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Discussion Starter · #1 ·
Full tank on my Corolla costs me around $60. I refuel 4-5 times a week and drive Uber Eats after main job 3 hours each weekday, 6 hours on Fridays and full 12 hours day on Saturday.
I try to make roughly $700-1000 a week, put 40% aside on taxes.
In conclusion after tax and gas expenses I'm left with $300-$400 out of $1000.

Does this even make sense?
 

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Why do you think we all complain about not making money? Mathematically your numbers make sense. Us all continuing to still drive, does not make sense😂😍

In reality, you don't need to put 40% aside. You'll never end up paying that back in taxes. Your mileage deduction is going to cut your gross income down by more than half. That's after you subtract out the companies commissions
 

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Discussion Starter · #3 ·
Why do you think we all complain about not making money? Mathematically your numbers make sense. Us all continuing to still drive, does not make sense😂😍

In reality, you don't need to put 40% aside. You'll never end up paying that back in taxes. Your mileage deduction is going to cut your gross income down by more than half. That's after you subtract out the companies commissions
I was setting aside 20% last year and ended up owing about 6k on top of not getting any return with my main job. Turned out I overlooked additional self employment tax of 15%. So now just to be safe I put 35-40% aside.
 

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Keep a log of the miles you drive each week and then take the standard mileage decuction on your taxes for the year. I think its around 0.585/mile. Rough math of 50 gallons a week and 30 miles/gal your driving 1500 miles. Standard deduction would be around $877 so you shoud be paying taxes on almost nothing. Passenger drivers usually offset their full time job taxes by claiming a loss on the rideshare side.
 

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Full tank on my Corolla costs me around $60. I refuel 4-5 times a week and drive Uber Eats after main job 3 hours each weekday, 6 hours on Fridays and full 12 hours day on Saturday.
I try to make roughly $700-1000 a week, put 40% aside on taxes.
In conclusion after tax and gas expenses I'm left with $300-$400 out of $1000.

Does this even make sense?
your fuel bill seems extraordinary high 🤔 at 25/30%

my Corolla is 10/15% fuel costs of what I earn,

if I was you I would be looking at reducing that cost,
 

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I was setting aside 20% last year and ended up owing about 6k on top of not getting any return with my main job. Turned out I overlooked additional self employment tax of 15%. So now just to be safe I put 35-40% aside.
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How?? How much do you get paid per mile? I drive XL. So I get paid double what the X drivers make here which means they Drive twice as many miles to make the same money as I do. Even with less miles to deduct the most I've ever owed was $1400. Typically it's more around $500.
 

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I think you might be calculating your fuel costs incorrectly. Maybe I didn't understand you, but it sounds like you're saying you spend $240 - $300 per week on gas in total. You're not burning all of that up driving thirtyish hours per week for Eats and the car sits there otherwise, are you?

I can drive 40 hours in a week with about 1,000/1,200 miles for less gas than that (rideshare, not Eats) and you should be getting better mileage than me.

To figure your gas, and to help with your taxes, you should set your trip meter when you leave to go do your Eats shift, then every day write down what the mileage is when you're done. I keep mine in a spreadsheet with the date and total mileage daily. If the trip says you did 100 miles and got 25 mpg, then you spent $20 in gas that day (4 gallons X $5 ... or whatever it is for you). Trying to figure out in your head how much of that gas is Eats and how much is you isn't going to give you an accurate picture if you're trying to determine your profit. It might not be as bad as you think from estimating.

Then you write off the whole 100 miles (yes, including time you wait for deliveries, etc, it's all in your "legitimate business use" for actually working whether Uber is tracking that mile or not - do not use Uber's mileage total at the end of the year). You can also deduct tolls and parking on top of the standard mileage deduction. I don't know if that factors in for you.

I'm not saying you should be profitable or that it's worth doing. I have no idea if it is for you, but that will at least give you a clearer picture of what you're actually keeping (or should be after the taxes).

I'm a retired tax accountant, by the way.
 

