Professional delivery driver here ✋: $800 a week is pretty good. For delivery apps, the car cutoff is actually 1997. She should buy an ‘05-06 Honda or Toyota which she can get for about $3-4K. Take it to the shop to get checked out and make sure it’s in good working order. She needs to download an app called ‘Stride’ which will track her mileage. Then she needs a professional to do her taxes to ensure she can write-off the cost of the vehicle, repairs, and maintenance. The car will pay for itself in less than 2 months.
I do Doordash and UberEats. Been doing it since that $600 extra unemployment ran out. I've never had a job pay this well before. Enterprise rent-a-car offers discounts for us, and the cost of the rental is tax deductible.
@@gusmueller4413 I’ve used Uber at home snd in other countries. After dealing with rude taxi drivers that are also selective when stopping for people I have no problem using or tipping the Uber type services.
@@gusmueller4413 800 bucks a week is definitely not minimum wage and should be lower-middle class depending on the standard of living in your area. That's around $23 an hour and she says that's a minimum depending on the week. She doesn't get benefits though with a rideshare though which is shameful.
I am in the same boat I lost my job 2 months ago my unemployment runs out next month thankfull i had some unemployment benefit left over from when i was fourghloughed or however you spell it. back in march . I will start delivering food for door dash so i dont have to touch my savings and im going to try to find a real career track so i can get on a real path I am 29 and fell a little lost
What people fail to understand is the cost to operate a car per mile. It is very expensive. If you factor in the cost per mile, you might make minimum wage. Or less. Ask any fleet manager ,they know per mile cost. You'll be surprised.
this is really a perfect example of where Dave's advice simply doesn't work at all and he refuses to admit it. This woman needs like a 6 year old toyota with low miles that she can put 40K miles a year on and have no issues. This kind of car will cost 13-15K and she should just finance it and be done with it. Trying to buy a 2 3K car cash when you're driving 50K miles a year is absolutely asinine. I suspect the caller has absolutely horrible credit though so that's going to be a different can of worms. If she has decent credit, she should finance a 12-14K car and keep it for 7-8 years. Trying to buy a different junker every year is absolutely horrible advice
Even if she makes "about 8+ a week" in this super saturated gig economy, that's still before taxes, gas and other expenses. Ride share is not worth it at all.
It's scary to think if a major repair comes up on the car, which happens a lot more often driving all day every day. That instantly puts the person out of a job + a bunch of car repair expenses or need to buy another car.
I thought these jobs were for people who already have a decent car and do this part time in addition to full time job. At least that’s the way it seems to be where I live and works well.
Guys, the rental company and ride-share companies have teamed up and are fully aware and fully allowing her to drive rideshare with their special 'rentals'. It's fully insured and everyone know's what's going on.
I agree it's sad, but that's true for many folks her age and older. For all we know, she could have been working at the same job for 20 years then was suddenly laid off and she had no other skills. People have to make do with the situation they're in. It's not like today where kids can get easy financing if they want to go to school. Back in those days, if you didn't have money you were out of luck.
@@mclauren86 Oh heck no. Easy financing back then. She could have gotten a grant or 3% -7% loan and/or a grant easily. I should know this because I’m her age and was declined from getting a grant because I made too much hanging drywall during and after high school so I was basically penalized for making $6/hr. back home....but I wasn’t home and 1200 miles away making around $2.15/hr. which was fine with me. I was surrounded by students with grants spending it on mostly everything else but school like my roommates. And I’m being real here.... listen to the way she speaks. The less money the more grant money you got....even multiple grants. I’m 99% sure she had no desire to go to school and never planned for anything further than the tip of her nose. She had no skills because she made the choice to not acquire them. Yup anyone could get a student loan easily. The only difference is we didn’t have the weird school fantasies and dug a financial hole like most today signing student loan papers blindfolded. And I was living in my van more than half the time and didn’t settle for being “out of luck”.
@@blackworldtraveler3711 I'm happy to hear that everything worked out for you. However, we don't have enough information about this woman to make such harsh judgements. That said-- no... it's much easier today to get money for school than it was back then. Many people couldn't go to school (or didn't finish) because they couldn't afford it, and didn't necessarily have access to free money or unsecured loans. There are many paths that could have taken her to this point through no fault of her own. However, we all know that psychologically it makes some people feel better to condemn others-- I hope that's not you.
@@mclauren86 Like I said 99% sure. Not about me. I did what had to do and wasn’t afraid of school/work full time including no life for three years. Have no problem at all with people judging me.....keeps me on my toes and to better myself instead of becoming complacent. Heck I’m not being harsh at all and I can pretty much tell the area just by the way she talks. This is important, I’m being honest,and I’m not going to sugar coat this. That “head in the sand” attitude is part of the problem. Everything I posted here I was aware of and saying when broke and living in the Safeway parking lot back then. I was deep into this back then going to school with those grants and student loans and stand by what I say.
