One of my favorite things to talk about is making more money. Call it a second job, side hustle, extra income. It doesn’t matter. It’s not important what you call it, but it is important that you get off the couch and do it. If you ever want financial freedom, it’s time to start looking for ways to multiply your income and then ramp up your savings account.
You might think it’s hard to find extra income with so many people unemployed around the country, but that couldn’t be further from the truth. All over the place there are opportunities to increase our income, it’s just a matter of taking the time to find them and make it happen.
One of the newest and most popular ways to make some money in your spare time is through one of a couple ride sharing services. It’s basically freelance taxi driving and the two largest players in the business are Uber and Lyft. So, in this post were going to explore whether driving for Uber or Lyft is a good second job to start making more money.
How To Start Driving For Lyft Or Uber
Uber’s website claims the process of signing up to become a driver is as simple as completing three steps.
- Sign up and provide the necessary documents to drive.
- Wait to be approved. Uber will send you a phone once your application has been approved.
- Once you are approved and receive your Uber phone, you can start using the mobile app to set your own schedule and start earning money.
Lyft appears to have a few more guidelines when it comes to signing up to be a driver. Here are the requirements to join listed on Lyft’s website.
- Must be 21 years of age to drive for Lyft.
- Must own a 2000 or newer vehicle with four doors and five seat belts.
- Driver must have one year of licensed driving experience.
- Lyft user must have auto insurance in his or her name in the state in question.
- Driver must have In-state license and plates.
How Much Money Do Lyft, Uber Drivers Make?
One of the first questions asked by potential drivers is, how much money can I make with Uber or Lyft? Instead of giving you an estimate, I’ll explain how the ride sharing services pay their drivers.
How do Uber and Lyft pay their drivers?
One of the most important selling points for ride sharing companies is the flexibility it’s business model offers drivers. Instead of being given a schedule, Uber and Lyft drivers are able to choose their own hours and which fares they want to take.
Because there is no set schedule and every fare costs a different price, it’s hard to accurately say what a driver can make with these on demand taxi services. Some estimates put the annual salary of a Lyft driver in San Francisco at a hefty $75,000.
Just like driving an old fashioned taxi, Uber and Lyft workers are paid a percentage of each fare they decide to take. Both companies have their own compensation setups that are constantly changing, so I would encourage you to check out both services websites to get a better idea of how much they pay.
How Does The Job Work?
Driving a taxi for Lyft and Uber is surprisingly easy thanks in part to a mostly mobile interface that keeps drivers and riders connected at all times.
If you’re working part time as a driver, you can turn on the mobile app when you have time to take fares and turn it off when you don’t. Flexibility is a clear advantage to this side hustle and makes it especially enticing for those of us just looking to make a little extra money.
Lyft operates on a unique rating system for both riders and drivers. In order to stay active with Lyft, drivers are expected to maintain a high rating in the system. Customers are asked to rate the driver through their mobile device once the ride is over.
Which Is Better Uber Or Lyft?
Uber and Lyft have been engaged in a marketing war since the two companies started competing. Both taxi services offer similar services from a consumers standpoint, but which is better to work for?
In order to find a winner in the Uber vs Lyft war, I scoured the internet for reviews on the two companies as an employer. Although the results were mixed, I came away with the impression that Uber offers more to its drivers especially in terms of communication.
One of the things stated as a major advantage of Uber was it’s easy to use and robust mobile technology that allows drivers to login immediately after a fare and see how much money they made.
If you don’t like making choices based on reviews, you have the option of driving for both Lyft and Uber at the same time.
Would Part Time Driving Work For Me With Uber, Lyft?
Unfortunately I don’t live in a city that offers services from Lyft Or Uber, so I haven’t been able to try this as a source of income. I do however think that it could be a good way for certain types of people to make some money in their spare time without committing to another full time job.
Being able to set your own schedule means that you could probably fit time in to do a handful of rides each week and bank a little extra coin. It’s pretty clear that full time drivers walk away with most of the profit, but there is some money to be made even as a side income.
I think driving for Lyft Or Uber would be best suited for college students or other young people, but it could also offer a good side income for retirees looking to make ends meet. I know several retirees that drive cab for the company in my town and I think Lyft and Uber will open up even more possibilities for them.
All things considered, I would give ride sharing my vote of approval as a side income. The ease of use and flexibility in terms of scheduling make working for Uber or Lyft an attractive option to make some money on the side.
If you think Uber or Lyft would be a good side hustle, go ahead and share this post with your friends and then leave me a comment telling me why you like the idea!