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.25 mile for gas (20 mpg @$5 gallon)
.04 mile for fluids (oil, coolant, trans, diff, ww)
.02 mile for tires (cost/thread life +10%)
.07 mile for cleaning (car washes, detailing)
.04 phone (yes it's a cost, plan x12 + 50% of new phone)
.03 insurance (plan/85,000 annual miles avg)
.03 repairs (0 with new, goes up over time)
.14 vehicle cost ($40k/300k miles)
.10 mile taxes (all your odemeter miles minus any logged personal trips for tax credit of .58 cents a mile, .62 cents starting July 1st 2020, deadheading counts as miles, do not go by Uber miles, says so in fine print)

.72 cents a ODOMETER mile current operating costs. You need to overestimate a bit for unknown circumstances occuring like an accident.

Using rider app enter top location and bottom location of area your considering Ubering in, select your vehicle type and before hitting 'confirm pickup' click the little 'i' in black circle for fare breakdown.

Take the per mile charge to pax and multiply by 70%, Uber takes about 30% but pays the commercial insurance ( don't take fares off the meter, accident can get you sued and jailed!) that's apx what your going to get per mile.

If over $3 per mile your going to make great per mile profit. But likely not enough volume at that to make a living unless you got a niche someplace

If around $1.44 - $2+ a mile your being paid enough to return to hot spot pickup point without a trip covering it (deadheading) But should try to return with a trip if all possible as it's extra gravy. Why I always ask if this is going to be a round trip and just keep running the meter if an in and out of a store or something.

$1.44 or less your not, meaning it's rideshare and your only being paid enough because you were going in that direction anyway. So small trips in a busy area, some say 5 minutes for 10 minutes or less so your doubling back in your area. At dropoff wait for another trip or do round trips.

Of course the directional thingamajig doesn't work all that well. All figures above are rough, your vehicle costs may be different. My costs, as other have said, are high. I have a truck so costs are higher, but it lasts a long time and easily repaired. So I don't turn over vehicles that often.

Another trick is to set your odometer trip meter before leaving your house, at the end of the day your daily earnings, including tips on the meter should equal or exceed the odometer amount, doing less your losing.

Your placing wear and tear on your vehicle, driving it's increasing a chance at an accident. Uber income alone is not valid enough for car loans as it's NOT meant to be an income, just a side gig. You NEED to save money to buy your next vehicle IN CASH. It's been my experience you can do well on Uber provided your making .20 an ODOMETER mile profit or better. THUS you need to deadhead as little as possible. Long trips can screw you because the odds of you getting anything back towards home when you want to go, are minimal. Where deadheading is common, the Uber prices are higher and driver get paid more else no drivers.

So basically you need to make plus or minus 10% of a dollar a mile driven as apx .70 cents a mile goes to costs and .30 cents a mile is your profit.

You want to save? You wash your own car, buy a car vac, do your own full detailing, deadhead as little as possible, buy a fuel efficient vehicle that is going to last the full 15 years from issuance that Uber allows and baby the heck out of it. The longer it lasts the less your per year costs are and the more profit you will make in those 15 years. Pay cash for the vehicle, no costly loans. Get all the tax deductions possible, it pays to use an accountant, they save you more than they take in fees, tell them everything about your life, you may qualify for unexpected tax credits that will put more money in the bank.
 

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.25 mile for gas (20 mpg @$5 gallon)
.04 mile for fluids (oil, coolant, trans, diff, we)
.02 mile for tires (cost/thread life +10%)
.07 mile for cleaning (car washes, detailing)
.04 phone (yes it's a cost, plan x12 + 50% of new phone)
.03 insurance (plan/85,000 miles avg)
.03 repairs (0 with new, goes up over time)
.14 vehicle cost ($40k/300k miles)
.10 mile taxes (all your odemeter miles minus any logged personal trips for tax deduction of .58 cents a mile, .62 cents starting July 1st, deadheading counts as miles, do not go by Uber miles)

.72 current cents a ODOMETER mile operating costs. You need to overestimate a bit for unknown circumstances occuring.

