With the introduction of an ingenious mobile app in 2009, Uber usurped the dominance of the long established taxi industry and made it possible for many thousands of people to begin a part or full-time driving career.
In This Guide
What is Uber?
Uber uses the internet to connect drivers and riders for the purpose of ridesharing. Drivers use their own car and determine their own schedule. Anyone with a mobile phone, a relatively new car, and clean driving record can become an Uber driver.
Some Uber drivers choose to supplement their income by driving part-time, while others embrace the freedom, and challenges, of becoming a full-time independent contractor with Uber.
How Does Uber Work?
For drivers, Uber functions as a referral service that uses your Android, iPhone or Windows Phone to connect you with riders via GPS. Driver and rider see each other's location, and the time it will take for the driver to arrive. Uber processes payment from the rider's credit card, keeping a $1.65 booking fee and 25% commission for itself. The balance of the fare is deposited directly into the driver's account, there is no cash involved.
The typical Uber driver works for the company's low-cost service option, UberX, driving standard passenger cars like a Honda Civic, Ford Escort or Toyota Corolla. Uber Black is the next service tier with drivers using fancy town cars and requiring some professional driving credentials. Uber SUV also charges more for rides in large SUV vehicles. The most expensive service tier is Uber LUX, offering rides in luxury cars such as an Audi A6 or Lexus QS.