How Much are Uber Drivers Making After the Price Cuts?

Now that nearly a couple of months has passed since the nationwide rate slashing by Uber, I’m curious how those of you who drove before the rate cuts feel that they have affected you.  Are you making more, less or about the same as before?  Please leave a comment at the bottom of this article and tell us what city you drive in and how the rate cuts have affected you.

I have one anecdotal story to tell you… a friend of mine who drives in New York City and who has been a huge earner, making upwards of $2,000 a week (because he drives about 18 hours a day – literally, six or seven days a week), just called to tell me the depressing news.

plunging uber income

He told me that one morning shortly after the rate cuts he worked from 8:00 a.m. until noon and made a grand total of $40!  Which of course comes to $10 an hour.

He said he just sat and sat and sat and got no calls.  I was so shocked by this (I say sarcastically) because I had just gotten an email from Uber telling us the great news that since they reduced prices in New York they are seeing positive results for drivers.

They said that “partners spent 39% less time waiting for a trip while online” and that they have “already seen a 20% increase in hourly earnings”.  Weird.  Because that’s not what my friend experienced. He spent four hours driving around to all the usual places and there just weren’t any trips.  Which is a bit surprising in light of the fact that Uber did drop rates rather substantially.  You would think they would have gotten a nice bump in business.  But despite what they publicly proclaim to the world, real drivers such as my friend and myself, are not seeing it – at all.

And oddly in the weeks leading up to the rate cuts everyone was pretty busy in New York.  I didn’t understand why they were dropping the rates here because we were keeping pretty consistently busy.  It just didn’t make any sense.  And as of today, almost two months later, I’m still not seeing any noticeable increase in business.

What company drops rates when it doesn’t have to?  There was no competition forcing them to drop rates.  They were already about 40% lower than taxis and their rates were exactly the same as Lyft’s.  I just can’t see what possible benefit can come from it – either to them or to drivers.

59 thoughts on “How Much are Uber Drivers Making After the Price Cuts?”

  1. This is supposed to be a surprise? Everything this company has done over the last 2 years is do what ever it takes to screw over the drivers while telling them it’s all for their good. One day, there’s going to be a general strike, then maybe, maybe the greedy pricks at the top will wake up. But wait, they’re already worth $Billions so it’s highly likely they won’t give a crap, and all they’ll continue to get for drivers are ignorant immigrants making peanuts, IF that much.

    1. This is what’s happening, Uber keeps adding drivers, there are so many now that is hard to get a passenger, I used to work 8 to 10 hrs for $130 – $160 (after Uber 25%) and then minus gas, taxes etc etc. Now I have to work 12 to 14 even 16 hrs a day to sometimes if lucky make $130, some days working 12 hrs I go home with $80 – gas $25 = $55. It is imposible this way. Today I woke up at 4 am and there is so many of us that it is now 1:03, i’ve been driving trying to get rides and I only had 2 calls, this has to stop.

        1. These execs running uber seem to know how to screw their drivers over. I think there’s a lot of smoke and mirrors as to how much they are making. The only reason you lower prices is to be more competitive ( or out of desperation). I don’t believe that anyone makes $ 15.00 an hour driving for them, and even if they are, so what? 15.00 and hour is about 31 thousand a year. Good luck finding decent medical care for that much. I believe it’s a pyramid.

        2. And $15 an hour when you have to bring a $20,000-$30,000 piece of equipment to the job is outrageous. I just had to get $1,400 of work done on my car as a direct result of driving for Uber. And guess what? I had to borrow the money, because Uber doesn’t pay enough to have anything left over for things like car repairs.

      1. To determine how much you are really making, you need to substract the number of miles you have driven times $0.54, including miles to pick up the passenger, then taking the passenger to the destination and miles you are driving to either pick up the next passenger or back home. You would realize that if you make a total of $80 a dau the real gain is probably around $30. You just don’t substract the cost of gas. Your car is depreciating bit time, so you have to account for that. I live in an area where I get calls pretty often and still don’t make enough to compensate for the hard and risky work plus the wear and tear of the car. A minimum wage job would pay more and keep you safe.

