I’ve been meaning to write this post for a while, because I keep seeing this trend among my clients. People are spending HUNDREDS, and even over a thousand dollars, EACH month on ride share. Ride sharing is super convenient and a great safety measure if you intend to have an adult beverage, but seriously people…
First, let’s talk about ride share DON’Ts from a financial perspective:
- Don’t live someplace where the only way you can get to work/school is by ride share
- Don’t rely on ride share to get your child to and from school/daycare
- Don’t get lazy and take ride share EVERYWHERE instead of mass transit
- Don’t think you’re saving the environment by taking ride-share instead of owning a car
That leaves me with the DOs, which are basically use rides shares when you intend to drink and OCCASIONALLY if driving or mass transit doesn’t work for you. Did everyone read the word occasionally?
Let’s do some math. If you take ride-share to and from work, you’re talking about $16-20/day, if you’re lucky, but it could be more. If you then take a few ride-shares over the weekend or maybe you take a ride-share from work to daycare and then home. Yep, I know you’re out there, and I know you do that. Why? Because it's easy. I get it. You also don’t want to pay a fine at daycare for being a nano-second late, but here’s the thing, this all adds up to over $400/month. Sometimes WELL over $400/month.
Why am I so fixated on “over $400/month?” Because at that point, consider owning a car. I know it feels good to say you don’t own a car, but honestly, you’re overspending on ride-shares. More math:
Slightly used, good quality, Japanese car: $18k
Keep it for: 10 years
Insurance: $900/year ($9000 over 10 years)
Gas: $80/month (2 tanks) or ($9600 for 10 yrs)
Maintenance: $500/year ($5k for 10 years)
Total cost of owning a car: $346/month for 10 yrs
These are just estimates. Obviously, your situation may differ, but you get the point. If you really want to do something good for the environment AND your wallet, take public transportation, walk, use an electric scooter or bikeshare. The bottom line is you should not consider ride share your main source of transportation for work, school or childcare. It’s too frequent. For your wallet, ride share should be seen as an occasional convenience.