Columbus ohio uber eats driver here. I consistently make 1000.00 per week working 35 hours. I drive a 2005 ford freestyle that I paid 2500.00 cash. We can have a 15 yr old car for uberx and 20 yr old car for uber eats. I spend about 100.00 per week in gas. The car has 215k miles on it and runs great. Its a throw away car. When it breaks down I will just get another one. People who say you don't make money doing it must be doing it wrong because I'm making plenty of money and I don't care about wear and tear because I bought the right kind of car for an uber gig.
My heart broke a bit when she said she is 50. When I rented a car in Las Vegas, they had a department specifically for ride share users- it was fascinating how they are adapting to these situations. I always appreciate Dave’s view, I would think this one is a bit different. Getting a personal loan she can pay off in a few months can get her saving money faster over time versus paying the rent for a car.
Rental for Uber is not that bad when you factor in the fact that your own car is not getting depreciated. Also you don't have to pay for any maintenance. And the rental money that you pay is tax deductible.
Already knew the answer before watching.. making less than minimum wage after deducting all expenses is not a very good return on your time. Only makes sense of you can buy an affordable used car with cash.
She had to have done it the right way. Uber or Lyft must know the car, license # and insurance. Passengers can't get into a car they don't know what looks like.
I looked into ride-sharing as a side job only to find out my 11 y.o. vehicle wasn't good enough. PLUS, my vehicle insurance was going to triple. Couldn't justify buying a different vehicle just for that.
No need to complicate this. Banks are offering 2% loans on used vehicles. Go get a cheap 2015-2016 hyundai elantra for under $10k and get a 2% APY loan and quit wasting money on the rental. The car payment for that would be like $180/month which is much better than $700/month for renting
Y’all flubbed this one up. Uber and Lyft have negotiated agreements on the driver’s behalf. If anyone is reading this, the advice I would give is to make sure you get non owners insurance. Don’t go through the rental companies. The rental amount you pay is still an arm and a leg but it’s tax deductible.
Key points were left in this segment. When you rent a car through uber and lyft, you are paying a lot of money because insurance, maintenance, registration etc is all covered in that payment. The problem is your essentially wasting money becauee a toyota camry/corolla will run you $6-$7000 ish. Those cars are worry free, gas efficient and cheap. Plus when you are done with rideshare, you can sell it to recoup losses vs renting which means money down the drain. The only plus from renting vs buying is insurance, you need a commercial insurance which depending on state could be $20 a mo to $400.
Working for a ride share company with someone else's car is the best way to do it. Do not under any circumstances, get your own car. Maintaining your own car would be very costly
Rideshare companies rent vehicles with insurance already included so most likely that is what she is referring to. At my old location we have drivers make 800+ working 80 hours a week but would pay 253 for the car.
Some of the rental car companies started allowing you to rent their cars for rideshare so it is allowed under the contract and it is insured. They just charge more than a regular rental for personal use. Uber and Lyft have different requirements in different markets.
Some of the ride share companies have partnered with rental companies. If you are doing ride share you do need a vehicle that is relatively newer. If you do delivery, I haven't seen too many restrictions on the vehicle. Uber or Lyft may require a certain age of vehicle. Door Dash and Instacart, not so much. She could pay cash for a cheaper car and do delivery instead of ride share and then save up for a better car if she wants to continue to do the ride share.
I did Uber/Lyft for a while in Boston. Cranked out about $1200/week. You have to get used to the idea of depreciation being your friend. I no longer do it, but my well maintained 2014 Prius is still trucking along like new at 250,000 miles.
For anyone watching Uber works with rental companies to allow drivers to rent cars at a discount specifically for ride sharing. You have to use one of their partners like herts to do it, they will not accept a normal rental car.
@Elle D I've seen it where there's a program where if you're a new driver for the program if you do a certain amount of rides it brings down it the rental fee to nothing as well as on average I think they're about $300 a week so that sounds about right might even cost a little bit more but who knows unfortunately that question wasn't asked
i choose not to own a car because the cost benefit.. so im always amased when i see very nice cars being used as ubers... like why buy such a nice car if you have to do uber to pay for it
I bought a 2016 Civic new and immediately used it to Uber until I was able to pay the whole car off with the money I made. I quit Uber almost 3 years ago and I'm still driving that car today. Have I never worked for Uber then I would still be stuck with my old car. That's the thing about working a side job: It gives money you otherwise wouldn't have earned if you never had the opportunity to.
Many of the Uber drivers I met do not use Uber as their main source of income. In fact a lot of them are just retired and bored. So, it's not really that odd that they're rolling up in a nice vehicle.
Idk who she’s driving for but if you drive for Uber it only has to be 2008 or newer. Unless she wants to be in the UberBlack category and then it’s a 5 year old or newer vehicle. She should really try to do instacart, Uber delivery and others like that bc 1) no people on the car 2) you typically travel less and 3) I’ve seen close to or sometimes better profits from delivering VS driving people around. Plus there’s less restrictions on what type of car you have
If you live in California , there is a electric car/ plug in hybrid & hybrid grant from CVAP that assists people with 1500-5000 for a down payment. Can be used car too. There is Nissan leafs for 8k minus 5k. Also your electric company gives grants. I leased a Chevy Bolt 2020 for $150 a month with the 5k they gave me
First time your actually in the dark about money. This caller is renting a car from a well known company with full knowledge of Lyft. This has become very common. she should continue renting because depreciation and cost of ownership of a 5 year old used car is not worth it. Kill the rental car not a personal car. She is driving more than 50,000 miles a year.
