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Is Driving for Uber Worth It? Pros & Cons


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uber logo

Uber is one of the most well-established and popular platforms that gig economy workers can use to earn an income. The company was founded in 2009 and currently provides ridesharing services in over 900 cities worldwide. Becoming an Uber driver is one of the most flexible ways to earn extra cash either as a full-time job or a part-time side hustle. All you need to get started is an insured car.

Pros

  • High earnings potential – Uber estimates that drivers can earn up to $1034 per week (including $90 in tips) driving for around 50 hours per week.
  • Instant payment – Uber enables drivers to cash out up to 5 times every day ($0.50 fee each time, no fee with Uber Visa debit card from GoBank).
  • Earn more with surge pricing – Uber fares automatically increase during periods of high demand, such as 7am-8am/6pm-9pm so you can earn more.
  • Earn more with tips – although tipping is optional and not all riders will tip, you do get to keep 100% of all tips that you get from riders.

Cons

  • Prior driving experience required – you must have at least 1 year of driving experience to become an Uber driver (3 years if you are under 23).
  • Lengthy approval process – registration can take up to 10 days before you can start earning, and includes background checks and verification.

Jump to: Full Review

Compare to Other Delivery Driver Jobs

DoorDash

DoorDash logo

Earn $25 per hour plus keep 100% of your tips (4000 cities in USA)

You can use any mode of transportation: your car, bicycle or motorcycle

You have the freedom to pick and choose which orders you want to accept

Grubhub

Grubhub logo

Make around $12 per hour + tips and create your own flexible schedule

No resume, interview or delivery experience required, and no dress code

Cash your earnings out up to $500 a day (free for Chase Bank customers)

GoPuff

GoPuff logo

Experienced delivery drivers can earn up to $21 per hour ($13 on average)

Choose when you want to work based on your schedule in 1000 cities

Delivery snacks, drinks, grocery, quick meals, cleaning supplies and more

How Does Driving with Uber Work?


Uber connects you with passengers who need rides. Passengers order a ride and pay through the Uber app, and you as a driver-partner are paid by Uber based on the length of each ride.

What’s good about working with Uber is that you can work whenever and for as long as you’d like. To make yourself available for fares, all you need to do is simply open your Uber app and turn on the driver mode.

As long as you have the driver mode activated on your Uber app, you’ll get matched with passengers nearby. You can accept or decline passenger requests. And when you accept a ride, you’ll need to pick up the passengers and drop them off at their destination.

How Much You Can Make with Uber?


While Uber doesn’t reveal its drivers’ average hourly rate, the company states that your earnings depend on multiple factors, including:

  • Where you drive
  • When you drive
  • Which Uber service tier do you drive for

Where is Uber Available?


Uber is available in every state in the US. But it’s not yet available in smaller towns and in all suburbs. The easiest way to find out if Uber is available in your location is to download the app and either try ordering a car or sign up as a driver.

Moreover, Uber is available outside the US as well. In total, Uber covers more than 890 countries throughout the world.

America Europe Asia & Middle East Africa Other
Argentina Andorra Bahrain Cote d’Ivoire (Ivory Coast) Australia
Bolivia Austria Bangladesh Egypt
Brazil Belgium Hong Kong Ghana New Zealand
Canada Croatia India Kenya
Chile Czech Republic Israel Morocco
Colombia Estonia Japan Nigeria
Costa Rica Finland Jordan South Africa
Dominican Republic France South Korea Tanzania
Ecuador Germany Lebanon Uganda
El Salvador Greece Macao
Guatemala Ireland Pakistan
Honduras Italy Qatar
Mexico Lithuania Saudi Arabia
Panama Netherlands Sri Lanka
Paraguay Norway Taiwan
Peru Poland United Arab Emirates
Uruguay Portugal
Romania
Slovakia
Spain
Sweden

Who is Uber Best For?


