Older Americans explain how they're spending their retirements working in the gig economy as Uber and Lyft drivers to make ends meet

• Millions of retired Americans are now working in the gig economy.
• Some of these semi-retired workers are gig drivers for companies like Uber and DoorDash.
• Six gig drivers shared why they're driving during retirement and their strategies for making money.

Millions of boomers retired during the pandemic, but some didn't entirely leave the workforce — they just joined the gig economy.

As many as seven million gig workers are missing from official government employment figures, according to a new paper by researchers from Hebrew University and the Federal Reserve Bank of Boston. Over half of the missing gig workers were aged 60 or older, and over 40% of them described themselves as "retired." The researchers analyzed the results of the Survey of Informal Work Participation from 2015 to 2022, as well as government employment figures from the Current Population Survey.

While millions of retirement-age Americans appeared to leave the workforce during the pandemic — due to COVID concerns and the wealth gains from rising home and stock values — the paper's findings suggest that many of them didn't truly leave for good.

When contacted for government employment surveys, the researchers said that some older gig workers, particularly those who retired from past careers, might have considered their new gigs to be more of a hobby than a traditional job. The paper also speculated that individuals with disabilities, who have faced barriers to certain types of jobs, might not have viewed gig work as formal employment.

Gig workers make hundreds to thousands of dollars a month as ride-hailing or delivery drivers, babysitters, online goods resellers, Airbnb hosts, and freelance writers and editors, to name a few. As living expenses have risen over the past few years, older Americans, in particular, have joined the gig economy to supplement their Social Security income, to live a more comfortable life, or to take up a new hobby. Over one-quarter of Americans aged 50 and older are doing freelance or gig work, according to an AARP survey conducted last fall of 2,000 working US adults over the age of 40.

Many of these semi-retired workers are gig drivers for companies like Uber and DoorDash. Ride-hailing and delivery drivers are the most popular forms of gig employment, accounting for over 20% of gig workers, according to research by gig economy experts Robert A. Peterson, a professor at The University of Texas at Austin, and John Fleming, who wrote the book "Ultimate Gig."

Still, some experts including Charles Rosenblatt, president of payments platform PayQuicker, which processes payments for gig workers, say there may be a shift away from gig jobs with built-in cost structures like ridesharing to more tech-driven, affiliate marketing roles.

Business Insider previously spoke with six gig drivers about why they're driving during their retirement and the strategies they're using to make money. Some spoke on the condition of anonymity for fear of professional repercussions, but Business Insider has verified their earnings.

Jeff Hoenig, mid-60s

Jeff Hoenig is a "semi-retired" part-time Uber and Lyft driver in his mid-60s and based in Myrtle Beach, South Carolina.

The former business owner said he'd completed roughly 12,000 rides since he began driving in 2018 and usually drives about 36 hours a week to supplement his income.

Last year, he earned about $37,000 driving for Uber before expenses like gas. After accounting for those costs, he calculated that his Uber and Lyft earnings were about $23 an hour. He added that roughly 18% of his income comes from tips.

"Some drivers think that Uber and Lyft owe them a living," he said. "This is part-time work that some people do full-time, not the other way around."

Wesley Johnson, mid-60s

Wesley Johnson, a San Francisco Uber driver in his mid-60s, said that he's semi-retired and still drives roughly 40 hours a week for Uber for additional income. Last year, he brought in over $50,000.

But these earnings didn't account for his gas, insurance, and vehicle maintenance expenses, which lower his take-home profits.

These extra expenses are why Johnson has been driving an electric vehicle through an Uber partnership with Hertz. Johnson said he thinks driving an EV will save him money on gas and maintenance expenses and make his gig work more profitable in the long run.

Omar Ford, late 40s

Omar Ford, a part-time Uber Eats and DoorDash driver in his late 40s, said that he moved to South Florida after retiring from a career in New York City. In 2022, he made roughly 1,800 deliveries and earned nearly $20,000 in take-home pay from Uber Eats.

He said his typical weekday starts at 4 a.m., when he turns on his Uber Eats and DoorDash apps. He said he has a daily goal of $100, or 10 deliveries, whichever comes first, and that he only accepts orders with high up-front tips that pay a minimum of $1 per mile driven.

Ford said he wears safety gear and a body camera while making deliveries because he's encountered hostile customers in the past — and has concerns about his safety. However, he said he's continued to drive because it provides him with additional income to supplement his pension and disability benefits — and allows him to interact with people in small doses.

"I struggle with social anxiety and prefer my solitude, but this work provides me a way to interact on my terms," he said.

Germaine, late 70s

Germaine, 77, said that she's losing money as a rideshare driver. She has to drive six days a week, four to six hours a day, to essentially break even after accounting for gas and maintenance costs.

Germaine worked at a hospitality company until 2019, and while she's been receiving Social Security, she said it's not enough for her to live comfortably. As her pay-per-ride declines and the cost of maintenance skyrockets, she's been forced to find other types of gig work. These include managing her own Etsy store and offering translation services in her area of Florida.

"I would like to have, if I can dream, a source of income, not necessarily millions, but something that would complement my Social Security benefits so that I can live easily without having to worry," said Germaine, who asked to use her middle name for fear of professional repercussions.

Bill, early 70s

Bill, a part-time Uber driver in his early 70s, began driving for extra income after retiring six years ago. Last year, the North Carolina resident earned over $28,000 across roughly 1,500 Uber trips.

"I drive to get out and don't need the money. I love it," said Bill, who asked to use a pseudonym and spoke on condition of anonymity for fear of professional repercussions.

However, he said he's driving less and accepting fewer rides than he used to because an uptick in the number of drivers in his area has made earning money more difficult. Throughout his years driving for Uber, he's accepted less than 10% of his rides and canceled over 30% of them, according to a screenshot of his driver app viewed by BI, to ensure he's getting rides that are worth his time.

But this strategy comes with some risks. Uber lists refusing or canceling a trip based on the driver's destination as something that could cause a driver to lose access to their account.

Bill said he plans to continue relying on his strategies and only driving when he thinks it is profitable. He said it helps that he's not reliant on Uber income.

Rich, early 70s

Rich, an Arizona Uber driver in his early 70s, considers himself retired. But he said whenever he's not traveling, he's usually driving regularly. Last year, he made over $80,000 driving for Uber before taxes and driving expenses.

But it takes a lot of hours to earn this income. He said he usually drives between 40 and 55 hours a week and that it's not uncommon for him to start working as early as 4:30 a.m.

"After I have my coffee and watch a little news, I start driving," said Rich, who asked to use a pseudonym and spoke on condition of anonymity for fear of professional repercussions.

Rich said it's comforting that he has his retirement savings and Social Security income to fall back on — and that he's not driving to keep a roof over his head.

"I don't make the money that I did previously but I do OK, not great but OK," he said. "For me, it's all play money."

Are you a rideshare or delivery driver who still drives in your retirement? Contact these reporters at jzinkula@businessinsider.com and nsheidlower@businessinsider.com.