    2. I agree 100% ai to tryed driving about a year a go starting in Hoboken NJ and had good Friday and sat nites till the Hopken cops started to remove pcustomers out of the cars and giving out tickets..
      I can rempember when Uben first came arend in new jersey bost about drivers making 35.00 a hour and more down the jersey shore now
      Belive me they liyed and still doing the lie
      Now Uber says a driver can make 19.00 a hour gross thats befor Uber gets ther 20/25% your gas you neeted car washes tolls and god forbid you have a big car payment your net pay is 0
      Uber is the biggest scam Company i ever saw in years
      I cant wait when the fad trend is over and there out of business and riders are back to riding in dirty cabs with drunk cab drivers
      Those chep riders who loved the fact they didnt have to tip a driver or short a driver there hard earn 5 stars because one stupit reason or another
      Belive me if your thinking of becoming a Uber driver Dont
      Get your self a TLC licence and work for a limo company in Mahattan
      Youll make a whole lot more money

      1. I agree with you. Uber and Lyft are ripping off drivers. After working for about 2 months I realized that this is a community service from the Drivers to the Riders and Uber. Drivers are depreciating their vehicles bit time while working really hard to make less than minimum wage while being exposed to the dangers of being exposed to the road continuously. Any minimum wage job pays more.

    3. Uber business is a pyramid, like MLM. Driver has to recruits new drivers to get incentives. Uber doesn’t like 100 drivers drive full time,,, they prefer having 10,000 drivers part time, maybe 100,000 drivers part time.. That’s their system of operation.

  2. The Uber rate slash really was unfortunate. Although Uber has been good to me, I really did not feel they were justified in taking money from us and not providing any real benefit. I notice it hurts my bottom line. However 75% of $100.00 is better than 100% of $0.00

  3. I drive in Memphis. I was constantly busy before the cut averaging 20 rides per day. After the cut, I am still averaging 20/day…..just earning a lot less. A drive from the airport down to Ole Miss in Oxford used to pay over $130. I took two rides down last and each was less than $80. It is a 3 hour round trip! Take out Uber’s fees and gas, it is only less than $60 despite constant travel. Reconsidering after two years with Uber!

      1. Most drivers are still clueless about the enormous cost of driving your car to give rides for Uber or Lyft. Going through all the trouble you have to go through and exposing yourself to the hassles of the roads for a few dollars an hour is just not worth it. Any minimm wage job will be better and safer and you don’t have to lend your employer your car.

        1. You’re absolutely right Constanza. Any minimum wage job would be better. I just had to get $1,400 of work on my car replacing two tires and two rims because of pothole damage – that was a direct result of driving for Uber. At the much higher rates a couple of years ago – it would have been no problem for me to pay for that. But at today’s bottom-basement rates, I had to borrow the money from my sister! Any minimum wage job would truly be more profitable and much safer.

    1. There are only so many rides you can do an hour anyway Peter. They could cut the rates to $0.10 a mile on the theory that you would get 20 rides an hour instead of 3 or 4. But you can’t do more than 3-5 rides in an hour no matter how low the rates go. So their little theory that you can just do more trips every hour to make up for the decrease only goes so far.

  4. I am not making more with Uber rate cuts. I was already busy enough before cuts. Now I work extra to make the same I used to before.
    Also, you mentioned a while ago that you drive for Gett Taxi. Do you know their rates are cheating drivers? Gett says they pay one thing per minute but they actually have a different payment calculation that drivers don’t know about. They slightly under calculate and keep about $100 from every driver every week. Nobody bothers to sit and calculate it, I guess.
    That’s a lot of money they take advantage from thousands of drivers. Sooner or later everyone is gonna catch up to it. Somebody need to think of putting a few drivers together and suing with a class action lawsuit. There is probably about $2 million they kept by now from drivers.

  5. I checked out the Uber business model about 3 months ago. they are not a sustainable operation. Good luck to all who have invested in this company.

    1. I’m sure you’re far better educated then the Capitol investors… Uber isn’t going anywhere. They will have to raise prices at some point, but the customer will never go back to the old model. Also, there is an endless influx of drivers. The good ones have no time for commenting in blogs. The poor English speakers, who SUCK at driving are the ones we have here, and we as customers don’t want them as drivers thus the one star ratings. I’m currently in an Uber Pool at $22. The same trip two years ago via Gypsy cab was $30-$40 WHEN I could find one and after the annoying Streetside negotiation. I will take the possibility of riding with another customer over the Gypsy Cab experience any day. The Chosen Uber X, the cost would have been no more than $36 and still no Street side negotiations for a nasty Lincoln Town Car and a driver who doesn’t speak English. I LOVE UBER.

      1. What you seem to be missing “Uber” is that rather than raising rates they’ve cut rates every single year they’ve been in business. In New York the rates are now 2.5x less than they were in the beginning. And the more they cut rates, the less drivers are paid. And the less drivers are paid the more of those non-English speaking drivers you don’t like – you’re going to get. And their cars will be older, dirtier and less well maintained – because they won’t be able to afford anything better. So enjoy the new Uber Rickshaw service!

