What is your actual fuel-cost per mile?

IERide

Well-Known Member
I'm still new.. Still figuring out if Uber can be worth my time.. I'm not looking to make a living - only need to net $1k-$2k per month - willing to drive 20-30 hours per week..

I have a Jaguar XF, 8 years old and paid for. Adding more miles won't significantly reduce it's resale value at this point. - the car literally has been sitting in the garage, unused for the last 2 years..

Between MPG and fuel-price where I live, my (fuel only) cost per mile is about $0.19 - this is pretty high, but considering the car is paid for and it's value already reduced nearly as low as it can go I think that off-sets the cost a bit.

One option is to sell this car (can get about $20k for it) and buy something used and much more economical for say, $12k-$15k .. This car would be used 95% for Uber/Lyft and less than 5% personal use since we have 2 other vehicles.

My question is: What is YOUR actual fuel-cost per mile, factoring MPG and price per gallon where you live?

...other advice also welcome..
 
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Bill Collector

Well-Known Member
20 mpg means $2.50 for 20 miles assuming gas cost is $2.50/gallon.

So, per mile cost will be 12.50 cents.

At 40 mpg, per mile will be 6.25 cents.

My van has a mileage of about 22 mpg highway if that.
 

Robertk

Well-Known Member
new 2015 Kia Soul base model = $13.8k
27mpg average
$2.50/gallon
$0.09/mi fuel cost

in Seattle I average about $18-20/hr after expenses

that Jaguar is not a good car for Uber, I'd say sell it and get something economical
 

Bill Collector

Well-Known Member
Sell Jaguar.. Keep money in bank or invest.. Take Uber to work.. Rent if going too far.. You'll be cash rich in a long run.. That's my plan when my car finally goes out.
 
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IERide

Well-Known Member
  • Thread Starter Thread Starter
  • #5
I'm semi-retired and have my own in-home business so no need to drive to work.. If I sell the Jaguar I'd have $20k in my pocket.. But if I sell it for $20k, buy a $15k used econo-car, and bank the other $5k, I'm thinking the $15k Econo car can make more than $20k in Lyft/Uber over it's 2-3 year lifetime.. If the Econo-car lasts 3 years, I only need to net $6.5k/yr to be profitable.. Less if it lasts longer..
 

Papa Sarducci

Well-Known Member
Why subject a car as nice as a Jaguar to the low rent pieces of crap that ride Uber? If you were going to do Black or Select maybe it would work out but still. The amount you get back through the standard mileage deduction on taxes more than offsets the cost of fuel at $0.54/mile. Jaguars are not cheap to repair though, the more miles you rack up the sooner something will need to he fixed. I would sell it, get something nice but cheap and use that for Uber.
 

IERide

Well-Known Member
  • Thread Starter Thread Starter
  • #7
Jaguars are not cheap to repair though, the more miles you rack up the sooner something will need to he fixed.
This is very true.. With or without Uber, my plan has been to sell it if any major issues start to crop up..
 

IERide

Well-Known Member
  • Thread Starter Thread Starter
  • #12
Ok.. So what I mean is, driving it into the ground for Uber won't reduce it's resale value by any significant amount at this point.
 

Uberbrethren

Well-Known Member
I would sell the Jag and get a used Honda, Kia or Toyota for 10-12K and that is easy to clean. Drive a little a bit and if you like it, keep going. If you don't, you can always sell that car, too. I would not buy a new car - rideshare beats up cars fast.
 

Fauxknight

Well-Known Member
I hope you're getting Select with that Jag, you gas cost is higher than my total cost per mile. My fuel costs are generally under $.04/mile as long as gas stays around $2/gallon.
 

Fuzzyelvis

Well-Known Member
I'm semi-retired and have my own in-home business so no need to drive to work.. If I sell the Jaguar I'd have $20k in my pocket.. But if I sell it for $20k, buy a $15k used econo-car, and bank the other $5k, I'm thinking the $15k Econo car can make more than $20k in Lyft/Uber over it's 2-3 year lifetime.. If the Econo-car lasts 3 years, I only need to net $6.5k/yr to be profitable.. Less if it lasts longer..
So you're selling it for 20 and getting the 5k out of the sale then destroying the car you use in order to "make" 20k.

After your uber time you end up with the 5k left from the car sale plus the 20k you "made". So 25k (plus a destroyed car, maybe worth 5k which you sell).

You work for 2-3 years to end up with 30k. Taking off the 20k worth of car you now don't have that's 10k profit. Assuming no wrecks, major repairs, injuries, lawsuits , deactivation, etc.

And do you have any idea how many hours you'll work for it?

Sell car now, 20k cash.

Do Uber, 5k now, 20k over 2 years plus 5k at the end (maybe) from sale of trashed car.

Assuming all goes well. BTW there may be NO profit and you lose money. Plus all the risk. Don't know your insurance situation, but you have no workmen's comp or injury insurance through uber. If you have a wreck and can't work, how will your other job hold up? Do you have disability? And what % does it pay?

Knowing what I know now I'd sell the car. Get the cash and save the storage, insurance etc it is costing you to sit there unused.

Remember too, uber could close shop at any time. Or deactivate you for some bogus complaint by pax.
 
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Robertk

Well-Known Member
Depreciation is irrelevant when talking about Uber, IRS rules state you can't depreciate a vehicle used for carrying passengers for money.
this is incorrect. Of course a taxi company can depreciate a vehicle used for business. However most Uber drivers would want to take the per-mile deduction rather than go through all the complicated depreciation/expenses calculations.
 

Papa Sarducci

Well-Known Member
this is incorrect. Of course a taxi company can depreciate a vehicle used for business. However most Uber drivers would want to take the per-mile deduction rather than go through all the complicated depreciation/expenses calculations.
https://www.irs.gov/instructions/i4562/ch01.html

Scroll down to the section entitled Listed Property and note...

Exceptions.

Listed property does not include:
Photographic, phonographic, communication, or video equipment used exclusively in a taxpayer's trade or business or at the taxpayer's regular business establishment;

Any computer or peripheral equipment used exclusively at a regular business establishment and owned or leased by the person operating the establishment;

An ambulance, hearse, or vehicle used for transporting persons or property for compensation or hire; or

Any truck or van placed in service after July 6, 2003, that is a qualified nonpersonal use vehicle.

http://www.section179.org/section_179_vehicle_deductions.html
 
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