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Half of US Uber Drivers Make Less Than $10 An Hour After Vehicle Expenses, Study Says (recode.net)

Echoing a similar study by the JPMorgan Chase Institute, a new study finds the median hourly pay with tip for Uber drivers in the U.S. is $14.73, which includes tips and excludes expenses like insurance, gas and car depreciation incurred while working. The study was conducted by Ridester, a publication that focuses on the ride-hail industry. Recode reports: Using Ridester's low-end estimate of $5 per hour in vehicle costs, drivers would bring in $9.73 per hour and potentially much less. That implies a driver working 40 hours per week would make an annual salary of almost $31,000 before vehicle expenses, and about $20,000 after expenses (but still before taxes). That's below the poverty threshold for a family of three. It's also a far cry from the $70,000 to $90,000 Uber once claimed its drivers made in major markets.

The study, which was conducted this summer, asked drivers for a screenshot of their Uber app's earnings page from their last full day driving. The 719 valid screenshots they used show how many hours the drivers worked and how much they were paid after Uber's cut. It doesn't factor in other costs like taxes or healthcare. And -- worth noting -- the study only represents drivers who were motivated enough to send in their data and isn't necessarily representative of the geographical distribution of Uber drivers.

3 of 156 comments (clear)

  1. Had my eyes dilated by rsilvergun · · Score: 4, Interesting

    and took an Lyft. 14 mile round trip during 'surge' pricing (it was raining) was $26 bucks. I left a $10 tip each way (hopefully Lyft doesn't take 30% of it). One guy was pretty obviously a recently out of work fellow driving an SUV bought during better times...

    Also, $20k is below the poverty threshold for a family of one. Screw the gov't for not raising it. I don't think it's been raised significantly since I was a wee lad.

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  2. Re:A lot will by torkus · · Score: 4, Interesting

    Amazon wasn't forced to pay $15/hr. They decided to freely do so ... which i'll admit comes ahead of an eventual bill that would have cost them significantly more.

    Still, they do set a new standard which will drag up a lot of other companies around them. I still wonder what happened to uber. Their rates have gone up, not down, yet drivers seem to be making substantially less than just a few years ago. Too many cars idling and not getting rides? Uber increased their cut? Something else?

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  3. Re:Pffff by JMJimmy · · Score: 4, Interesting

    It's downright sad to be sure but they're trading capital in their vehicle for income. When that capital is gone due to wear & tear they lose their income. Taxis were priced as they were for a reason - and it wasn't to become rich.