If you know what you're doing and are smart about the tools you have available to you you can make good money doing gig economy work full time. I will say though that probably only about 5 to 10% of people doing these apps full-time know how to really utilize them. I typically make around $6,000 a month in Florida. So it can be a viable full-time income but it does depend on the person doing it. Also helps to know how to utilize tax write-offs correctly. Plus if you only dude delivery and not rideshare you can get a much older but still reliable car for 100% work use.
Yeah, people don't really understand how much you can make. And the mileage deduction lowers your taxes. Maintaining your car is also very important. I do Instacart.
I’m not sure what the rules are these days... but back in the day, the car rental company Enterprise patterned up with Uber and had a great promo. You could rent a brand new Corolla, and as long as you did 70 rides in a week, the cost of the rental would be waived and all you paid was the insurance and fees (this was in LA maybe 5-6 years ago). I’m sure there are some ride share companies that allow rental cars, just gotta do the research
She's making $15/hr AFTER the rent payment. If I were her I would buy a nice 2018 model and finance it at 500 or so a month and try to pay it down as soon as possible. She's not a a regular caller looking to splurge. This is a tax deductible business investment.
You do understand that operating a car is very expensive per mile, look at rental car rates. Unless your in a prime location as in good tips you will lose money.
I don't like gig economy work, your basically making minimum wage after you consider all the expenses. If you want to do it part time for extra cash then sure do it, but she is better off getting an office gig and making much more money.
Seems simple to me .... $700 a month rental or $700 car payment for the next 2 years..... plus step in the gas a bit “pun intended” and work that extra 10-15/h a week to recover.
I drive for uber and uber covers all insurance claims when driving are coverded. I made 43 k plus in 2018 now I drive 35 hours a week and take home 600 plus after paying for gas. I have been driving for uber for 5 years and have 11k plus rides.
These rideshare companies work with rental companies and allow you to rent cars with insurance to drive for them. It’s all legit and works but the amount she’s making is very low especially if she’s driving UberBlack (they have the 5 year or newer min on the vehicle) ... if she works the right hours she should be pulling in way more. I drove just deliveries the other day in northern NJ (not a big city) and made like $60 in less than 2 hrs.
$800 x 4 = 3200 $3200 - $700 = $2500 Less fuel costs. Also, try to educate yourself on the side and get a proper job. Ride share is for students, as a side gig. It's not a career plan.
You can find a chevy cruze or any other car that qualifies for rideshare at many smaller dealerships for about 6k finance it for 3 years to make your payments about $230 a month use the rest to pile up cash to either pay off the car early or buy another car that qualifies then sell the car you financed to eliminate the loan after put money aside for repairs in case the car needs them cause if you make a living of your car you have to take care of it and it will make you money not the best plan but a 200$ dollar payment is much easier than 700 for a car you don't even own
What ever happened to telling someone that they need to learn all the ways of getting money back from businesses. Write off the miles, meals, cellphone, and anything else you can dream of. Each mile is accounted for.
Very cool. Good for her, for hustling and making her money but the rental car company will stop her soon or if she gets in an accident, she cant tell them.she was doing ride share before the accident. She needs the own car. Save and grind to buy her own asap.
THOSE ARE TOP LINE NUMBERS... Here's the REAL rideshare numbers. - The rental for either Uber or Lyft is closer to $1,000 per month. - Driving all day takes GAS... $30 per day minimum. That's $700-$800 PER MONTH - Driving all day means MILES that's about 8,000 miles EVERY MONTH - Synthetic Oil Change every 4-5 weeks - Brakes every 5 months - Tires every year - Shocks and Struts every year - Cars can't take 80 - 100k miles every year for long... So... - New car every 18 months... becuase Uber will fail your car on it's annual check when it hits 120k miles. - Ride Share Drivers Don't Make Money... they just think they do because they don't know what the actual cost per mile of their car is. Oh... and if you driver app is on, your personal car insurance will not cover you. You have to have commerical insurance. Uber and Lyft have insurance to cover you if you are in a ride... but the deductible is $1,500. If an uninsured driver hits you - you will be out your car, and $1,500.
He's basing a lot on an assumption that either the rental car company or the ride-sharing company is not ok with this setup. If she does the due diligence and reads up on the rules for both companies as well as on the insurance, I don't see why not continue this process until she has enough money to buy her own 5-year-old car. Basically, I'm separating the car out as a workplace expense until she can get a different car and/or a different job.
Based on just listening to her I really can’t see this woman doing any due diligence at all. And I personally won’t be getting in anyone’s car in the next six months.
