Taxes / Miles / Is it Worth it?

sp6380

New Member
Hi Everyone -

I am new here and relatively new to Uber.
I started doing Uber about 5-6 months ago as a part time / fun / small supplement of income.
The following is a question and I am hoping some of you can assist with suggestions / answers:

I have a great full time job and had a great year money wise: - For 2017, I'll gross about 175K. My Accountant said my tax will be around 40% with Uber. Year to date I have made about 3k and have about $1,800 of mileage. This is not including car washes, maintenance of vehicle, etc. Will my mileage / expenses make it worth it?
 

Older Chauffeur

Well-Known Member
I can't tell you if it's worth it, but keep in mind maintenance of your vehicle is included in the standard mileage rate. You can deduct the portion of your cell phone bill that's related to rideshare, along with any other expenses directly due to the business. Your income and expenses will go on Schedule C, (Profit or Loss from Self Employment). If your net profit is $400 or more you will also pay FICA on those profits at a rate of 15.3%.
Sounds like your accountant is on the mark.
Disclosure: I'm not a tax professional.
 

Skinny1

Well-Known Member
Well to be honest being in a higher tax bracket sucks, then you have additional 15% on self employment....it kills the hourly rate for sure.
 

UberTaxPro

Well-Known Member
Sponsor
Hi Everyone -

I am new here and relatively new to Uber.
I started doing Uber about 5-6 months ago as a part time / fun / small supplement of income.
The following is a question and I am hoping some of you can assist with suggestions / answers:

I have a great full time job and had a great year money wise: - For 2017, I'll gross about 175K. My Accountant said my tax will be around 40% with Uber. Year to date I have made about 3k and have about $1,800 of mileage. This is not including car washes, maintenance of vehicle, etc. Will my mileage / expenses make it worth it?
Yes, you'll pay 40% of $1200 instead of 40% of $3000! $1200 vs $480. Is $720 worth it to you?
 

columbuscatlady

Well-Known Member
Because it is less than minimum wage. At least if you only do UE and I only do UE. I only work for UE to make gas money so I can do others like Grubub and Skip The Dishes.
 

Mars Troll Number 4

Well-Known Member
Why do most quit?

Well something you need to keep in mind is that you are in one of the better paying markets, they are far from the same.

Your per mile rate is showing at 91c per mile deduct 25% of that and your at 68c a mile. Add at least 1 minute per mile and that's another 11c per paid mile.

That puts you up to 79c per paid mile total...

Now let's look at Orlando...

71c per mile 11c per minute.
-25%

53c per mile 8c per minute.


Your getting at least 79c per paid mile in Kansas city

It's 61c per paid mile in Orlando.

Is there a huge difference betwen 79c and 61c?

Yeah it's enough to complain over if you ask me...

In terms of driver revenue, Orlando is 77% of KC rates.



That's a pretty significant gap. Take 16c a mile for costs and assume that half of your miles are paid? That's 32c per paid mile in costs.

That's 47c per paid mile in profit in KC.

In Orlando it's 61c per paid mile with 50% paid mileage. or 32c per PAID Mile in costs...

In Orlando that turns into 29c per paid mile in profit.




is there a big gap between 47c per mile profit and 29c per mile in profit?
With this MATH, Orlando is 61% of KC

Well... personally I've calculate the true costs of driving a vehicle at a little closer to 25c PER EXTRA mile total, working full time that's about 60,000 miles or $15,000 a year in EXTRA costs.



25c a mile with half of miles being paid...

In Kansas city, your at 79 c per paid mile minus 50c in costs,

or 29c per paid mile in profit.

In orlando it's

61c per paid mile minus 50c per paid mile in costs

or 11c per mile in profit.


is there a big difference between 29c and 11c?
IN PROFIT Orlando is 37% of KC.
 

goneubering

Well-Known Member
Hi Everyone -

I am new here and relatively new to Uber.
I started doing Uber about 5-6 months ago as a part time / fun / small supplement of income.
The following is a question and I am hoping some of you can assist with suggestions / answers:

I have a great full time job and had a great year money wise: - For 2017, I'll gross about 175K. My Accountant said my tax will be around 40% with Uber. Year to date I have made about 3k and have about $1,800 of mileage. This is not including car washes, maintenance of vehicle, etc. Will my mileage / expenses make it worth it?

This makes no sense. Why would you waste your highly paid valuable time on Uber making a few more pennies?
 
I can't believe that you are even asking this question. With that salary you must working 50-60 hours a week, don't see how Uber would benefit your life at all unless you have a lot of debt to pay off.
 

getawaycar

Well-Known Member
Why do most quit?


1. They quit when they discover the pay is much less than advertised
2. They find out that being a glorified taxi driver sucks
3. Having to do your own taxes is a headache, not worth it for such a low paying job.
And you have to pay more taxes when self-employed.
 
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