Offering ride shares on Uber is an excellent way to make money and this guide specifically addresses how you can make money off Uber passively. After all, the idea is to drive people around for money. Luckily, many people are doing it and there is no reason you should miss out on this great passive income generation method either.
Is it possible to make passive income through rideshare driving (Uber)? Even though it might not seem like it, you can actually make a lot of money passively through Uber ridesharing. This company lets you be your own boss. Therefore, you can decide when to accept offers to drive people around and when not to. In other words, this job does not require you to take time off your regular job.
You may be thinking that driving strangers around is not for you. But consider that some drivers are able to make up to $2,000 a month through Uber ride sharing (source). Additionally, many people with regular jobs are able to make hundreds of dollars each week offering rideshares for just a couple of hours every week.
We are going to focus on Uber specifically in this article, but there are many ride sharing services available out there. If Uber isn’t offered in your country, you should look for an equivalent in your area, however most of the information below will still be relevant to you.
1. Meeting Uber’s Requirements
You might be skeptical about Uber driving, and many people are. But you will have little to lose and plenty go gain when you sign up for this service. Many people fail to realize that Uber offers one of the best ways to make money off your car on the side. The best thing about it is that this is a very flexible way to make money since nobody can force you to work when you don’t want to.
Before Uber accepts your offer to work for them as a driver, you will have to meet certain requirements they have in place. For instance, you must be at least 21 years of age, pass a background check, and have auto insurance. Requirements will differ based on where you are located. In some areas, a higher age limit might be required.
Additional requirements include the fact that you should have at least three years of driving experience, a current drivers’ license, and a clean driving record. You will also need to have a car that meets the company’s standards with regard to age. Usually, busy and bigger cities require that you have newer car models. You will also have to provide proof of residency for the city, state or province you are operating from. Make sure to read Uber’s requirements and policies before signing up.
2. Creating Your Uber Account to Service Customers
Once you are sure that you meet the above Uber requirements (and agree to their policies), you can go on to sign up through the company’s website. To do this, you should submit the required documents as well as your background information as the company generally avoids working with people with a criminal record. Once you have set up your account and provided all the information Uber requires from you, you can go ahead and activate your account. This means you will then be ready to start making money using Uber. That means you can start getting requests to drive people around.
Uber has an app that matches you to the most appropriate customers based on their desired destination. Once you accept a job, you will also get instructions on how to go pick them up. You can keep track of your business over time based on your daily or weekly goals. This is a great way to ensure that being an Uber driver brings you the sort of income you expected off this great passive income business in the first place.
Pro Tip More passengers, more money. If you have a bigger car you can make more.
3. Formulating a Passive Income Strategy
There is something you should know: while some Uber drivers make a killing through this side business, others don’t fare so well. That is why you should have a good strategy so that you make more money and actually benefit from being an Uber driver. For instance, you should ensure that you offer your services during peak periods when fares are much higher. As an example, instead of making about $15 a ride, you can end up making many times as much instead.
Knowing how much you want to earn off your driving is also important. For instance, you can decide that you want to make at least $500 a month, you would need to offer about 25 rides at $20 each. Fortunately, you can give more rides over the weekend and at night so that you don’t have to bother about being an Uber driver during the week when you are more involved with your day job. Remember, it is by working during off hours that this business can make you a passive income. Have a look at this YouTubers numbers for more info.
That being said, you also have the option of hiring out your car to Uber so that one of their drivers can use it to make money for you. This is clearly a more passive income option, and you can make more if your car is used to give rides on a regular basis.
Generally, the expenses that come with being an Uber driver are entirely on you. That means you have to find ways to minimize your expenses. For instance, sticking to cars with low fuel consumption and offering additional services for an extra fee. On average, drivers end up making $100 a month for giving their customers other products as they use their services.
Pro Tip Referring Uber drivers and passengers is a highly lucrative business. You can look in to this option to boost your income.
How Passive is Ridesharing? (Uber)
Making money being an Uber driver is pretty passive, even when you decide to do it yourself. Obviously, you have the option of having someone who meets Uber driver requirements drive your car for you, although that would mean splitting the profits. But then again, that would help you make this income method more passive, and even a little more scalable.
If you already have a car you can use to join Uber, then your costs will be minimal. All you have to do is sign up with the site and start accepting offers to give people rides. Therefore, you do not have to invest much money, if any, to get started with this popular ridesharing business.
While ridesharing with Uber is not without its challenges, it is certainly not the hardest thing you can do. The biggest challenge is meeting the requirements Uber has put in place to ensure to provide quality services to your customers. Many people who have owned cars for a few years easily meet these requirements. Therefore, all in all, running a ridesharing business based on Uber is easy.
Broadly speaking, the amount of time you spend making extra money through Uber’s ride sharing platform will depend on you. Obviously, the time you put into this business will also have an impact on how much money you will make in the end. But if you want to work on an arrangement that has other people drive your cars for Uber and split the profits with you, then you don’t have to spend much time on this side hustle.
There are relatively low risks to offering your driving services to people in need of Uber’s ridesharing services. But that is if you take the right precautions to protect yourself. Luckily, Uber carries out checks on their members, and so you are less likely to end up having issues with the people you drive around – except maybe for the occasional drunk customer trying to get home after a night of overindulgence. However, you always have the power of leaving feedback for your customer.
Share riding has its ups and downs, but they are nothing to be too concerned about. People will always need someone to drive them around because they are not in a position to do it or because they are not too keen on using public transportation methods. Besides, the convenience Uber offers them has made share riding very popular today.
Return On Investment
On average Uber drivers make about $10 to $20 an hour after discounting expenses such as gas and car maintenance. That is a pretty good return on your investment since driving strangers around for just 5 hours a week can make you $100, which is pretty easy since you can do this on your free time or during the weekends without having to make any substantial changes to your regular schedule.
Do I need a car to sign up as an Uber driver? No, you don’t have to own a car in order to make money as an Uber driver. You can sign up using someone else’s car, as long as it meets the requirements the company has in place. The company also has partners who provide fleets of cars, but this option is not available in all places.
Is it safe to take Uber as a driver? A big part of Uber ridesharing is driving around with strangers. However, most people you will meet will be genuine travellers mostly concerned about reaching their destination safely. Users also receive reviews and it is in their best interest to be good customers in order to keep using the platform.