[Schmanthony]

If the rides you accept all pay $1/mile including pickup time and trip time:

IRS estimates cost to operate a vehicle is $0.65/mile.

So your profit is $0.35/mile.

Let's say your average speed on those trips is 25 mph.

Your net pay per hour those trips, if you have no downtime at all, is:

$0.35/mile * 25 miles/hour = $8.75/hr

If your downtime between trips is 10%, your net pay drops to $7.88/hr

If your downtime between trips is 20%, your net pay drops to $7.00/hr

If you dead-head at all, which most drivers do, then net pay gets even worse.

Keep in mind this is for a dangerous job with no benefits that takes a physical toll on your body.

How much is minimum wage in your market? What is McDonald's paying in your market?

If you think your costs to operate your vehicle (fuel, maintenance, depreciation) are less than $0.65/mile, then fine, maybe you're right. But I still urge you to run the numbers yourself like I did here and then ask yourself... is $1/mile worth it?

 

[Bevital]

If the rides you accept all pay $1/mile including pickup time and trip time:

IRS estimates cost to operate a vehicle is $0.65/mile.

So your profit is $0.35/mile.

Let's say your average speed on those trips is 25 mph.

Your net pay per hour those trips, if you have no downtime at all, is:

$0.35/mile * 25 miles/hour = $8.75/hr

If your downtime between trips is 10%, your net pay drops to $7.88/hr

If your downtime between trips is 20%, your net pay drops to $7.00/hr

If you dead-head at all, which most drivers do, then net pay gets even worse.

Keep in mind this is for a dangerous job with no benefits that takes a physical toll on your body.

How much is minimum wage in your market? What is McDonald's paying in your market?

If you think your costs to operate your vehicle (fuel, maintenance, depreciation) are less than $0.65/mile, then fine, maybe you're right. But I still urge you to run the numbers yourself like I did here and then ask yourself... is $1/mile worth it?

Is the glass half full or half empty? I look at it this way. the irs is giving me an additional .65 cents to take the ride. Over the road truckers make about. 85 cents a mile. I'm making almost double that and im not sleeping in a truck cabin at night.

 

[Schmanthony]

Is the glass half full or half empty? I look at it this way. the irs is giving me an additional .65 cents to take the ride. Over the road truckers make about. 85 cents a mile. I'm making almost double that and im not sleeping in a truck cabin at night.

The IRS is not giving you that $0.65. They just aren't taxing you on that $0.65 that you earned. It's a deduction not a credit.

I hear crazy stories from OTR truckers I pick up all the time about how much money they make. $2000 in a day. $15,000 in a month. $400,000 in a year. I often drop them off in really nice gated communities with million dollar homes (Or I used to rather when I used to drive in the burbs... I stick to the city now).

 

[Heisenburger]

IRS estimates cost to operate a vehicle is $0.65/mile.

So your profit is $0.35/mile.

Sorry but I must inquire:

@ObeyTheNumbers are you in there?!

Here's why I inquire:

I used the new .75 cents a mile costs

operating costs are typically .75 cents a mile for everything.

You should factor that your costs are .75 cents an odometer mile daily.

.75 cents a mile goes to costs,

saving of .75 cents an odometer mile for costs and towards a replacement vehicle

Save .75 cents a odometer mile

So the .75 cents a mile recommend is apx. .15 cents a mile saved for a replacement vehicle and .60 cents a mile for other costs.

save at least 75 cents a odometer mile of your compensation for expenses, taxes and replacing the vehicle.

 

[wallae]

Pay here is 61 cents 🤣
Lots of 30 minute 10 mile one way trips into dead areas makings the 61 cents 30 cents a mile
I have nothing but contempt for the idiots running around like mad doing their crap trips
Especially at 2am with no surge
And this is no excuse
I want to slap these F ing people

 

[painfreepc]

If the rides you accept all pay $1/mile including pickup time and trip time:

IRS estimates cost to operate a vehicle is $0.65/mile.

So your profit is $0.35/mile.

Let's say your average speed on those trips is 25 mph.

Your net pay per hour those trips, if you have no downtime at all, is:

$0.35/mile * 25 miles/hour = $8.75/hr

If your downtime between trips is 10%, your net pay drops to $7.88/hr

If your downtime between trips is 20%, your net pay drops to $7.00/hr

If you dead-head at all, which most drivers do, then net pay gets even worse.

Keep in mind this is for a dangerous job with no benefits that takes a physical toll on your body.

How much is minimum wage in your market? What is McDonald's paying in your market?

