With Uber’s recent upfront pricing changes, you may be wondering how to calculate your new pay vs. Uber’s cut. Luckily, today RSG contributor Curtis Preston provides his spreadsheet analysis and a step-by-step walk through for calculating your new driver pay. Questions? Leave them below in the comments!
There was a time when we knew exactly how much Uber made from each ride. It was 20% of however much the rider paid. Then 20% turned into 25%, but still that was easy to understand. Things got more complicated when Uber introduced the booking fee – currently $1.95 in my market – and did not give us a cut of that fee. That effectively increased Uber’s share of each ride by a significant amount, and the smaller the fare, the greater their percentage.
Then UberPOOL was introduced, and it became nearly impossible to figure out how much they were making. The complete disconnect between what customers were paying and what drivers were paid left many drivers feeling that they were getting ripped off. Knowing that Uber was getting paid for multiple riders – while the driver only got paid for a single trip – added to that frustration and fear.