Uber is for drivers who want to earn extra income by providing delivery and transportation services. 

Uber Benefits: What Does Uber Offer?


Flexible Schedule

With Uber, you can work as much or as little as you would like and during any hours. No need to schedule your driving around other activities.

Insurance

Uber provides commercial insurance that covers the vehicle from the time the trip starts to when it ends. 

Safe

Uber does its best to screen riders by having a feedback system where both driver and rider rate each other to help mitigate the risk to your personal safety

Uber Requirements


Uber Driver Requirements

Here’s the list of minimum requirements you have to meet to be eligible to drive with Uber:

  • Be of the minimum age to drive in your state.
  • Have at least 1 year of licensed driving experience in the US (and 3 years if you’re under 23).
  • Have a valid US driver’s license.
  • Use an eligible 4-door vehicle (check the vehicle requirements below).

Uber Vehicle Requirements

There are a few criteria your vehicle should meet for you to become an Uber driver.

Basic Uber vehicle requirements are that a vehicle must have four doors and be manufactured after 2004. Salvaged vehicles aren’t eligible for Uber.

Additionally, your city may have its own vehicle requirements. For example, your city may reject a car with cosmetic damage or don’t allow commercial branding. You might also need to pass an annual vehicle inspection. You’ll get notified of any specific requirements in your location after you complete your Uber driver application process.

Rent a Car for Uber Drivers with Hyrecar

HyreCar Summary

  • Earn up to $1200 per month from your car
  • Flexible rental periods that are up to you
  • List your car for rent within 10 minutes
  • $125 bonus for an electric vehicle

If you don’t own a car, Uber allows you to use a rental car. Hyrecar is one of the best car rental companies focusing on renting its vehicles to support beginner rideshare drivers like you.

Uber Costs to Consider


Regardless of where you drive and how much you earn, Uber will charge you a 25% commission on all fares.

Uber Payout Terms and Options?


When and how you get paid depends on how the passenger pays. If the passenger pays in cash, you’ll get paid immediately. But most passengers pay through the Uber app. And Uber pays you weekly through direct deposit.

However, if you want to get your funds faster, you can use the Uber Instant Pay feature. This feature lets you withdraw your earnings up to 5 times a day.

Uber Instant Pay feature comes with a $0.50 fee per transaction if you’re withdrawing cash to your personal debit card. Instant payment is free if you request a withdrawal on your Uber Visa debit card.

Uber Reviews: Is Uber Legit?


Uber driver app reviews score 4.6 out of 5-star rating on App Store and 3.8 on Google Play

Most Uber drivers are happy with the app because it gives them the flexibility to work on their own terms.

However, drivers who have given the Uber app a low rating report problems like GPS issues and inconsistent earning potential.

But undoubtedly, Uber is a legitimate app providing a safe and legit way of making money.

What are the Uber Pros & Cons?


Uber Pros

  • Flexible working schedule.
  • Quick payments. Uber provides weekly by default or up to 5 times per day with Instant Pay feature.
  • Meeting new people.
  • No prior driving experience is required.

Uber Cons 

  • Your earnings can fluctuate based on demand.
  • As you’re an independent contractor, you can’t get corporate benefits or tax deductions.

How Good Is Uber Support and Knowledge Base?


Uber has a frequently asked questions page that covers most topics including driving and delivering, issues, refunds, payment options among others. You can also follow them at @Uber_Support. Plus, you can contact them via 0800-724-786.

Uber Review Verdict: Is Uber Worth it?


Uber is a great way to join the gig economy and make money as an independent contractor.

With over 93 million customers all around the world, Uber is one of the biggest ridesharing companies. This means that the company is legitimate and has a huge passenger base for you to serve.

Overall, driving with Uber is pretty much worth it. However, if you’re looking for a consistent monthly salary with corporate benefits, gig economy jobs might not be the right fit for you.

How to Start Earning with Uber?


