earn on the finish of a journey. It’s arduous to calculate a median quantity.

Total, a driver is alleged to get a median weighted driver wage of $21.90 per hour. If a driver works 30 hours every week, the tough projected annual driver wage can be round $34,164.


Nonetheless, you will need to think about that drivers do obtain bonuses generally. It may be slightly uncommon, however they nonetheless get some benefits. A few of the bonuses embrace sign-on bonuses and referral charges.

If you’re nonetheless inquisitive about numbers in numerous main cities throughout the US, then take a look at this 2019 chart that claims how a lot drivers made per hour earlier than bills and after TNC fee.

MarketEarnings Per Hour MedianEarnings Per Mile MedianEarnings Per Journey Median
Pittsburgh, PA$18.80$0.96$11.28
Los Angeles, CA$17.07$0.87$9.84
Dallas, TX$15.64$0.70$10.95
Phoenix, AZ$16.78$0.71$10.00
New York, NY$20.96$1.10$13.33
Washington, DC$17.44$0.94$10.23
Boston, MA$20.88$1.07$10.95
Chicago, IL$17.84$0.98$10.78
Baltimore, MD$15.90$0.81$9.90
Atlanta, GA$13.79$0.66$9.67
Miami, FL$12.69$0.69$8.67
Austin, TX$17.19$0.84$10.88
Detroit, MI$16.60$0.68$10.65
New Jersey$18.41$0.91$10.50
Houston, TX$14.26$0.63$10.85
Philadelphia, PA$17.22$0.99$9.71
Bay Space, CA$21.21$1.06$11.67
San Jose, CA$21.80$1.00$11.51
Seattle, WA$20.35$1.14$11.47
San Diego, CA$17.15$0.79$9.39
San Antonio, TX$12.44$0.64$9.29
Columbus, OH$14.46$0.76$10.05
Indianapolis, IN$14.69$0.66$9.29
Denver, CO$19.10$0.87$11.85
Jacksonville, FL$13.87$0.64$9.09
Charlotte, NC$13.57$0.62$9.31
Las Vegas, NV$15.37$0.89$8.61
Oklahoma Metropolis, OK$14.05$0.62$8.29
Nashville, TN$15.52$0.77$10.00
Kansas Metropolis, MO$16.85$0.69$11.23
New Orleans, LA$14.33$0.90$10.31
Tampa, FL$12.55$0.63$9.01