You don’t understand how Uber works. Uber drivers sell their car one ride at the time, they keep very few profits after gas and repairs. If she works full time, She should keep renting and work as many hours as possible for 2 months straight and take a few weeks as vacation, to handle personal stuff. Let the lease company pay for repairs and insurance.
Okay. I know that car payments are not a good thing. But in this situation, because she is already used to paying $700 A month for a rental car. Couldn’t she finance a car and still make that $700 a month payments and knock out the loan in a little over a year?
Honestly she could just buy a car in cash I don’t like there rules because majority doesn’t have a 2015 and she will never have money saved since it’s all going to rental
I understand that working for Uber and them is like working for minimum wage. You don't really make a profit, only if you're doing the long distance route.
Dave should start a ride share company that only uses $1500 cars and stops to deliver pizza along the way.
😂
Don't forget they'll also do instacart and deliver your beans and rice 😂
They won’t drive you to a restaurant, unless you’re working there.
No payments with credit cards.
Cold pizza
Professional delivery driver here ✋: $800 a week is pretty good. For delivery apps, the car cutoff is actually 1997. She should buy an ‘05-06 Honda or Toyota which she can get for about $3-4K. Take it to the shop to get checked out and make sure it’s in good working order. She needs to download an app called ‘Stride’ which will track her mileage. Then she needs a professional to do her taxes to ensure she can write-off the cost of the vehicle, repairs, and maintenance. The car will pay for itself in less than 2 months.
Or and electric bike.
careful with this you can only write off mileage or actual cost maintenance of operating the vehicle but cannot write off both
If the car is clean and get me where I need to go I don’t care about the year or type of car.
A 2011 or 2012 Nissan Leaf would probably cost the same, and being a single speed electric vehicle have lower maintenance costs
Also, I thought I would mention that my current car, a 2009 Toyota Camry only cost $4k and is 3 years newer
She sounds like a hard working woman. Wish her the very best.
Seems she has no choice.
I do Doordash and UberEats. Been doing it since that $600 extra unemployment ran out. I've never had a job pay this well before. Enterprise rent-a-car offers discounts for us, and the cost of the rental is tax deductible.
thank you for this!
@Elle D
I thought it was for part time work with your own car and full time job.
Many of you getting in over your head.
This is one of those calls where she doesn't even get to respond and we have to pretend she hung up the phone.
rideshare drivers do better than multilevel marketing, but they still earn less than minimum wage. work at burger king instead!
@@gusmueller4413
I’ve used Uber at home snd in other countries. After dealing with rude taxi drivers that are also selective when stopping for people I have no problem using or tipping the Uber type services.
@@gusmueller4413 she makes $800 a week that’s not minimum wage.
@@gusmueller4413 i make around $1,000 a week lol
@@gusmueller4413 800 bucks a week is definitely not minimum wage and should be lower-middle class depending on the standard of living in your area. That's around $23 an hour and she says that's a minimum depending on the week. She doesn't get benefits though with a rideshare though which is shameful.
I am in the same boat I lost my job 2 months ago my unemployment runs out next month thankfull i had some unemployment benefit left over from when i was fourghloughed or however you spell it. back in march . I will start delivering food for door dash so i dont have to touch my savings and im going to try to find a real career track so i can get on a real path I am 29 and fell a little lost
Sorry, but I don’t think this was the most usable advice for this lady.
What people fail to understand is the cost to operate a car per mile. It is very expensive. If you factor in the cost per mile, you might make minimum wage. Or less. Ask any fleet manager ,they know per mile cost. You'll be surprised.
Not if she's renting a car.
Also, mileage is a tax write off.
@@alittlepieceofearth the whole car if used 100% for business is a deductible expense. But that does not make it free.
That was so entertaining when Dave said "Very interesting..." And the look on his face.
@Hermetic Viator yup
He is thinking about the lies
@@rayhill5767 he is thinking ingenuity when u need money for food.
this is really a perfect example of where Dave's advice simply doesn't work at all and he refuses to admit it. This woman needs like a 6 year old toyota with low miles that she can put 40K miles a year on and have no issues. This kind of car will cost 13-15K and she should just finance it and be done with it. Trying to buy a 2 3K car cash when you're driving 50K miles a year is absolutely asinine. I suspect the caller has absolutely horrible credit though so that's going to be a different can of worms. If she has decent credit, she should finance a 12-14K car and keep it for 7-8 years. Trying to buy a different junker every year is absolutely horrible advice
Just don't be poor! Simple!
Dave loves to assume people can just "pile up some cash real quick".
Even if she makes "about 8+ a week" in this super saturated gig economy, that's still before taxes, gas and other expenses. Ride share is not worth it at all.
@@saulgoodman2018 I did it, it doesn't cover it. 99% of drivers are operating at a loss.
@@zacharybohlman4069 If you're operating at a loss you're doing it wrong. Plenty of people make a livable income from ridesharing.
It's scary to think if a major repair comes up on the car, which happens a lot more often driving all day every day. That instantly puts the person out of a job + a bunch of car repair expenses or need to buy another car.
