A millennial Uber driver who starts his day at 3:30 a.m. explains how he's made it his second full-time job

• Fred, who is 40, drives nearly 40 hours per week for Uber in addition to his full-time job.
• He said an uptick in drivers has made it more difficult for him to make money.
• He accepts nearly every ride so he can retain the perks of his Uber diamond status.

On a normal weekday, Fred, a 40-year-old Uber driver in Virginia, starts working at 3:30 a.m.

He drives until 6:00 a.m., works from 6:30 a.m. to 4:00 p.m. at his 40-hour-a-week office job, then starts driving again right after work until 7:30 or 8:00 p.m. He calls driving for Uber his second full-time job.

Fred — who asked to use a pseudonym and spoke on condition of anonymity for fear of professional repercussions — said he drives seven hours a day Monday to Thursday, nine hours on Fridays, 12 hours on Saturdays, and between 7 to 12 hours on Sundays.

On Fridays and Saturdays, he said he usually drives overnight — from roughly 7:00 p.m. to 7:00 a.m. — though he takes some breaks to rest. Uber's app requires drivers to take a six-hour break after 12 hours of driving.

"Sundays I try not to work," he told Insider. "But if I have not earned the money we need for the week, I will work approximately four hours usually between 1:00 p.m. and 6:00 p.m."

Fred is one of the millions of Uber and Lyft drivers in the US who, due in part to fluctuating customer demand and tips, can't depend on a consistent paycheck. As a result, many are calculating their earnings, after accounting for vehicle expenses like gas, to ensure driving is worth their time — and tweaking their strategies if necessary.

Fred said he first tried Uber in 2018 but paused his driving between 2019 and 2021. He started driving again midway through 2022 and made about $44,000 driving roughly 3,000 trips, according to a screenshot of an earnings document viewed by Insider. This past September, he earned over $5,000.

In addition to this income, Fred's 9-to-5 job pays him nearly six-figures a year. He said the reason he works so many hours is that a divorce settlement a few years ago left him in a difficult spot financially.

"I am trying to recoup my losses to provide a more comfortable life for myself," he said. "Unfortunately, it takes a few years of dedicated hard work before investments start paying off."

It's become more difficult to make money

After accounting for roughly $200 a week in fuel costs, $100 a month in oil changes, $1,200 every six months for tires, and insurance costs, Fred said driving for Uber brings in about $22 per hour of online time — which includes time spent looking for rides and relocating to different areas to find passengers.

But he said earning money has gotten more difficult over the past year — he estimated he's making between 25% and 30% less now than a year ago. He pointed to two reasons he thinks this is happening.

First, he said an extra fuel charge — which Uber added to riders' bills last year due to rising gas prices — has since been removed, impacting his earnings. Secondly, he thinks there are more drivers now and that added competition has pushed down his driving income.

"I would occasionally go to the airport for a ride and stop in at the Uber and Lyft waiting areas during the pandemic," he said. "Those nights, I would see the same eight to 10 people waiting for rides. Now the lot is full each time I go past with 20 to 40 cars waiting."

In 2022, Uber reported that its number of drivers hit a record-high five million.

Accepting every ride helps him retain his driving status

Fred's main strategy as a driver is accepting nearly every ride — his lifetime acceptance rate is 84%. He said he does this because it gives him the best chance to retain his Uber "diamond status," which offers various benefits — like savings at select gas stations — through a rewards system. Fred said the best perk of his status is the dedicated customer support he receives.

"When I call Uber support my call or messaging is handled promptly and professionally," he said. But if a driver doesn't care about these extra benefits, Fred said he understands why they would reject rides that don't seem profitable.

Despite the long hours, Fred said he enjoys driving for Uber and helping customers get where they need to go.

"I have met some of the most interesting and unsavory people through Uber, and if not for the decrease in pay, I would not have an issue working for them," he said.

While he said he's still working to build up his finances, he's optimistic about the future.

"I have a long road ahead, but it isn't the first time I have had to rebuild," he said.

Are you a gig worker willing to share your story about pay, schedule, and tipping? If so, reach out to this reporter at jzinkula@insider.com.