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Earning = $1 per each mile GOOD or BAD?

Discussion in 'Pay' started by Joe Dow, Sep 30, 2018.

  1. Joe Dow

    Joe Dow

    Location:
    TimbukTu
    By the end of day, I try to earn $1 per each mile.

    i.e, $100 = 100 mile (including dead miles i.e, from home to home back) in a 8 hour shift

    I drive in a small city not some big metro type

    I own Hyundai Certified Pre Owned 2016 Elantra with 31,000 miles on it with 25-27 MPG average according to trip meter doing city driving.

    Progressive ride share insurance = $20 extra

    Cell bill = $40

    Keeping in view the expenses like gas, maintenance, depreciation, irs taxes etc etc, do you think I am making any money? if yes how much? or am in for a big surprise.

    I need your opinion especially from experienced drivers. Thanks!
     
    jgiun1 likes this.
  2. I cannot speak for any other driver, or any other market.

    Personally I make $1.30-$1.50 per mile, including tips and dead miles, but not including gas or any other expenses/depreciation. I average 25 mpg when working.
     
    jgiun1 and New2This like this.
  3. merryon2nd

    merryon2nd

    Location:
    Philadelphia, PA/Wildwood, NJ
    Driving:
    UberXL
    You're a TOUCH under where you SHOULD be feeling comfortable, and below profitability in some people's shoes. But the only way to REALLY know is if you go back, crunch your costs against your profits. If costs at the end of the week are bottoming out close to the profit line, you need to start making a bit more.
    Keep track of your DAILY costs and your WEEKLY costs in this fashion. By the end of your first full week of analyzing like this, you'll have a much clearer picture.
    But I personally like to be between $1.45-$1.75 a mile driven. It feels safer for me. It's a bit of a grind, but very doable.
     
    tohunt4me, Grillmasterp and jgiun1 like this.
  4. Oscar Levant

    Oscar Levant

    Driving:
    UberX
    depends on the terrain. In Hub inner city areas, easy. Way out in the burbs, not so easy. When I work north county san diego, paid miles % goes down, but when I work downtown, it goes up significantly.

    Don't average your miles that way, try to see what you paid mile percentage is, that's how taxi companies ( used to ) do it
    ( before the age of leasing took over ).
     
    jgiun1 likes this.
  5. MercDuke

    MercDuke

    Location:
    Denver
    I think you should do better, I live 25 miles from where I Uber, and if I am only at a DOLLAR a MILE I am driving, I worry, and I am Deadheading like 50 miles a Day. Try not to drive around empty. Learn where the busy spots are in each part of the Territory you drive, and get there, and sit there until you get a trip. Turn off the car. If you don't get a Trip, remember what day of the week and what time that spot is DEAD. You may want to write it down. Personally, I check and see when events are going on, when Airplanes are landing, when people are headed to the Airport, and also when people are going to Concerts or Ball Games, etc... and that's when I drive. If nothing is going on, it may NOT BE PROFITABLE to DRIVE. Let some NEWBs go Drive those shifts. There are a ton of new Drivers all the time. Most don't get it, and quit after a month or two.
     
  6. If you know your per mile rate, what do you do with the information?

    I see it talked about everywhere, but then what?
     
    jgiun1 likes this.
  7. MercDuke

    MercDuke

    Location:
    Denver
    Decide whether it's worth it to work for Uber or do you go find another job? How do you work for a company and not know what the gross pay is? Many drivers are working for free!
     
    jgiun1 likes this.
  8. I generally lean on what my Cash Flow is versus what my earnings are per mile.

    I don't look at depreciation, but instead the replacement cost of the vehicle.
     
    jgiun1 likes this.
  9. kc ub'ing!

    kc ub'ing!

    Location:
    Reno, NV
    My calculations are much easier. Are my monthly bills covered? Yes, cool! No, better drive a bit more.

    I’m not living high on the hog but I am not growing debt.
     
    jgiun1, Danny3xd and mbd like this.
  10. Merc7186

    Merc7186

    Location:
    Buffalo NY
    Driving:
    UberXL
    Depreciation should vary amongst drivers. I had a guy on my local thread keep screaming at me about depreciation (Im actually a Fixed Asset Analyst) and it means zero to me because I drive a 12 year old minivan.

    I figure $5/ hour for expenses, new car fund...if I cant make $25/hr before expenses, then not worth me driving.
     
    jgiun1 likes this.
  11. This is how I was taught...replacement cost of the car.

