If you are thinking about driving for Uber Eats or are already part-time delivering, you’ve probably wondered a smart and practical question: does Uber Eats pay for gas? The simple answer is no, Uber Eats does not pay for gas. The entire cost is borne by the drivers.
But why does that happen, and how can you get around it to maximize your earnings?
The Mechanics of the Uber Eats Pay System
Uber Eats is flexible, enabling drivers to set their own schedules and work as much or as little as they want. The service compensates drivers according to:
• Base fare (i.e. an amount fixed per delivery)
• Distance and time travelled
• Peak or surge pricing in high-demand times
But none of those numbers factor in fuel reimbursement. Drivers are also supposed to take care of their own vehicle costs such as fuel, maintenance and insurance.
How Much Do Uber Eats Drivers Spend on Gas?
For Uber Eats drivers who drive a car, gasoline is frequently their largest expense. The true price will vary, based on:
• Distance driven per day
• Inner city driving (stop and go is a gas guzzler)
• Fuel efficiency of your car
• Local fuel prices
But for drivers, a typical spend on gas per delivery might fall between $2 and $5. If you’re doing 15 to 20 deliveries each day, and you’re sure to be driving around a fair amount to get from delivery point to delivery point, you can expect to spend anywhere from $30 to $100 on fuel alone.
This can really add up over time, and eat right into your profits.
How to Conserve Gas Money as an Uber Eats Driver
How can you be conservative as an Uber Eats driver?
Drive a Fuel-Efficient Vehicle
Selecting a compact car, hybrid or electric vehicle can also help minimize fuel use. Compact engines and fresher models generally provide better mileage.
Deliver in the City by E-Bike
If you mainly deliver inside city limits, switch to an electric bicycle. You’ll eliminate your fuel costs entirely, but you’ll also cut down on your vehicle maintenance spending. Some rental services also offer $30 off your first month with discount codes such as “WOW.”
Drive Smart
Fast acceleration, hard braking and excessive idling are all aggressive driving behaviors that waste gas. You can use cruise control while on long-route and plan your delivery routes ahead and avoid heavy traffic areas when possible.
Track Your Gas Spending
Apps such as GasBuddy and Waze will direct you to the lowest-priced gas stations in the vicinity. By monitoring fuel spending, you can make wiser financial decisions and adjust your driving.
Can Uber Eats Drivers Write Off Fuel on Taxes?
Yes, Uber Eats doesn’t pay for gas, but you can write it off on your taxes. There are two primary methods for doing so:
• Mileage Deduction
The IRS allows a standard mileage rate that takes into account gasoline, maintenance and depreciation. Simply track your business miles, either via an app like TripLog or by keeping copious records.
• Actual Expense Method
Or you can follow your exact vehicle-related costs — gas, repairs, insurance and so on. This approach might involve more paperwork but could provide a larger deduction, if you have significant expenses.
Either way, you’ve got to keep good records if you want to lower your taxable income and recoup some of your fuel expenses.
Uber Eats Gas Discounts and Guarantees
You don’t have to foot the entire fuel bill yourself though. Here are a few ways that Uber Eats can help you save money off your gas, even if they don’t directly pay you back:
• Uber Pro Rewards
This app rewards you for the time spent driving. Gas discounts at partner stations may be available, depending on your tier.
• Uber Debit Card
You can also earn cashback on gas purchases at some stations if you use Uber’s preferred debit card.
• Promotional Offers
Periodically, Uber partners with local gas stations or car services to provide limited-time fuel discounts or bonuses that can help drivers cope with surging gas prices.
Is It Worth It?
Then, does Uber Eats cover gas? No. But that still doesn’t mean you can’t earn good money. All it takes is vigilance, smart driving and making use of every tool and discount you can access.
If you are committed to how you can earn the most money as an Uber Eats driver, then think about:
• Riding an e-bike or other electric vehicle for short trips
• Keeping track of your fuel and miles for tax deductions
• Joining Uber Pro and utilizing the Uber debit card
• Opting for routes and times that pay more per ride
Not only will you protect your income by smartly managing your fuel costs, but you’ll get the most out of your delivery side hustle or full-time gig.