Step 1: Sign Up

The very first step to joining Uber is to sign up as an Uber driver. You’ll need to provide basic information about yourself and your car in an online application.

Step 2: Share Required Documents & Get Screened

Once you’ve submitted your online application, you should share the required documents. 

Here’s the list of required documents you’ll need to provide:

  • A valid US driver’s license.
  • Proof of residency.
  • Proof of vehicle insurance.
  • Your profile photo for the app.

Uber recruiters will also review your driving and criminal records.

Step 3: Get the App & Go

After you’ve been approved as an Uber driver, you can log into the app and activate the driver mode to start making money.

6 Tips to Increase Uber Earnings


1. Deliver Food with Uber Eats

As an Uber driver-partner, you can also sign up for its food delivery service – Uber Eats – and earn more money. 

With Uber Eats, you’ll be required to accept food delivery gigs, pick up orders from restaurants, and deliver them to your customers within an hour. 

You can deliver Uber Eats orders by:

2. Don’t Drive Around Endlessly

Some drivers drive around in circles trying to find customers. However, that’s not the smartest decision as you’re just adding more wear and tear to your vehicle. In the meanwhile, you can even drive away from potential passengers.

Instead, it’s better to stick to a central area and avoid suburbs if possible.

You can also use Gridwise – a gig driving assistant app for rideshare and delivery drivers. Gridwise provides useful tools that help you track high demand in your area. The app also gives you tips and strategy guides to maximize your earnings.

Gridwise Summary

  • Get discounts of up to 40% at auto shops
  • Save up to 44% on vehicle servicing costs
  • Get income protection when you can’t work
  • Get up to 25 cents off per gallon of gas

3. Use the Uber Passenger App

By downloading the Uber passenger app, you can discover where other drivers are. This helps you select areas with minimal competition. Plus, a passenger app can provide information on surge fares.

4. Provide Excellent Service to Get Tips

Tips can exponentially increase your Uber earnings. Simply try to be polite with your customers and provide excellent service to earn tips.

What’s good, you get to keep 100% of customer tips.

You can even install a tip jar or a tip sign in your car to nudge your customers to reward you for excellent service.

5. Wrap Your Car in Advertisements

Wrapify Summary

  • Get up to $452 per month of passive income
  • Ad campaigns last between 1 to 6 months
  • $0.20 payment for every mile you travel
  • 4 wrapping options to choose from

Wrapify is an advertising service allowing you to earn money by simply having your car wrapped up in advertising banners.

The more you drive in central locations with the Wrapify app activated on your phone, the more you’ll earn.

Your Wrapify earnings vary by campaign and depend on the distance you’ve driven. In general, Wrapify states that you can earn anywhere between $150 to $450 per month. While it’s not a set amount, you can earn an average of $0.20 per mile. 

Note that some cities may not allow you to apply advertisements on your vehicle.

6. Save on Gas & Shopping With Cashback Apps

While this tip doesn’t directly increase your Uber earnings, it helps you save your earnings.

Some cashback apps like Ibotta and Rakuten offer cashback deals at gas stations and grocery stores.

Sites Like Uber


Whether you want to supplement your Uber earnings or think that Uber isn’t right for you, check out other apps like Uber below.

Platform  Potential Earnings
Uber $15 – $30+ per hour (varies by state)
Lyft $20 – $28 per hour
Instacart Up to $20 per hour
Via $15 – $20 per hour
Doordash $15 to $25 per hour
GoPuff Up to $20 per hour

Uber vs. Doordash


DoorDash Summary

  • Choose your own flexible working hours
  • Earn $25 per hour during peaks
  • Get $150 when you refer a friend to join
  • You get to keep 100% of all tips

DoorDash is a food delivery service that’s slightly different from Uber. While the sign-up process for DoorDash and Uber is relatively similar, the working environment for both companies differs from each other a little. 

