Deciding which rideshare companies will be a better side hustle for you will depend on several factors. These will include your location, how often you drive, what time of day you drive, and your personal preference on what the brand stands for.
While Uber pays more per distance driven, nationwide Lyft pays more to its drivers on average. In addition, Uber is considered more professional, while Lyft is a more casual company.
What is required to get started?
Both Uber and Lyft require you to be of legal driving age for your state and city. You’re also required to have a legal driver’s license and insurance to drive for either company.
Your car must not be older than 15 years from the current year, be a four-door with no body damage. Both will run a driving and background check before allowing you to drive. This is where they begin to differ.
Uber
You need at least one year of driving experience. If you are younger than 23, you must have three years of driving experience.
Lyft
The vehicle must have five seatbelts, no more than eight seatbelts, and less than 350,000 miles on the odometer. Lyft also requires drivers to complete a community safety program before allowing them to drive on the platform.
Which company is easier to start driving for?
Both ensure the safety of riders using the platform. Lyft has more requirements for the drivers’ vehicle and requires an extra education program before starting.
Based on the extra things required by Lyft, it will take longer to get started on the platform than its competitor.
https://therideshareguy.com/side-hustle/
Do I get a sign-on bonus?
Neither Uber nor Lyft currently offers a sign-on bonus. However, both offer a series of bonuses that encourage you to drive during busy times, increasing your overall paycheck.
Lyft currently offers more incentives, but Uber’s can come in useful as well. Below are the different bonuses and promotions the two platforms provide.
Lyft
Lyft offers personal power zones to encourage more drivers during busy times. In addition, Lyft offers ride streaks for consecutive rides. Lyft also provides an earning guarantee and ride challenges to prompt enough drivers to satisfy its riders.
Uber
One of the bonuses for Uber drivers is the extra money for consecutive trips made. In addition, Uber also has a promotion called Quests. This consists of a bonus for making a set number of trips of a specified number of days.
Which one trains drivers more?
Both platforms give training to their drivers on how to use the app. However, Lyft tends to have more comprehensive training.
Both platforms have developed a functional app for drivers to use. For example, Lyft has a function to contact riders if they have trouble finding the pickup location.
Which one earns more?
Depending on what area you live in and how many users are regulars on each app, this can vary.
Both platforms are good if you’re looking for money right now. Lyft may be a good option for some, while Uber benefits are better for others.
Both side hustles can be lucrative. On average across the nation, Uber drivers tend to make a little more per hour. Therefore, it would help to weigh the benefits when calculating the earning potential for either of the two rideshare companies.
Which one is better to drive for overall?
While Lyft offers its highest-rated drivers some nice perks, Uber isn’t without its benefits. So, it just depends on what you’re looking for when considering this side hustle.
Lyft’s highest-rated drivers get things such as 24/7 roadside assistance and free taxes. If you use either incentive, the saving will put money back in your pocket. On the other hand, Uber offers discounts on gas while using the Uber debit card and discounts on maintenance and bodywork.
Uber offers by far the most beneficial bonus to its highest-rated drivers, with the driver or their family receiving free online tuition at Arizona state university. This online school is a great option that makes many pick Uber over its competitor.
Does either offer a car to use?
Lyft has begun offering a new rental car program. While it is not free, it does allow you to drive a car other than your own. Not to be the odd man out, Uber will enable you to rent through one of its partners.
If using one of Uber’s partners, the vehicle will be fully insured and registered. You will have to pay a rental fee, so this is good for people who have a car in the shop getting repairs or want to try before they dive into this choice of side hustle. Not everyone is eligible, so check before you make this your deciding factor.
Which side hustle is better for you?
If you’re an international driver, Uber is going to be your top choice. This is because Lyft currently only operates in North America.
You would need to weigh the different options for all North American drivers to see which will benefit you the most. Each platform is a good side hustle if you don’t mind driving and having random people in your car. On the other hand, if you are an active driver, accept a good majority of rides, and receive good ratings, you can make decent money driving for either platform.
What about my insurance?
Drivers should let their insurance company know if they are driving for either platform. Your insurance rate will go up as a driver on a ridesharing platform.
Even with the added expense in mind, you should still inform your auto insurance company because you may find yourself out of pocket if involved in an accident. In addition, drivers who don’t have the right insurance can receive coverage if involved in an accident while driving on either platform.
Image credit: Peter Berglund