# Booking fee now market fee charged directly to pax - calif



## SHalester (Aug 25, 2019)

Until January 2020 in California, the Booking Fee was a flat fee charged to the rider on your behalf that Uber collected from you. As of January 2020, Uber charges a separate fee (called the Marketplace Fee) to riders directly, to connect parties within the marketplace. This fee is separate from the trip fare or any other rider payment to the driver, and does not impact the amount you take home on each trip.


----------



## Uber's Guber (Oct 22, 2017)

SHalester said:


> This fee is separate from the trip fare or any other rider payment to the driver, and does not impact the amount you take home on each trip.


Which is kinda like saying your employee wages are not impacted by higher fees & taxes imposed upon your employer by the government.


----------



## Friendly Jack (Nov 17, 2015)

It should be interesting to see how they handle this Marketplace Fee as regards year end 1099-K reporting. There will still be only one financial transaction for the rider, I assume, so I don't think that Uber can separate this Marketplace Fee from the total 1099-K amount (by claiming it is billed direct to the rider) if a 1099-K is still issued to the drivers. Perhaps Cali drivers will now only receive a 1099-misc?


----------



## peteyvavs (Nov 18, 2015)

They need to apply this nation wide.


----------



## Friendly Jack (Nov 17, 2015)

SHalester said:


> Until January 2020 in California, the Booking Fee was a flat fee charged to the rider on your behalf that Uber collected from you. As of January 2020, Uber charges a separate fee (called the Marketplace Fee) to riders directly, to connect parties within the marketplace. This fee is separate from the trip fare or any other rider payment to the driver, and does not impact the amount you take home on each trip.


I don't see how anything has changed other than Uber calling it "Marketing Fee" instead of "Booking Fee" and claiming that they now charge the rider directly, which they had always done. Right? Or am I missing something?


----------



## Roadmasta (Aug 4, 2017)

Booking fee, convenience fee, marketing fee and any other fee unless fees collected by the government is a just bunch of BS.


----------



## Daisey77 (Jan 13, 2016)

Is it a variable fee or a set fee?


----------



## Atom guy (Jul 27, 2016)

This is just a roundabout way to keep upfront pricing, but now not pretending it is part of the fare. So I assume that drivers will no longer see this amount on their 1099s and no longer be able to deduct it as a business expense.


----------



## Daisey77 (Jan 13, 2016)

Atom guy said:


> This is just a roundabout way to keep upfront pricing, but now not pretending it is part of the fare. So I assume that drivers will no longer see this amount on their 1099s and no longer be able to deduct it as a business expense.


Which is fine because we won't have to claim it either. It was a wash to begin with if you claim it and then deduct it. How does the booking fee effect of front pricing?


----------



## Nats121 (Jul 19, 2017)

Daisey77 said:


> Which is fine because we won't have to claim it either. It was a wash to begin with if you claim it and then deduct it. How does the booking fee effect of front pricing?


If Uber wants to charge the pax higher prices, they have two choices... raise the fare and keep 25% of the increase or raise the "marketplace fee" and keep 100%.

Because most rides are under 5 miles, raising the marketplace fee would benefit Uber more than raising the fares.

Which do you suppose Uber would choose?


----------



## Daisey77 (Jan 13, 2016)

Nats121 said:


> If Uber wants to charge the pax higher prices, they have two choices... raise the fare and keep 25% of the increase or raise the "marketplace fee" and keep 100%.
> 
> Because most rides are under 5 miles, raising the marketplace fee would benefit Uber more than raising the fares.
> 
> Which do you suppose Uber would choose?


Right but upfront pricing is upfront pricing. They give a quote to the passenger before the ride. So no matter what they raised how will that affect giving the passenger a price before the ride. they're going to give them a price no matter what. Regardless of what method they use to come up with their final charge, it doesn't affect whether it's up front pricing or back to the Old Skool minutes to miles


----------



## HowardL168 (Aug 17, 2018)

Daisey77 said:


> Right but upfront pricing is upfront pricing. They give a quote to the passenger before the ride. So no matter what they raised how will that affect giving the passenger a price before the ride. they're going to give them a price no matter what. Regardless of what method they use to come up with their final charge, it doesn't affect whether it's up front pricing or back to the Old Skool minutes to miles


From what I understand, they're giving the passengers an upfront "range" instead of a fixed price. And, as for the pricing or pay changes, as far as I can see from my trip details yesterday (as I'm just a part time driver), our pay (here in LA) is the same (.60 per mile, .21 per minute). The only thing that seems variable is "UBER"'s feee. The booking fee appears to be fixed at $2.80 or $2.90, but the "fees" seems to change perhaps to get their commission to "about " 25% of the total....but nothing appears to be an exact 75/25 split.


----------



## SHalester (Aug 25, 2019)

HowardL168 said:


> they're giving the passengers an upfront "range" instead of a fixed price


for me the new fare change has NOT been rolled out. No 'marketing fee' and via the pax app still upfront fee, no range as of today.


----------



## Uber4Bread (Jan 11, 2020)

Uber “ you pay a service to uber for using for using our technology platform. We are now capping that fee at 25% of the trip fare on UberX trips*

not true!! Plenty of rides to prove this isn’t happening. Check your rides and make a dispute for fare review - they are cheating us


----------



## SHalester (Aug 25, 2019)

Uber4Bread said:


> Check your rides and make a dispute for fare review


as stated it hasn't been fully (or at all) rolled out.


----------



## Uber4Bread (Jan 11, 2020)

Ok, thanks. They sure acted like they were rolling it out by revealing full ride details, changing to the multiplier surge on the driver app, but I guess that doesn’t mean they are rolling it out, Not cool by uber and they know it would get people like my DA to work in the slow weeks in Jan


----------



## SHalester (Aug 25, 2019)

Blog from 1/8 said “this week” whatever that means. So far not eff here.


----------