If you think your costs to operate your vehicle (fuel, maintenance, depreciation) are less than $0.65/mile, then fine, maybe you're right. But I still urge you to run the numbers yourself like I did here and then ask yourself... is $1/mile worth it?

that $0.65/mile rate includes all car expense fixed and variable based on a new car that's being used 100% for business with commercial insurance, is everyone driving Uber in a car that's 100% used for business, those fixed expenses cannot be removed from job to job, if they no longer do Uber and Lyft and get another job they still have those fixed expenses, what are those fixed expenses, license tag fees, insurance payments, car washes, cell phone, and maybe a few other fixed expenses that escaped my mind at the moment.

If a Rideshare driver is not using their car 100% for Uber and have no need for another car if they stop doing Uber and lyft, please tell me how the hell are these people calculating a CPM and pretending like these fixed expenses is money they're not making from uber, I didn't say they can't be tax deduction they are tax deductions they're already part of the standard 65 Cent deduction, but yet instill you want to print up there that cost 65 cents to move your car, that may be so but once again that only applies if you're using that car 100% for Uber and you're going to catch the bus if you get another job, that means they will have no more fixed expenses to pay, fixed auto expenses that cannot be removed from job to job if you drive to work,

Or maybe you're going to catch the bus or call Uber/lyft, and you won't have these items to pay anymore:
license tag fees, insurance payments, car washes, cell phone

 

[Heisenburger]

I hear crazy stories from OTR truckers I pick up all the time about how much money they make. $2000 in a day. $15,000 in a month. $400,000 in a year. I often drop them off in really nice gated communities with million dollar homes

I meet someone new in trucking at least 25 times annually because I often work the Atlanta outskirts where all the distribution centers and truck stops and truck service centers and overnight/weekend truck parking lots are situated. Annually, many of the highest paid drivers, both company and owner operators, live in the suburbs around here. I've met and chatted with about 125 trucking guys -- and even two girls -- since 2017. From 25 year vets to fresh out of training noobs. Not even once have I had an experience and heard the numbers like the one you describe.

Learn more:

Striking similarities between rideshare/delivery and...

As you read this article, simply make these substitutions and it still makes sense: "rideshare drivers" for "truck drivers" "Uber" for "trucking company" Just a few examples: But due to low pay and less than desirable working conditions, many are leaving the industry, in search of a better...

www.uberpeople.net

 

[painfreepc]

The IRS is not giving you that $0.65. The just aren't taxing you on that $0.65 that you earned. It's a deduction not a credit.

I hear crazy stories from OTR truckers I pick up all the time about how much money they make. $2000 in a day. $15,000 in a month. $400,000 in a year. I often drop them off in really nice gated communities with million dollar homes (Or I used to rather when I used to drive in the burbs... I stick to the city now).

You're quite the comedian you keep your day job, I am ex shipping clerk for gatx about 8 years I was in charge of about 60 plus doors, never heard any truck driver talk about any type of numbers similar to this.

 

[Schmanthony]

I meet someone new in trucking at least 25 times annually because I often work the Atlanta outskirts where all the distribution centers and truck stops and truck service centers and overnight/weekend truck parking lots are situated. Annually, many of the highest paid drivers, both company and owner operators, live in the suburbs around here. I've met and chatted with about 125 trucking guys -- and even two girls -- since 2017. From 25 year vets to fresh out of training noobs. Not even once have I had an experience and heard the numbers like the one you describe.

Learn more:

Striking similarities between rideshare/delivery and...

As you read this article, simply make these substitutions and it still makes sense: "rideshare drivers" for "truck drivers" "Uber" for "trucking company" Just a few examples: But due to low pay and less than desirable working conditions, many are leaving the industry, in search of a better...

www.uberpeople.net

I should clarify that none of these stories I've heard from my trucker paxes are necessarily the "norm," and I have no way to personally verify them. But I have heard maybe half a dozen of these stories. Of maybe up to 100 truckers I picked up over the 3.5 years before I gave up driving in the burbs. A couple told me that low end truckers make less. I've heard you only make the real money once you own your own rig, or when you get "hooked up" whatever that means (maybe something illegal.) I also heard less surprising things from some like $1600/week, and they take a whole week off every month.

 

[Heisenburger]

IRS estimates cost to operate a vehicle is $0.65/mile.