Using rider app enter top location and bottom location of area your considering Ubering in, select your vehicle type and before hitting 'confirm pickup' click the little 'i' in black circle for fare breakdown.

Take the per mile charge to pax and multiply by 70%, Uber takes about 30% but pays the commercial insurance ( don't take fares off the meter, accident can get you sued and jailed!) that's apx what your going to get per mile.

If over $3 per mile your going to make great money.

If around $1.44 - $2+ a mile your being paid to return to hot spot pickup point (deadheading)

$1.44 or less your not, meaning it's rideshare and your only being paid enough because you were going in that direction anyway. So small trips in a busy area, some say 5 minutes for 10 minutes or less so your doubling back in your area. At dropoff wait for another trip.

Of course the directional thingamajig doesn't work all that well. All figures above are rough, your vehicle costs may be different.

Another trick is to set your odometer trip meter before leaving your house, at the end of the day your daily earnings, including tips on the meter should equal or exceed the odometer amount, doing less your losing.

Your placing wear and tear on your vehicle, driving it's increasing a chance at an accident. Uber income alone is not valid enough for car loans as it's NOT meant to be an income, just a side gig. You NEED to save money to buy your next vehicle IN CASH. It's been my experience you can do well on Uber provided your making .20 an ODOMETER mile profit or better. THUS you need to deadhead as little as possible. Long trips can screw you because the odds of you getting anything back towards home when you want to go, are minimal. Where deadheading is common, the Uber prices are higher and driver get paid more else no drivers.
Here we go again.....
 

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And hundreds more miles on your car. Tires: $400-700 Brakes: $400-800. Oil Changes: $40 - $90 Check engine light: $20- $1000. Hell F#$%&%ng NO!
a smarter!!! 13 year old could replace break pads in an hour the coast is $35 for a set of 4 although you most likely only need the front ones... oil change is $33 with synthetic mobil1 ... you can be profitable if you are not a lazy braindead whiner
 

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Full tank on my Corolla costs me around $60. I refuel 4-5 times a week and drive Uber Eats after main job 3 hours each weekday, 6 hours on Fridays and full 12 hours day on Saturday.
I try to make roughly $700-1000 a week, put 40% aside on taxes.
In conclusion after tax and gas expenses I'm left with $300-$400 out of $1000.

Does this even make sense?
40% is way high.

If you're pulling $250-300 (give or take?) out of $1,000 for gas expect ANOTHER $200 in tax deductible expenses.

Then take 40% of WHAT'S LEFT and consider THAT your income to peel 40% out of. Reality is that of your TOTAL REVENUE a large portion isn't taxable.

So if you're making $700-1000 and taking $250-300 out for gas.

That leaves you wiht $450-700 in actual income. 40% of that is $180-$280 in taxes.

700 1000
-250 -300
-180 -280
$270 $420

So this means by my math, you're looking at $270-420 after expenses/taxes. If 40% is your tax rate based on your second job you still arn't doing your math right. 40% is really closer 25% after expenses.

Which is a heck of a lot better than the goose egg i would earn doing uberX in my town.
 
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After all those exaggerated numbers, the poster says it’s necessary in case of an accident. WHAT?
One need to save as much money as possible so they have enough to replace the vehicle in case of an accident. It's because doing Ubering increases the chances as one is driving more.

Insurance companies pay on the current value of the vehicle, which likely won't be enough to get what one needs, with all those miles for Uber greatly depreciating it. Kelly Blue Book once in awhile helps to know.

I've been in two accidents with pax in the vehicle, both times my taxi was totaled. Both times I was slightly hurt. Now I drive a big truck for Uber big trailer hitch sticking out painted yellow, no accidents so far...
 

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....13 year old could replace break pads in an hour ...
That's called in the repair business a 'pad swap' and it's not always the best way to go as there are other moving parts that require taking apart, cleaning, greasing etc or replacement.

Since brakes are very important, save your life, best have them done by a professional who can determine that more attention is needed. Typically about $800 for the front.
 
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