I thought these jobs were for people who already have a decent car and do this part time in addition to full time job.
At least that’s the way it seems to be where I live and works well.
@@bunnie1294
In rarely head about major repairs anymore.
I have almost 100k with only oil changes, one brake fluid change, and new set of tires.
Guys, the rental company and ride-share companies have teamed up and are fully aware and fully allowing her to drive rideshare with their special 'rentals'. It's fully insured and everyone know's what's going on.
It’s really concerning this lady is 50 and doesn’t have a sustainable career.
All about choices.
I agree it's sad, but that's true for many folks her age and older. For all we know, she could have been working at the same job for 20 years then was suddenly laid off and she had no other skills. People have to make do with the situation they're in. It's not like today where kids can get easy financing if they want to go to school. Back in those days, if you didn't have money you were out of luck.
@@mclauren86
Oh heck no.
Easy financing back then.
She could have gotten a grant or 3% -7% loan and/or a grant easily.
I should know this because I’m her age and was declined from getting a grant because I made too much hanging drywall during and after high school so I was basically penalized for making $6/hr. back home....but I wasn’t home and 1200 miles away making around $2.15/hr. which was fine with me.
I was surrounded by students with grants spending it on mostly everything else but school like my roommates.
And I’m being real here.... listen to the way she speaks.
The less money the more grant money you got....even multiple grants.
I’m 99% sure she had no desire to go to school and never planned for anything further than the tip of her nose.
She had no skills because she made the choice to not acquire them.
Yup anyone could get a student loan easily. The only difference is we didn’t have the weird school fantasies and dug a financial hole like most today signing student loan papers blindfolded.
And I was living in my van more than half the time and didn’t settle for being “out of luck”.
@@blackworldtraveler3711 I'm happy to hear that everything worked out for you. However, we don't have enough information about this woman to make such harsh judgements. That said-- no... it's much easier today to get money for school than it was back then. Many people couldn't go to school (or didn't finish) because they couldn't afford it, and didn't necessarily have access to free money or unsecured loans. There are many paths that could have taken her to this point through no fault of her own. However, we all know that psychologically it makes some people feel better to condemn others-- I hope that's not you.
@@mclauren86
Like I said 99% sure.
Not about me. I did what had to do and wasn’t afraid of school/work full time including no life for three years.
Have no problem at all with people judging me.....keeps me on my toes and to better myself instead of becoming complacent.
Heck I’m not being harsh at all and I can pretty much tell the area just by the way she talks.
This is important, I’m being honest,and I’m not going to sugar coat this.
That “head in the sand” attitude is part of the problem.
Everything I posted here I was aware of and saying when broke and living in the Safeway parking lot back then.
I was deep into this back then going to school with those grants and student loans and stand by what I say.
Columbus ohio uber eats driver here. I consistently make 1000.00 per week working 35 hours. I drive a 2005 ford freestyle that I paid 2500.00 cash. We can have a 15 yr old car for uberx and 20 yr old car for uber eats. I spend about 100.00 per week in gas. The car has 215k miles on it and runs great. Its a throw away car. When it breaks down I will just get another one. People who say you don't make money doing it must be doing it wrong because I'm making plenty of money and I don't care about wear and tear because I bought the right kind of car for an uber gig.
My heart broke a bit when she said she is 50. When I rented a car in Las Vegas, they had a department specifically for ride share users- it was fascinating how they are adapting to these situations.
I always appreciate Dave’s view, I would think this one is a bit different. Getting a personal loan she can pay off in a few months can get her saving money faster over time versus paying the rent for a car.
Saving builds more character
Las Vegas always had services for ride share users since the 80s.
We don't borrow money around here
@@FalaqX *You
Rental for Uber is not that bad when you factor in the fact that your own car is not getting depreciated. Also you don't have to pay for any maintenance. And the rental money that you pay is tax deductible.
Already knew the answer before watching.. making less than minimum wage after deducting all expenses is not a very good return on your time. Only makes sense of you can buy an affordable used car with cash.
She's not making minimum wage. She makes 800 + a week, so minimum of 3200 a month minus 700 for the rental equals 2500. After that it's just gas.
I have a headache after listening to her
She is probably renting through Mavin or another company that partners with Uber and Lyft to provide rideshare drivers with cars to drive in.
ITS NOT WORTH DRIVING EITHER WAY
She’s probably not totally truthful as well.
Omg it’s just another cab company at that point.
Yeah hertz is like 150 a month for Uber partners
@Elle D ouch!
Im a full time uber driver it's better to use your own car. I work 12 hr days $300 a day roughly 7days $2100 a week
Ridesharing is a side gig is not meant to be full time because the take home pay is so low.
She had to have done it the right way. Uber or Lyft must know the car, license # and insurance. Passengers can't get into a car they don't know what looks like.
She obviously doesn't know how dead slow it is going to be right now with all the restrictions.... so no
I looked into ride-sharing as a side job only to find out my 11 y.o. vehicle wasn't good enough. PLUS, my vehicle insurance was going to triple. Couldn't justify buying a different vehicle just for that.
