Why Uber Is A Scam - Math Explains

Описание

Ok so I was looking at this graph put on Uber’s website today and thought it looked too good to be true. How amazing that Uber drivers make more than any other type of driver.
But I knew from my own experience as a rider that Uber didn’t cost that much. In fact, Uber is pretty cheap if you’re a passenger.
Sooooo…. how can uber be so cheap, and yet the drivers make so much money???

Now Uber has cut pay to drivers in Detroit to 24cents a mile , but we’re going to stick to the 90c for now.

Uber takes 20% of the total fare from the driver for older drivers. Newer drivers get 25% taken.

So we’re down to 67.5c per mile.

Then you have to deduct tax:
In some LA County's, sales tax is as high as 10%, and Uber doesn’t withold taxes for you. The drives are responsible for keeping this money aside to pay the tax department in April.

So with the 10% deducted, we’re down to (just over 60 cents) 60.75c

Now we need to factor in depreciation of the car. A car is an asset like anything else, and will eventually wear out and you’ll have to buy a new one. Every mile you drive decreases the value of your car and brings you that much closer to needing a new one. This is a big problem if you drive for a living, you’re going to need to buy a new car every two or three years and the cost of a new car is significant.

The IRS estimates vehicle cost to drive a vehicle for work at $0.54 a mile .
Broken down into
Fuel costs @ an average of 12c per mile
Depreciation at $0.24c per mile.
Repairs, tyres, & maintainence at 9c per mile
Insurance, licence, registration, finance, fees - average out to around 9c per mile

So with 54c depreciation, repairs, and fuel accounted for, we’re down to just over 6c per mile that actually goes into your hands of drivers.

Given that Uber also asks its drivers to buy things like bottles of water, gum, and chargers for it’s passengers, we can say for certain that driving for Uber pays well below minimum wage or even worse, costing drivers money (as is seen directly in this actual fare uber charged one of it’s drivers).

So given the math is so bad, why does anyone drive for Uber?
Here’s an example of a post an Uber driver posted - he was $400 behind on the rent, and needed to make up some quick cash. In a way, uber is kind of like a loans scheme.

Now for some people in desperate circumstances, what Uber’s offering might be an acceptable deal. But for most people, driving for Uber is a waste of time. I wish Uber would be more honest with people. By our calculations, the amount you’re making as an uber driver is nowhere near $19 per hour. If you drive 30 miles per hour at 6.75c per hour, you’re only making $2.00 per mile - by far the worst choice of any transportation job.

This number is supported by Not Cool Uber, who have tracked hourly earnings to be around $2.89 and, after vehicle fees are taken into account, $0.

Now – I’m not against car pooling. We all need transport, and I know I am a frequent user of Uber & Lyft. But I think that Uber is going about it in an unethical way, which makes me unethical for supporting them as a customer.

Uber could easily fix this situation : by reducing their commission, by making rates more reasonable, by giving riders the option to Tip their drivers, or just by being transparent. But that would mean admitting that they’ve generated significant revenue from effectively exploiting their drivers. So the truth is, Uber benefits from maintaining this status quo. Uber is currently reported to be making $10 billion in revenue per year - and that money has to come from someone.

Just don’t let that someone be you.

SOURCES
http://www.bloomberg.com/news/articles/2015-12-03/uber-raises-funding-at-62-5-valuation
http://observer.com/2016/01/uber-drivers-plan-boycott-after-fare-cuts-slash-their-earnings-to-below-minimum-wage/

This video is presented by Jayde Lovell, produced and edited by Yohana Yoshe and Janina Soriano.

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CORRECTION: you can write off your mileage or expences (not both) This video is about some of the current things I have going on today. My websites http://www.IAmAnthonyD.Com Sign up to drive for Uber http://www.IAmAnthonyD.com/New2Uber Lyft Code: ANDA55 Uber Code: 1TRPQ Check out my permit to carry course. http://www.IAmAnthonyD.com/MNGuncarry See the latest videos & photography I have been a part of. http://www.IAmAnthonyD.Com/Videos http://www.IAmAnthonyD.Com/Photography Here are the products that Anthony D approves of. http://www.IAmAnthonyD.Com/Products Don't forget to SUBSCRIBE for the latest videos on Uber. Here are a few things I have found useful after doing over 1000 rides. G1W Dash Cam (BEST DASHCAM Under $50) http://www.amazon.com/gp/product/B00RTFT82U/ref=as_li_tl?ie=UTF8&camp=1789&creative=9325&creativeASIN=B00RTFT82U&linkCode=as2&tag=new205-20&linkId=2LKMDU2GEO6PB6WS Infini Apps AirMount http://www.amazon.com/gp/product/B018YEK9X6/ref=as_li_tl?ie=UTF8&camp=1789&creative=9325&creativeASIN=B018YEK9X6&linkCode=as2&tag=ia0de-20&linkId=WWRZVHIOD6GEMGFE Infini Apps DuoMount http://www.amazon.com/gp/product/B017HWSDD4/ref=as_li_tl?ie=UTF8&camp=1789&creative=9325&creativeASIN=B017HWSDD4&linkCode=as2&tag=ia0de-20&linkId=VYZV3NDY6JYX4N5T Infini Apps DouBBleTime (Android) http://www.amazon.com/gp/product/B019O87S2Q/ref=as_li_tl?ie=UTF8&camp=1789&creative=9325&creativeASIN=B019O87S2Q&linkCode=as2&tag=ia0de-20&linkId=BB3TVV4C4WRBOGQL ***NEW WEBSITE*** www.New2Uber.com