    Come tax time I claim the mileage reimbursement, but for my own personal use, I look at replacement cost.

    I think most don't understand the difference between looking at your books based on cash flow and what you report for taxes.
     
    jgiun1 likes this.
  12. mbd

    mbd

    Location:
    Dallas
    If you have a old car and it gets good mpg, don't worry about 1 dollar per mile. Key is to run that car to the ground and make max profit out of that car. If you can make 35 dollars on a 50 mile run, in 1 hr,and make 10 dollars on a 10 mile trip in 1 hr,which trip made you the most money?? Cost of gasoline is the only cost which is 3-4 dollars more.
    You can write off 50 miles times .54 = 25 plus dollars
    End of the day, total profit after all the expenses.


    New cars, then it is a totally different story . You have to watch your miles per dollar
     
    Last edited: Nov 9, 2018 at 5:04 PM
    jgiun1 likes this.
  13. For me, I have a few important metrics (gross revenue/hr, gross revenue/mile, gross revenue/ride, costs) that give me an overall idea of how I'm doing. If one of those metrics changes for better or worse, I can look at the individual numbers that make up the key metrics (miles driven, fuel costs, tip revenue, bonus revenue) to see what has changed to cause that key metric to change.

    Is my car getting worse fuel efficiency? If so, it may be the early sign that something is wrong. Is my behavior changing? Am I driving in different areas or at different times? Am I driving more empty miles than usual? Is chasing Quests or Challenges really making me more money?

    My key metrics look like this on a spreadsheet--

    Spread sheet.PNG

    My whole monster spread sheet has over 50 columns on it with cumulative info and a bunch of minutiae on it, but most of it is just formulas. I think I enter about 7 pieces of info at the end of every week, then the spreadsheet does the rest.

    I can label outliers-- for example my WE 10/28 fuel per day cost is $10 lower than most other weeks. That's because I cashed in all of my fuel rewards and got a free tank of gas. I can put a note in there so I remember what happened.

    This is how I experiment and evaluate new strategies and take the emotion out of my decision making process. I can also use the previous year's data to predict when the market has turned for the better or worse, which helps me make longer term decisions.
     
    bsliv, jgiun1 and goneubering like this.
  14. mbd

    mbd

    Location:
    Dallas
    Exactly... if you need to make extra 20 dollars , just make it. Might force you to drive few extra miles , but you made your 20 dollars. You don't want to be driving 2000 miles for the 20 extra, but you can use common sense. If it costs 2 dollar extra to make 20... then do it.
     
    jgiun1 likes this.
  15. In Vegas at .60 per mile and .15 per minute it’s hard to average a dollar a mile on X unless you stick to the strip and do minimum fares but then your dollar per hour tanks because of all the traffic and pedestrians. Plus it doesn’t help that I live out northwest and usually have to drive back empty since no one really goes that way.
     
    Christinebitg and jgiun1 like this.
  16. Danny3xd

    Danny3xd Moderator

    Location:
    Hartford

    I agree. I have a rule I constantly break. Don't do the math. But even with doing that to myself all to often. I try to remember. My bottom line is not the bottom line. If your doing well enough and are happy. Screw it. If you really want the information, there are a ton of online "How much does it cost to drive my car" calculators. And there are a ton of ways to do the math.

    When all is good. I don't care. I live well and indoors. Have all the toys I could ever want.

    In my previous career, I saw upclose poor and hungry. It ain't pretty.

    And I doubt I make a buck a mile.
     
    BCS DRIVER, Christinebitg and jgiun1 like this.
  17. kc ub'ing!

    kc ub'ing!

    Location:
    Reno, NV
    If agreement was money given, you just made a buck on my smile.
     
    jgiun1 and Danny3xd like this.
  18. oldfart

    oldfart

    Location:
    Fort Myers
    Driving:
    UberXL
    It doesn't matter what you call it or what column on your spreadsheet gets the entry
    Call it "depreciation" or call it a "new car fund",
    Either way; Its an expense
     
    jgiun1, dctcmn and Ziplock like this.
  19. theMezz

    theMezz

    Location:
    Central NY
    Driving:
    UberX
    I figure about the same $1 per mile on my spare time.
    It does however stop me from spending money, too.
     
    jgiun1 likes this.
  20. jgiun1

    jgiun1

    Location:
    Pittsburgh
    I remember buying my car in April 2017....had 32,000 miles and perfect condition.....fast forward 17 months, just turned 88k.....still nice but some scratches, espically on the interior trim.
     

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