Snake Farm
Rusty Bell
you can deliver food, Uber Eats, Doordash etc, I just started (14 hours worked) and made $307.61, I will try to work about 15 hours a week.
@@SantistaFighter please list your cost to operate your vehicle
@@justinacase2623 so far $20 in gas. I posted a video on my channel this week showing my earnings.
@@SantistaFighter Did you need to increase your insurance? I think my auto doesn’t cover if car is used for business.
No need to complicate this. Banks are offering 2% loans on used vehicles. Go get a cheap 2015-2016 hyundai elantra for under $10k and get a 2% APY loan and quit wasting money on the rental. The car payment for that would be like $180/month which is much better than $700/month for renting
She might not have very good credit.
Y’all flubbed this one up. Uber and Lyft have negotiated agreements on the driver’s behalf. If anyone is reading this, the advice I would give is to make sure you get non owners insurance. Don’t go through the rental companies. The rental amount you pay is still an arm and a leg but it’s tax deductible.
Key points were left in this segment. When you rent a car through uber and lyft, you are paying a lot of money because insurance, maintenance, registration etc is all covered in that payment. The problem is your essentially wasting money becauee a toyota camry/corolla will run you $6-$7000 ish. Those cars are worry free, gas efficient and cheap. Plus when you are done with rideshare, you can sell it to recoup losses vs renting which means money down the drain. The only plus from renting vs buying is insurance, you need a commercial insurance which depending on state could be $20 a mo to $400.
Working for a ride share company with someone else's car is the best way to do it. Do not under any circumstances, get your own car. Maintaining your own car would be very costly
$700 a month you can buy a car cheaper than that.
If she’s renting (like from Hertz), that probably includes the insurance too
YOU GET LOTS OF MILES. ITS NOT WORTH DRIVING IT
Hope they know the use of the car when you rent it! I'm pretty sure you cannot rent a car for taxi service.
@@justinacase2623 depends where she rents it from.
@julian blake true like Dave said holidays are coming up work all you can and buy a decent car in January.
When I drove for Uber and Lyft, the car cutoff was determined by state. In MD it was 10 years but in other states it was 5.
Rideshare companies rent vehicles with insurance already included so most likely that is what she is referring to. At my old location we have drivers make 800+ working 80 hours a week but would pay 253 for the car.
Some of the rental car companies started allowing you to rent their cars for rideshare so it is allowed under the contract and it is insured. They just charge more than a regular rental for personal use.
Uber and Lyft have different requirements in different markets.
Some of the ride share companies have partnered with rental companies. If you are doing ride share you do need a vehicle that is relatively newer. If you do delivery, I haven't seen too many restrictions on the vehicle. Uber or Lyft may require a certain age of vehicle. Door Dash and Instacart, not so much. She could pay cash for a cheaper car and do delivery instead of ride share and then save up for a better car if she wants to continue to do the ride share.
I did Uber/Lyft for a while in Boston. Cranked out about $1200/week. You have to get used to the idea of depreciation being your friend. I no longer do it, but my well maintained 2014 Prius is still trucking along like new at 250,000 miles.
For anyone watching Uber works with rental companies to allow drivers to rent cars at a discount specifically for ride sharing. You have to use one of their partners like herts to do it, they will not accept a normal rental car.
Uber/ lyft allows you to rent through their partners.
They call it Lyft express drive. Insurance is covered through them. She is netting about 600 per week minus gas costs.
You can rent vehicles through uber and lyft and the fee you pay weekly includes the car and insurance
the car may be rented threw the ride share there are programs where this is alowed
@Elle D I've seen it where there's a program where if you're a new driver for the program if you do a certain amount of rides it brings down it the rental fee to nothing as well as on average I think they're about $300 a week so that sounds about right might even cost a little bit more but who knows unfortunately that question wasn't asked
Through
Allowed
You do rideshare I'm guessing?
ITS NOT WORTH DRIVING EITHER WAY
@@coolfool13w they pretty much got rid of those programs
i choose not to own a car because the cost benefit.. so im always amased when i see very nice cars being used as ubers... like why buy such a nice car if you have to do uber to pay for it
They justify it because they get to write it off on their taxes.
Um? Cause extra money never hurt anyone? You don't know how often these nice cars drive, maybe the driver drives once a week on his day off?
I bought a 2016 Civic new and immediately used it to Uber until I was able to pay the whole car off with the money I made. I quit Uber almost 3 years ago and I'm still driving that car today. Have I never worked for Uber then I would still be stuck with my old car. That's the thing about working a side job: It gives money you otherwise wouldn't have earned if you never had the opportunity to.
Because all the rideshare companies require newer cars.
Many of the Uber drivers I met do not use Uber as their main source of income. In fact a lot of them are just retired and bored. So, it's not really that odd that they're rolling up in a nice vehicle.
