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This is only my second thread I've generated, after experiencing almost a month on the road stopping Aug 1st to wait and see what happens, having read lots and contributed a little bit, mainly my original thread, I have decided to call it a day.

I am a 45yo Australian male, self employed for over 20years (but lately not been going so well), a wife that works part time and 3 children aged between 11 & 15, living in outer eastern Melbourne. Prior was ADF.

I was attracted to Uber mainly by the flexibility so I could still carry on in my business when I got some much needed work. I am fortunate enough to have taken my very nice late model vehicle out on the road to do Uber. Riders in almost every ride commented on my vehicle, adding similar comments in my reviews along with my service and personality etc. I had the occasional rude, obnoxious, vulgar or intoxicated rider however all in all I found riders to be very pleasant and it was my pleasure to get them safely and promptly to their desired destination.

I'd have to say that overall, Uber Riders are ok. In most instances they are tech savvy, professional, educated and intelligent people. Culturally mixed which is wonderful, generally chatty with a gender ratio of close to 50/50, aged mostly between 22 to 55. Most of whom I might add have a far greater disposable income than myself.

I like many of you, understood from my single face to face 15min meeting with Uber (Richmond, Melb.) was of the very firm belief that "should my vehicle, my riders, myself and other property and people we'd be well protected by Uber should my own insurer not come to the party". I also was of the understanding that UBER VALUED ITS UBER PARTNERS (drivers) with the potential to generate a good return for the driver being Uber's equal top priority to providing the rider a clean, safe, reliable and affordable service.

But how wrong was this impression and verbal surety !

Uber are worse than our politicians.........and that's saying something ! They dabble around the questions posed to them via email, never giving a direct and firm response about ANYTHING. They continually rip drivers off with price decreases, despite the so called 10% increase today (which is not 10% but rather a smoke screen), they can not and will not assure drivers in writing about their insurance back up policy and from what I have read and researched 'the driver is on his/her own if an accident unfortunately occurs', the minimum trip rate of $6 is SLAVE LABOR while the base/time/km rate is too low to make even a humble profit. The surge is also another contentious issue that I question with its authenticity of operation.
In other words 'I think it is dodgy' !

Uber seems to be signing up more and more drivers at a RAPID rate, many of whom are dirty, smelly with not such nice vehicles and speaking limited english. The very driver the riders are trying to avoid by not using the accredited taxi service. It boggles me that Uber are doing such a thing as it seems to contradict Uber's own goals. Alas, it is only money that Uber has in its vision, not riders, drivers or a superior rideshare service.

I do expect in times to come that Uber won't survive, being a short lived craze, especially here in Australia it seems. It can't survive if it continues down this path as the tech savvy, professional, educated and intelligent people will turn away.

IF YOU ARE CONSIDERING DRIVING FOR UBER then by all means give it a go. I did and I enjoyed 98% of it. Great meeting other people and great driving here and there BUT I wanted to, and needed to MAKE SOME MONEY. I've done time, done the sums, done Q&A and done my own research AND NOW I AM DONE WITH UBER. The $$ and the risks are just not worth it for me.

To conclude: Uber won't change but they should increase fares by at least another 20-25% on top of todays so called 10% increase. There are a few good , smart people on this forum such as SDA who are trying, working and campaigning hard to see that Uber looks after its drivers. If you're going to continue to Uber then support these people and stick with them. The introduction of GST is a pain and a costly administrative process for the driver but drivers must obey tax laws. It would be so much easier and cheaper for the driver if Uber did charge and collect the GST but they won't so drivers must. The ATO is correct in applying the GST to the full fare before commissions and other fees are paid. That is how it works. Uber benefits more and they know that so they will never 'really' dispute it on the drivers behalf. Uber is just another o/s company avoiding paying tax in Australia because they can and don't care about Australia.

Remember though, that you only need to tender a tax receipt to a rider that incurs a trip over $82.50, and even then you only have to provide if they ask you for one. So carry a small receipt/tax book and include your ABN and keep a copy for your quarterly BAS lodgements.

I'll stick around on this forum for a few days or so but until then IF YOU'RE GOING TO DRIVE BE CAREFUL, THE RISK IS HUGE ! Oh, the MONEY, IS NOT ENOUGH TO GET Xcited ABOUT. Good Luck.
What an insightful summary. Absolutely spot on. Should be compulsory reading for all newbie Uber Partners.
I too, have not and will not drive post August 1. I miss the extra dollars in a tight family budget, but the risk/ return is just not worth it. You are now just a tax collector, running a charitable transport service, who will end up with a burnt out car, while enriching a foreign Corporation who contribute nothing to Australia.
May I suggest to anyone who has acrued any assets in their life, please do not drive for Uber. You are placing these assets in major risk. Someone, somewhere, sometime is going to get sued as a driver for Uber. I personally picked up the Tech Savvy, the Cultured, the Worldly Wise, and the plain Wealthy. It would take just one idiot running a red light or a distracted tail gater to collide with you and your whole LIFE will CHANGE for the worse. Chances are, and pray it is not, you, but it will happen to someone one day as a Uber Driver.
 

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Good morning! Sure is a very well written, insightful, intelligent and unbiased account. Thanks, for the great idea sc00ba...

May I please publish it on the SDA site on the advice to new members page as a case study, I'm thinking we create a new page on the advice page called 'share driver stories' or a 'word from the wise' (suggestions?)

(attribute it to ? NotXcited? Former Uber Driver?)

NotX, I cannot resist asking you to let me republish this after such a kind plug for SDA, with or without it's a great piece but it just ices the cake for me!
I am happy for any republisher to use my part.
 

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The economics of fixed costs dictate that a hire vehicle has to be on the road earning 24/7 if at all possible. Or at least earning premium rates for a part of the weekly cycle. This necessitates multiple drivers per vehicle to spread these costs. I just can't see Uber lowest common denominator model surviving a regulatory overhaul to include it. Uber promote the casual and part-time benefits to U drivers, but when the Gov't piles on licensing and hire vehicle registration etc, only the 6o-80 hour week drivers will survive, and at Uber pricing, end up with a worn out wreck.
 

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What you should be earning in wages :-

From the ATO website
https://www.ato.gov.au/Business/Sma...R-Z/Taxi-drivers-and-operators---issued-2015/

End of find out more
Input benchmark - sales turnover
You can use this benchmark to:

  • calculate your income
  • compare your income against the taxi industry average
  • check that records accurately reflect your income.
Income guide - taxi operator (per taxi)

Total kilometres travelled during year

150,000

Cents per kilometre rate - 2013

$1.30

Total fares (kilometres x CPK rate)

$195,000

Total shifts worked during year

500

Bailment arrangement (average percentage of total fares)

50%

Income from bailment (at 50% of total fares)

$97,500

Income guide - taxi drivers

Average shifts worked during year

225

Average kilometres per shift

300

Total kilometres travelled during year (average shifts x average kilometres travelled)

67,500

Cents per kilometre rate - 2013

$1.30

Total fares per shift (average km per shift x CPK rate )

$390

Total fares (total fares per shift x average shifts)
 
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