3 лет назад
China Is Not As Powerful As You Think

China Is Not As Powerful As You Think

Is China #1? Of course not...says Chinese state-run media. In a twist, the Chinese Communist Party is now attempting to hide its power level from an increasingly fearful world. Do you have questions for Chris? Join us on Patreon for an opportunity to have Chris personally answer your most pressing questions in one of our videos and to get other exclusive rewards. https://www.patreon.com/ChinaUncensored Check out our latest spin-off, the China Unscripted podcast! China Unscripted Website: http://www.chinaunscripted.com YouTube: https://www.youtube.com/ChinaUnscripted Spotify: https://open.spotify.com/show/57sUZynslmmkV4qMQ6FvqA iTunes: https://itunes.apple.com/us/podcast/china-unscripted/id1410850500 Stitcher: http://www.stitcher.com/s?fid=210698 Subscribe for more episodes! https://www.youtube.com/ChinaUncensored Make sure to share with your friends! ______________________________

3 месяцев назад
Driving For Uber, Sleeping In Her Car (HBO )

Driving For Uber, Sleeping In Her Car (HBO )

On Wednesday at 2:30 AM, Uber driver Terri White left her home in Stockton, California, and drove 83 miles to San Francisco for work. She wouldn’t be home until Friday afternoon. White naps in her car between rush hours and heats up her lunch at a local gas station. She says one in five Uber drivers she meets sleeps in their car. “I love people, I love being able to breathe the air, I’m not confined to a desk, and I can do what I want,” White told VICE News correspondent Nellie Bowles. “I don’t have to wait for someone to relieve me for a break or a lunch, I just do it.” Uber’s biggest competitor, Lyft, locks drivers out of the platform after they’ve worked 14 hours in a day. Uber does not. Watch what its like to be an Uber driver in a city you can't afford to live in. Read: "Uber is trying to convince Europe's highest court that it's not a taxi service" - http://bit.ly/2hA9ORR Read: "Uber drivers discriminate against black users, new study says" - http://bit.ly/2h2o2dn Subscribe to VICE News here: http://bit.ly/Subscribe-to-VICE-News Check out VICE News for more: http://vicenews.com Follow VICE News here: Facebook: https://www.facebook.com/vicenews Twitter: https://twitter.com/vicenews Tumblr: http://vicenews.tumblr.com/ Instagram: http://instagram.com/vicenews More videos from the VICE network: https://www.fb.com/vicevideo

2 лет назад
10 Things Uber Drivers Should NOT Do

10 Things Uber Drivers Should NOT Do

In this video, I go over the main things that you should not do if you are an Uber/Lyft Driver. If you avoid doing these things, you will increase your rating and earn more tips. Check out my IMDB Page: https://www.imdb.com/name/nm8126223/ ----------------------------------------------------------------------- Sign up for Uber & Get a Bonus: https://get.uber.com/drive-vs/?exp=vs-t&invite_code=2osa6 Sign up for Lyft & Get a Bonus: https://lyft.com/drivers/kon55 Join Robinhood and get a free share of stock: http://share.robinhood.com/konstap12 ------------------------------------------------------------------- Subscribe for more tips on driving for RideShare companies and making more money!

1 лет назад
Uber fires drivers who only work during surge pricing

Uber fires drivers who only work during surge pricing

Ride-share services Uber fires more than 100 local drivers accusing them of fraudulent activity.

1 лет назад
The Real Reason I Left YouTube For Vimeo On Demand

The Real Reason I Left YouTube For Vimeo On Demand

**WARNING - SOME VIEWERS MAY FIND THE TOPIC DISCUSSED AND THE FOOTAGE SHOWN IN THIS VIDEO, UPSETTING. SORRY** The subject of why I left YouTube for Vimeo On Demand has raged continuously for the past 7 months, since I left - and in actuality, shows no sign of losing momentum. In fact the discussion and comments have now spilled over onto other narrowboat YouTube channels. Here then is the main reason (among several others) as to why I left YouTube and moved my Narrowboat Travel videos over to Pay Per View. P.S. I never actually 'left' YouTube. Only my canal journey videos went over to Vimeo. The link to Robbie Cummings excellent boat tour video of Aslan, is here on YouTube https://www.youtube.com/watch?v=kN6wfe3WGMg ------------------------ You can make a one-off contribution towards the production of more videos through my PayPal.Me page https://www.paypal.me/kevinshelley Or you can make a regular contribution through my Patreon page https://www.patreon.com/countryhousegent The home of Travels by Narrowboat is here https://vimeo.com/ondemand/travelsbynarrowboat

1 дней назад
Woman charged $92 for 2.7-mile Uber ride

Woman charged $92 for 2.7-mile Uber ride

"I thought this was a mistake. There is no way they could charge me $90 for a 2-mile ride."