Idk who she’s driving for but if you drive for Uber it only has to be 2008 or newer. Unless she wants to be in the UberBlack category and then it’s a 5 year old or newer vehicle. She should really try to do instacart, Uber delivery and others like that bc 1) no people on the car 2) you typically travel less and 3) I’ve seen close to or sometimes better profits from delivering VS driving people around. Plus there’s less restrictions on what type of car you have
If you live in California , there is a electric car/ plug in hybrid & hybrid grant from CVAP that assists people with 1500-5000 for a down payment. Can be used car too. There is Nissan leafs for 8k minus 5k. Also your electric company gives grants.
I leased a Chevy Bolt 2020 for $150 a month with the 5k they gave me
First time your actually in the dark about money. This caller is renting a car from a well known company with full knowledge of Lyft. This has become very common. she should continue renting because depreciation and cost of ownership of a 5 year old used car is not worth it. Kill the rental car not a personal car. She is driving more than 50,000 miles a year.
If you know what you're doing and are smart about the tools you have available to you you can make good money doing gig economy work full time. I will say though that probably only about 5 to 10% of people doing these apps full-time know how to really utilize them. I typically make around $6,000 a month in Florida. So it can be a viable full-time income but it does depend on the person doing it. Also helps to know how to utilize tax write-offs correctly. Plus if you only dude delivery and not rideshare you can get a much older but still reliable car for 100% work use.
Yeah, people don't really understand how much you can make. And the mileage deduction lowers your taxes. Maintaining your car is also very important. I do Instacart.
I’m not sure what the rules are these days... but back in the day, the car rental company Enterprise patterned up with Uber and had a great promo. You could rent a brand new Corolla, and as long as you did 70 rides in a week, the cost of the rental would be waived and all you paid was the insurance and fees (this was in LA maybe 5-6 years ago). I’m sure there are some ride share companies that allow rental cars, just gotta do the research
She's making $15/hr AFTER the rent payment. If I were her I would buy a nice 2018 model and finance it at 500 or so a month and try to pay it down as soon as possible. She's not a a regular caller looking to splurge. This is a tax deductible business investment.
You do understand that operating a car is very expensive per mile, look at rental car rates. Unless your in a prime location as in good tips you will lose money.
Thank you for sharing
Very painful
I don't like gig economy work, your basically making minimum wage after you consider all the expenses. If you want to do it part time for extra cash then sure do it, but she is better off getting an office gig and making much more money.
You're completely wrong, In my area, I normally make at least $20+/hr in net, post-tax profit.
@@jacobpatterson9440
To be honest I seriously just don’t see any advantage other than supplemental income.
most office jobs need schooling so she'd have to make the time
USAA and Costco have great car buying programs
Buy a newer car for $10,000. If you have good credit your payment would be $200 a month
Seems simple to me .... $700 a month rental or $700 car payment for the next 2 years..... plus step in the gas a bit “pun intended” and work that extra 10-15/h a week to recover.
Perfect video for my dad who needs a new car for Uber
I drive for uber and uber covers all insurance claims when driving are coverded. I made 43 k plus in 2018 now I drive 35 hours a week and take home 600 plus after paying for gas. I have been driving for uber for 5 years and have 11k plus rides.
These rideshare companies work with rental companies and allow you to rent cars with insurance to drive for them. It’s all legit and works but the amount she’s making is very low especially if she’s driving UberBlack (they have the 5 year or newer min on the vehicle) ... if she works the right hours she should be pulling in way more. I drove just deliveries the other day in northern NJ (not a big city) and made like $60 in less than 2 hrs.
It is a 15-year-old car or less. Not 2015 or newer. She may be renting from the ride-sharing company directly.
$800 x 4 = 3200
$3200 - $700 = $2500
Less fuel costs.
Also, try to educate yourself on the side and get a proper job. Ride share is for students, as a side gig. It's not a career plan.
You can find a chevy cruze or any other car that qualifies for rideshare at many smaller dealerships for about 6k finance it for 3 years to make your payments about $230 a month use the rest to pile up cash to either pay off the car early or buy another car that qualifies then sell the car you financed to eliminate the loan after put money aside for repairs in case the car needs them cause if you make a living of your car you have to take care of it and it will make you money not the best plan but a 200$ dollar payment is much easier than 700 for a car you don't even own
Uber is a horrible job ... did it for 1 year along with security - f that ...
What ever happened to telling someone that they need to learn all the ways of getting money back from businesses. Write off the miles, meals, cellphone, and anything else you can dream of. Each mile is accounted for.
Well it depends for example in New York City the only option would be to rent as they do not allow new plates 👈
Apparently in order to make ridesharing work you really need to get yourself a prius as the gas mileage on them apparently cannot be matched.
Very cool. Good for her, for hustling and making her money but the rental car company will stop her soon or if she gets in an accident, she cant tell them.she was doing ride share before the accident. She needs the own car. Save and grind to buy her own asap.
She could get a car and finance $400/ mon plus insurance, work for car sharing
I benefited from this episode.
