Many people order rides from Lyft Inc. (NASDAQ: LYFT) when they don’t have access to their own transportation or simply don’t want to be behind the wheel. For example, if you’re heading out for a night on the town with some drinking involved, it’s best to play it safe and order a ride rather than drive under the influence. Though Lyft got itself in some trouble recently, it has been a great platform for this very reason. Not only that, but it has also created more jobs and side hustles for those looking to earn some extra cash.
That being said, tips are a major source of income for Lyft drivers. While they do get paid hourly by the company regardless of whether someone tips, much of their income derives from their passengers’ willingness to tip them.
Here’s how much — if anything — you should tip a Lyft driver.
Should You Tip Your Lyft Drive?
Source: <a href="www.quotecatalog.com/quote-pictures">QC Pictures</a> / Wikimedia Commons
Many people don’t think to tip their drivers. While it’s certainly not required, tipping your driver is a kind way to thank them for their wonderful service. Additionally, 100% of tips go directly to the driver, so you aren’t just throwing your money at a corporation.
How Much Should You Tip Your Lyft Driver?
Source: OlyaSolodenko / iStock via Getty Images
In most cases, tipping your Lyft driver 20% of the full price should be sufficient. However, some people will offer 25% or more for exceptional service. A good rule of thumb is the shorter the drive, the less of a tip you should leave your driver. For example, if your ride only totaled $15, a $3 tip should do the trick.
Again, keep in mind that tipping is not required, and you won’t be penalized for not tipping your driver. That being said, it is a common courtesy to leave a few extra bucks if you can afford it.
How Much Does a Lyft Driver Make Per Year?
Source: Marko Aliaksandr / Shutterstock.com
Depending on the state, as well as the experience level of the driver, some Lyft drivers can make a living off of their income. For example, some states have a higher cost of living or are near major cities, both of which can impact the amount a driver earns. The driver’s hourly salary in the U.S. as a whole is only around $21.24 an hour.
Sponsored: Attention Savvy Investors: Speak to 3 Financial Experts – FREE
Ever wanted an extra set of eyes on an investment you’re considering? Now you can speak with up to 3 financial experts in your area for FREE. By simply
clicking here you can begin to match with financial professionals who can help guide you through the financial decisions you’re making. And the best part? The first conversation with them is free.
Click here to match with up to 3 financial pros who would be excited to help you make financial decisions.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Editors' Picks