4 лет назад
Why colleges tolerate fraternities

Why colleges tolerate fraternities

Frats are... fratty. Why do colleges keep them around? Follow Overrated on Facebook Watch: https://www.facebook.com/OverratedTheShow/ In this episode of Overrated, Vox’s Phil Edwards explores the history of frats. The history of fraternities has a lot of ups and downs — and stretches all the way back to America’s founding fathers. Beyond the hazing and beer chugging, there’s a story that includes changes in higher education and even national politics. So why do colleges keep fraternities on campus? The reason is a web of incentives that make fraternities allies to administrators — despite the negatives they sometimes present. Overrated is a series that takes a look at the things we all know — the books, the trends, and the ideas that have become iconic — and answers the question: “Why is this so famous"? Watch the previous episode of Overrated: https://www.youtube.com/watch?v=-eO92ABfq2I Watch Season 1 of Overrated here: https://www.youtube.com/watch?v=YSVlSmZWzm0&list=PLJ8cMiYb3G5elLvDjph8cAd91weWxBfyN Vox.com is a news website that helps you cut through the noise and understand what's really driving the events in the headlines. Check out http://www.vox.com. Subscribe to our channel! http://goo.gl/0bsAjO Watch our full video catalog: http://goo.gl/IZONyE Follow Vox on Facebook: http://goo.gl/U2g06o Or Twitter: http://goo.gl/XFrZ5H

2 месяцев назад
UberPOOL Problem

UberPOOL Problem

This video is about UberPOOL, the problem drivers face when customers don't realize their app defaulted to "POOL" and the tension that follows.

2 лет назад
Taxes for Uber & Lyft - How Much I Paid for 2016

Taxes for Uber & Lyft - How Much I Paid for 2016

In this video, I talk about how much Taxes I had to pay from doing Uber & Lyft for 2016. I also go over some of the things that you can write off. ----------------------------------------------------------------------- Sign up for Uber & get a Bonus: https://get.uber.com/drive-vs/?exp=vs-t&invite_code=2osa6 Sign up for Lyft & get a Bonus: https://lyft.com/drivers/konstantin13 Download RobinHood and get a free Stock: http://share.robinhood.com/konstap12 ------------------------------------------------------------------- Driver referral code for Uber: 2osa6 Driver referral code for Lyft: Kon55 ------------------------------------------------------------------ Subscribe for more tips on driving for RideShare companies and making more money!

2 лет назад
$10,000 A Month Uber Driver Income (2018)

$10,000 A Month Uber Driver Income (2018)

This video is a detailed session on how to make up tp $10,000 a month as an Uber driver. The only way to do this is to run an Uber business. How To Make An Uber Website | http://thesimpledriver.com/uberwebsite/ Uber Money Tips - http://bit.ly/ubermoneytips $10,000 PDF Download http://thesimpledriver.com/10k For those interested - My Uber Success Audio Course http://thesimpledriver.com/uber-success-course/ Uber referrals are only one of the 7 ways to make money as a rideshare driver. Affiliate income and business to consumer are two major ways. The methods in this video work from coast to coast. I’m in Atlanta, but you can be in California or anywhere else in the United States. Wherever Uber is operating for your side hustle you can use these tips. This is a serious video with no comedy or foolishness ready for WorldStar. It’s a teaching vid and not a blog styled piece of content. If you ever wanted to learn how passive income works as an Uber driver this is the video to watch. I’m sure your Uber money will increase. May not break a world record, but surely will impress local bankers. Uber Website Tutorial http://thesimpledriver.com/uberwebsite

1 лет назад
10 Things I Wish I Knew BEFORE Driving for Uber & Lyft

10 Things I Wish I Knew BEFORE Driving for Uber & Lyft

I've done hundreds of rides for Uber and Lyft, and there's a lot of things that I wish I knew BEFORE driving for them. In this video I explain the top 10 things that you should know before driving for a ridesharing app Sign up with Uber here: https://get.uber.com/drive?invite_code=he2ae Sign up with Lyft here: https://www.lyft.com/drivers/MARC393309 Check out my music here: https://open.spotify.com/artist/2JPY2P7Q4hYZhuSkPmvWqi Part 2 (10 other things I wish I knew BEFORE driving): https://www.youtube.com/watch?v=ac7Kx8xsUvM More Uber & Lyft Technique Videos: https://www.youtube.com/playlist?list=PLC6_h3BCPalXHZS0sOMBXQzdGpJPkHeHA - - - Marc Freccero is a DJ, Electronic Music Producer and YouTuber. Listen To My Music Here: Spotify: http://smarturl.it/FrecceroSpotify iTunes: http://smarturl.it/FrecceroiTunes Amazon: http://smarturl.it/FrecceroAmazon Soundcloud: http://smarturl.it/FrecceroSoundcloud Follow Me Online Here: Facebook: http://www.facebook.com/MarcFreccero Twitter: http://www.twitter.com/MarcFreccero Instagram: http://www.instagram.com/MarcFreccero YouTube: http://www.youtube.com/MarcFreccero - - -

2 лет назад