Here's an excellent authority on the matter:

Motus is the definitive expert in mobile workforce solutions. Its platform simplifies the reimbursement and management of vehicle and device costs through personalized calculations. Powered by an unmatched pool of data, refined over more than 80 years, and updated in real time, Motus is the platform of choice for top Fortune 500 companies and organizations committed to workplace agility. Motus automotive data, captured and analyzed across the world’s largest retained pool of drivers, also underpins the annual Internal Revenue Service (IRS) business mileage standard, the amount an individual can deduct for business vehicle expenses.

As the definitive leader in solutions for businesses with mobile workforces, Motus cultivates a deep understanding of total costs of vehicle usage. Using insights from the world’s largest retained pool of drivers, the company conducts statistical analysis of data from the prior year to inform the IRS about trends in business driving.

reimbursement using the IRS rate creates winners and losers by over or under reimbursing them for their costs.

“While some organizations will continue to rely on the IRS business mileage standard, many more realize that a flat reimbursement policy leads to wasted spend and potential corporate liability. By embracing personalized methodologies that factor in myriad components to total vehicle costs, businesses and their mobile workforces realize hundreds of thousands of dollars in savings while remaining compliant with federal and state labor laws.”

2022 IRS Business Mileage Rate of 58.5 Cents Announced

Motus Data Analysis Illustrates Trends Informing New Rate, Impact of Pandemic-driven Volatility and Fluctuations, While Providing Guidance on Reimbursement Best Practices BOSTON, Mass., December 17, 2021 – The Internal Revenue...

www.motus.com

 

[colamacy]

I consider the $1/mi the baseline in determining whether a ping is yay/nay under any and all driving conditions.

 

[Trafficat]

65 cents deduction per mile is like being paid 13 cents a mile in your tax savings, assuming you are being taxed at about 20%.

But if your car actually costs 65 cents per mile to drive for Uber you are doing it wrong. 65 cents is for the average vehicle. If you drive an a average vehicle for Uber you are crazy.

 

[Stevie The magic Unicorn]

65 cents deduction per mile is like being paid 13 cents a mile in your tax savings, assuming you are being taxed at about 20%.

But if your car actually costs 65 cents per mile to drive for Uber you are doing it wrong. 65 cents is for the average vehicle. If you drive an a average vehicle for Uber you are crazy.

Well... let's take a minivan for instance.

A toyota Sienna or Honda Odyssey.

Definitly much more fuel burn etc than a camry or Honda Accord but you're getting XL pings which are much better in terms of pay.

So we have to look at that as well.

 

[Heisenburger]

much better

And much fewer.

 

[Schmanthony]

65 cents deduction per mile is like being paid 13 cents a mile in your tax savings, assuming you are being taxed at about 20%.

But if your car actually costs 65 cents per mile to drive for Uber you are doing it wrong. 65 cents is for the average vehicle. If you drive an a average vehicle for Uber you are crazy.

I drive a 2011 non-hybrid 4 cylinder Camry. Is that average?

 

[Heisenburger]

I drive a 2011 non-hybrid 4 cylinder Camry. Is that average?

No.

 

[Trafficat]

I drive a 2011 non-hybrid 4 cylinder Camry. Is that average?

Nope, should be considerably cheaper to operate.

If you look at the average cars around you on the road, they are mostly AWD or 4x4 SUVs and pickup trucks.

 

[Schmanthony]

Nope, should be considerably cheaper to operate.

If you look at the average cars around you on the road, they are mostly AWD or 4x4 SUVs and pickup trucks.

Those are not necessarily the types of vehicles generally being used for business though.

It does look like you're right though about my car. Check out this cool calculator I just found:

Cost Per Mile of Driving Calculator - Calculator Academy

Enter your car's MPG, the cost of gas, and the car's value into the calculator to estimate the cost per mile of driving.

calculator.academy

Apparently my car costs about 0.25/mile to operate according to the calculator.

Running the numbers again and assuming 20% downtime/deadheading with that figure I'd be netting $15/hr if all my trips paid $1/mile. McDonald's where I live pays $16/hr. And it would give me a health plan and I wouldn't have to worry about getting t-boned, shot or stabbed. Or herniated discs from all those Chicago potholes.

In reality I don't drive for anything less than $30/hr and $2/mile... total time & miles driveway-to-driveway. Average for me would be more like $40/hr and $3/mile.

 

[Heisenburger]

Those are not necessarily the types of vehicles generally being used for business though.

Common vehicle types for all businesses:

1. Cargo van
2. Sprinter van
3. Box truck
4. Straight truck
5. Pick-up truck

 

[Trafficat]

Those are not necessarily the types of vehicles generally being used for business though.

Depends on the type of business. Many businesses operate delivery vans which are even worse.