FAQ - Driver Earnings

Using the price estimators for Uber and Lyft, drivers can make slightly more on Uber than Lyft rides. In New York City, an UberX driver receives 75% of each ride with a minimum fare of $8 and rates of $0.74 per minute and $1.62 per mile. Lyft drivers in New York City receive 75% to 80% of each ride with $7.19 minimum fares and rates of $0.66 per minute and $1.46 per mile.

This narrow disparity in rates applies in smaller markets like Des Moines, Iowa. An UberX driver in Des Moines receives 75% of each ride with a minimum fare of $5.05, a booking fee of $2.05, a per-minute rate of $0.16, and a per-mile rate of $1.11. A Lyft driver in the same market receives up to 80% of a fare with a base fare of $0.95, a per-mile rate of $0.84, and a per-minute rate of $0.18.

Drivers for Uber and Lyft are responsible for refueling their vehicles. Lyft works with Shell to provide a fuel discount plan that increases savings based on rider reviews and length of service.

Uber

Uber driver-partners keep 75% of every fare with the company taking 25% to maintain the app and administrative costs. Driver-partners also keep 100% of any tips given by riders.

Lyft

A Lyft driver can expect to keep 75% to 80% of each fare along with 100% of tips. This variation in payments depends on regional fares along with variations in the company’s platform fee.

Lyft engages the Prime Time feature to encourage drivers to serve high-demand areas including concert and sports venues. Prime Time charges a fixed 50% premium for each completed ride starting from a Prime Time pickup location.

Lyft Express Drive is a program in select cities that allows drivers to rent cars from the company. Each Express Drive rental requires 20 rides per week and includes insurance coverage.

Lyft encourages drivers to serve high-demand areas of their cities with Personal Power Zones. The Lyft driver interface shows Power Zones where drivers are guaranteed bonuses for completing rides.

Driver incomes for Uber and Lyft are dependent on location and the types of rides completed. Each company offers multiple tiers of rides ranging from standard four-seat to luxury six-seat vehicles that charge different rates. Riders are also charged higher rates for surge periods and pay larger fares for long-distance trips. There have been recent studies of Uber and Lyft driver pay that paint a clearer picture of potential incomes.

The Street found that the median pay for Lyft and Uber drivers is $155 per month. The average income for a full-time ride-hailing driver was $36,525 in 2018. Uber drivers earned $15.97 per ride and Lyft drivers earned $11.48 per ride. _The Street _concluded that pay per hour after expenses for both companies ranged from $8.55 to $11.77.

The College Investor _provide a slightly more optimistic view for Lyft drivers. The publication found that Lyft drivers averaged $17.50 per hour, exceeding the estimate provided by _The Street.

Conflicting reports of driver pay for Uber and Lyft are due in part to regional variations. Drivers in smaller communities may not have as much demand as big-city drivers. Uber and Lyft have different levels of popularity from city to city. The differing income ranges are also caused by drivers who take advantage of bonuses and surge-priced rides.

Uber and Lyft do not charge service fees on tips provided by riders through the app. The service fee applied to each ride takes money out of the standard fare instead of the tip.

Uber and Lyft do not provide health insurance, vacation time, or paid sick leave to their drivers. Each driver is considered an independent contractor who does not qualify for benefits.

Uber and Lyft do not list ride discounts among its rewards programs for drivers. Drivers may be able to use first-time passenger codes if they haven’t previously hailed rides on Uber or Lyft.