For instance, Doordash allows you to schedule your working hours up to a week in advance using the app while Uber allows you to enjoy a flexible work structure by opening the app and taking orders. Other than that, both apps serve a similar function very well.

Uber vs. GoPuff


GoPuff Summary

  • Potential to earn up to $21 per hour
  • Additional ways to earn extra cash
  • Good side hustle even with a full-time job
  • Work as much or as little as you want

GoPuff is an online food delivery service that allows you to deliver food and make money. Similar to DoorDash, GoPuff is best for those who want to make money delivering food. 

Like Uber, GoPuff allows you to set your schedule and work around it. GoPuff potential earnings are also equal to Up to $20 per hour compared to Uber’s between $16.20 – $30.35. Overall both platforms allow you to make extra cash delivering food.

Uber vs. Lyft


Lyft Summary

  • Your working hours are up to you
  • Instant payment with the Lyft debit card
  • 3 different ways to earn more money
  • 3rd party liability insurance offered

Like Uber, Lyft is one of the largest ridesharing apps recruiting drivers to work as independent contractors. It allows you to get gigs and earn money by transporting people from one place to another on-demand.

While Uber and Lyft offer similar conditions to drivers, many drivers report that Lyft pays slightly more for each ride. Compared to Uber, Lyft drivers make about $2 more per hour. However, Uber increases fare prices 7 times more during peak hours, and Lyft only increases it by at least 2 times.

Uber vs. Instacart


Instacart Summary

  • 2 different types of work available
  • Earn up to $10 per full-service order
  • Get $10 for each friend you refer
  • Work as much or as little as you want

Instacart is a grocery delivery app that lets you earn money driving. As an Instacart member, you’ll be working as a personal shopper. Your main duty is to shop on behalf of your customers and deliver their orders to their doorsteps.

Similar to Uber, Instacart also offers a flexible schedule. This enables you to supplement other sources of income you might have. You can also shop with Instacart when there are no available ridesharing requests on Uber.

Uber vs. Via


Via is another great alternative to Uber. Like Uber, Via is a ridesharing app allowing you to help people get from point A to point B and get paid for it. Both companies pay you base fare plus amounts for time and distance. In addition, both Uber and Via let you keep 100% of customer tips. The main difference between the two ridesharing services is that Uber offers Surge Pricing during peak times and extra money for long-distance pickups. However, this isn’t the case with Via.

Other Sites Like Uber


Uber FAQ


What is Uber?

Uber is one of the most popular American ridesharing app widely used around the world. Its services include ridesharing, food delivery, package delivery, freight transportation, and electric bicycle, and motorized scooter rental through its partner – Lime.

Dara Khosrowshahi is a Chief Executive Officer of Uber. Dara is committed to making Uber a fully electric, zero-emission platform by 2040, with 100% of rides being performed with zero-emission vehicles. As Uber is one of the largest mobility platforms in the world, Dara believes that it’s their responsibility to tackle the climate change challenge.

Uber was founded in March 2009 in San Francisco, CA. Today, the app boasts 3.5 million drivers serving 93 million customers worldwide. In 2020 alone, Uber processed $26.61 billion in gross bookings.

What do I need to do to become an Uber driver?

You must pass a criminal and background check before becoming an Uber driver.

How are Uber Tariffs calculated?

Uber trip fare is calculated as a sum of base fare, fare per km, and per minute of the ride. By inputting the pick-up location and your destination in the app, you can see the approximate fare for the trip at the bottom of the screen.

Can I order the bus from anywhere in my city?

There are specific lines that Uber follow, and therefore your pickup and drop-off points need to be near those areas

Why does Uber require that I verify my identity?

At Uber, safety is a top priority. So, it requires that users of certain products submit documents or other information confirming their identity. The company then verifies that those match the identity reported by those users. 

Uber’s promotional driving programs can boost your earnings, enabling you to earn above the standard fare. Surge and Boost pricing automatically gets activated during high-demand periods like rush hour.



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