I'm sure u did
You’re ready to run out there and buy/rent a new car to work a part time job full time?
I mean... what else are you gonna do? Walk-sharing?
All jokes, your friends at Business Explained!!
THOSE ARE TOP LINE NUMBERS... Here's the REAL rideshare numbers.
- The rental for either Uber or Lyft is closer to $1,000 per month.
- Driving all day takes GAS... $30 per day minimum. That's $700-$800 PER MONTH
- Driving all day means MILES that's about 8,000 miles EVERY MONTH
- Synthetic Oil Change every 4-5 weeks
- Brakes every 5 months
- Tires every year
- Shocks and Struts every year
- Cars can't take 80 - 100k miles every year for long... So...
- New car every 18 months... becuase Uber will fail your car on it's annual check when it hits 120k miles.
- Ride Share Drivers Don't Make Money... they just think they do because they don't know what the actual cost per mile of their car is.
Oh... and if you driver app is on, your personal car insurance will not cover you. You have to have commerical insurance. Uber and Lyft have insurance to cover you if you are in a ride... but the deductible is $1,500. If an uninsured driver hits you - you will be out your car, and $1,500.
Not worth it
This caller was painfull to listen to
lady sounds slow
Lazy hood talk.
He's basing a lot on an assumption that either the rental car company or the ride-sharing company is not ok with this setup. If she does the due diligence and reads up on the rules for both companies as well as on the insurance, I don't see why not continue this process until she has enough money to buy her own 5-year-old car.
Basically, I'm separating the car out as a workplace expense until she can get a different car and/or a different job.
Based on just listening to her I really can’t see this woman doing any due diligence at all.
And I personally won’t be getting in anyone’s car in the next six months.
I am 64 and drive for uber for 5 plus years. i make 30 k plus from social security.
You don’t understand how Uber works. Uber drivers sell their car one ride at the time, they keep very few profits after gas and repairs. If she works full time, She should keep renting and work as many hours as possible for 2 months straight and take a few weeks as vacation, to handle personal stuff. Let the lease company pay for repairs and insurance.
Dave was stumped lol
Uber has a program with car rental companies where their drivers rent vehicles at a special rate.
Hope she's setting aside enough in taxes... the insurance issue is also scary.
I thought about buying a Tesla just for Turo.
I thought about that too, LOL. After I did the math of financing one, I realized it was a bad idea for me.
I love Turo. I've used them to rent cars 4-5 times already because I don't have a credit card. It's been a pretty good experience so far.
yeah, i've thought about buying a Camry for turo as well because they are the most popular rentals on the app
Okay. I know that car payments are not a good thing. But in this situation, because she is already used to paying $700 A month for a rental car. Couldn’t she finance a car and still make that $700 a month payments and knock out the loan in a little over a year?
Buy a 1994 Celica and switch to another ride share service
Is that you Scotty?
@@killersaxsoloyes son
Scotty kilmer
Lalo uses a 67 mustang for Rideshare
I know with Lyft, you can rent one from them, but it is extremely expensive. They take advantage of people.
No they understand the cost of doing business. A car is very expensive to operate. Uber and Lyft are brilliant for the owners, not the workers!
@@justinacase2623 Yes, unfortunately, as are a lot of companies. Making money off of the backs of their workers.
Honestly she could just buy a car in cash I don’t like there rules because majority doesn’t have a 2015 and she will never have money saved since it’s all going to rental
Hope that rental has unlimited miles...
1:40 I did the same mistake dave did 😂 stupid lol
Why is AO refusing to say Uber on Dave’s show like Dave hasn’t said it a thousand times
She could get a Jetta, hyndai or Honda base model in 2015 pretty low.
I understand that working for Uber and them is like working for minimum wage. You don't really make a profit, only if you're doing the long distance route.
Yup, if you crunch the numbers you would never do it
@@saulgoodman2018 you forget the cost of operating the car. The actual hours she works. She is broke.
Hertz, Avis/Budget has ride share cars and rates. The people who rent them to use for ride sharing drive them like they stole it. 😂
Shes in the wrong state most states are 15 years or newer
What ??? You can go work at a fast food restaurant and make more than 800 month this is a work issue not a car issue!!
She said $800 weekly.
Buy a Honda Fit, used
Why wouldn't she like to be uber when she's 65?
She needs to get a real job!! Ride sharing is a side gig, not a main job.
That's crazy 700 a month.. girl buy a cheap car and star doing uber eats
$800/week before or after taxes?!
She doesn’t pay her taxes
You pay little taxes since it’s consider self business and expenses will eat it up
She 's 50 years old.
No choice but to be scrappy.
@@saulgoodman2018
It's really bad in California even in 40s.
What else you gonna buy? A horse and buggy?
$800 before expense or after expense?
Uber is 2007 or newer
She probably rented a car via the ridesharing company
Just get a UBER to work everyday..
To get rich in life, you need to spend less and invest more. You don't expect to spend 90%, invest 10% and sit to make more wealth.
EXACTLY
To all of you from me, dont buy a car to do rideshare.