  6. I drive in the Treasure Coast area in FL. I used to be a contractor with FedEx Ground in CT. Included in their formula was how far your route was from the terminal, so routes that had distance got paid extra for it while routes that were closer to the terminal got less. also you got per stop/per package, overweight/ oversize. etc.
    With Uber, I have driven many times to pick up a passenger 15-18 min away, only to get a 4 -5 dollar fare and then wait a half hour to get another ping to repeat the process. Just not a lot of action down here
    and it’s 1.50 base/.15/min and 1.15/mile.
    My point is; why are drivers not getting paid to travel over 10 min to do a P/U? Also, If you are going to drive 15 minutes to P/U, should you not be able to know where they are going? I suspect the algorithm can provide it, yet Uber chooses not to let you see that info. If I know I am going to make 20 bucks, then I am more likely to take that call. I am convinced that Uber will continue to degrade the driver experience until we are seen as nothing more than Rickshaw drivers.

    1. Uber will continue to degrade the driver experience until the only people left driving are semi-literate third world immigrants.

  7. I finally quit. I’ve had enough. I was a great driver and they drove me out of the business. I now cede the field to the driving equivalent of migrant workers, who are the only people willing to do the job for such low pay…

    1. They’ve been driving all the good drivers away for almost 2 years now, The pieces of shit at the top get richer while we poor shlubs get poorer. That’s the state of corporate America in general now. Very sad.

  8. Quite frankly Uber sees the writing on the wall which is why they bought autonomous vehicles. A driver has to pay more for a higher data plan, there is no tip option, gas and the cuts have done nothing to increase market penetration.In fact I have seen the number of rides diminish significantly in NYC and I do this part time. Anyone looking to earn a decent wage than you may wish to choose something different as it is not worth it in my opinion

  9. Just another update for Uber drivers. Margins are contracting which is probably another reason Uber is diversifying into other businesses. Just to give you an example, I know someone who picked up a passenger in Jackson Heights Queens, took them to the West side of Manhattan and picked up another passenger from the West side driving them back to LaGuardia Airport. The driver made only $30 when typically before they would have made $30 for a one way trip in either direction. That’s a major price cut. Take out gas, money for your data plan and additional car depreciation, or if you rent a car minus that and you walk away with de minimis returns. Not a good sign!

  10. It took my husband 2 days of driving for Uber here in Vermont to realize he couldn’t possibly afford to continue. Why would he put his nice car with Bose and leather at risk to earn next to nothing? The riders certainly enjoyed it but did anyone tip him? No! Boycott Uber or at the very least tip the driver!

  11. It’s important that you Drivers take into consideration the $0.54 that cost to drive one mile. When you apply that to the total miles you drive, including going from your home to the first ride, the ride miles and the miles from one ride to another, plus coming back home from sometimes far away locations, it doesn’t pay off. You are literally working for pennies. Any minimum wage job pays better and doesn’t expose you to the dangers of being on the road following GPS sometimes random directions. Don’t continue to give your car away to Uber and ungrateful riders who often are not even nice to give you a fair rating. Stop! Get a live!

    1. That’s true Hearfulness. In fact, the rates are so low now just about everywhere in the country that no driver is going to owe anything in taxes – if they keep up with their mileage. The bad news is if you don’t make enough money to owe taxes on it, you’re below the poverty level!

    2. Your so true
      Uber sells its drivers a bill of rotton Goods
      I can rembember when i first starting driving for Uber two years ago there ad staded you can make 32.00 a hour well needless to say i never did and worked hlong hours and all weekends
      Now Uber says you can make 19.00 a hour thats gross ofcause just like the 32.00 gross are both full of bull
      Not to add to the insult the cheep riders dont even think of tipping
      Cab drivers bartanders and watress live and count on tips why would Uber cheap riders think it doesent apply
      I cant wait till the day Uber is gone and some day it will be
      Riders are back to riding in cabs with rip off drivers then maybe then riders will say we should had suppord ubers drivers with a tip
      PS im not driving for Uber and would not tell a friend to do so
      GC new jersey

      1. >>>>>Not to add to the insult the cheep riders don’t even think of tipping<<<<<<

        That's because UBER lies telling them the tip is included. Anyone who drives for them nowadays has their heads up their ass.

  12. It’s time to strike! National AntiPartner Day. June 3rd, 2016. Then again a week later. Then again until they hear us!

    1. The real issue at hancl here is that the rides are heavily subsidized by the drivers. The true cost of transporting a passenger from poin A to pomt B is what taxis have been charging all along. At some point Uber managed to conviince riders that a ride djpi;f cost very little and for that reason drivers have to get paid little for their hard work and devaluate their cars big time in the process. Riders are cheap, don’t give tips, leave a lot of garbage in the cars, scrach the cars and are quick to give you a bad rating if you happen to miss a turn due to GPS inconsistencies or cammot always stop in the middle of a bussy street.

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