# 2020 Year in Review



## Karen Stein (Nov 5, 2016)

My first look at this year's numbers:

Gross income $30,000
Expenses: $5000
Mileage Deduction: $42000

Looks like a good year. I'll claim only a part of my mileage, just enough to show a profit. That means I'll only pay a small self employment tax -- about $400. Add in the earned income credit, and my net tax will be about $150.

During this year I've been able to pay down my loans. I'm a year ahead in my car payments. 

Goals for 2020? Pay off the credit card($3000) and home improvement loan ($6000). Continue to pay down the remaining $15000 car loan. Replace my homes furnace and build a storage shed as well.


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## Who is John Galt? (Sep 28, 2016)

Karen Stein said:


> Looks like a good year.


Thanks, Karen. You might want to attend to the year in the heading and edit it to 2019, unless of course you are looking back with 20 20 vision. 

.


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## TemptingFate (May 2, 2019)

Premature reviewification.


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## Karen Stein (Nov 5, 2016)

Thanks. Just getting ready for the new quarter and ... Oops! Maybe a mod can edit it


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## Who is John Galt? (Sep 28, 2016)

Karen Stein said:


> Thanks. Just getting ready for the new quarter and ... Oops! Maybe a mod can edit it :smiles:


You should be able to edit it inside two hours. &#128077;

.


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## Fuzzyelvis (Dec 7, 2014)

Karen Stein said:


> My first look at this year's numbers:
> 
> Gross income $30,000
> Expenses: $5000
> ...


Why would you pay off your car before your credit cards? Isn't the car interest rate less?


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## 1.5xorbust (Nov 22, 2017)

So you drove 72,414 miles and netted 34.5 cents per mile. Sounds like you enjoy your hobby.


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## lyft_rat (Jul 1, 2019)

1.5xorbust said:


> So you drove 72,414 miles and netted 34.5 cents per mile. Sounds like you enjoy your hobby.


Why the put down? The OP netted $25k tax free and sometimes that's all that matters.


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## 1.5xorbust (Nov 22, 2017)

lyft_rat said:


> Why the put down? The OP netted $25k tax free and sometimes that's all that matters.


Why do you think it's a put down? I'm just summarizing her review if in fact it actually happened.


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## peteyvavs (Nov 18, 2015)

12,000 Uber
36,000 FX trading
51,000 Option trading
below average year.


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## 1.5xorbust (Nov 22, 2017)

peteyvavs said:


> 12,000 Uber
> 36,000 FX trading
> 51,000 Option trading
> below average year.


A few more Uber trips and you would have made six figures.


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## peteyvavs (Nov 18, 2015)

1.5xorbust said:


> A few more Uber trips and you would have made six figures.


Uber provides me the opportunity to turn pax's into regular cash paying customers, this is the only way to make Uber work for you as a driver.


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## Mtbsrfun (May 25, 2019)

Karen Stein said:


> My first look at this year's numbers:
> 
> Gross income $30,000
> Expenses: $5000
> ...


If you replace your furnace have the best chimney company in the area come out and perform a level two inspection on the furnace flue. Newer furnace units are very high efficiency meaning they exhaust a ton of moisture and wreak havoc on masonary flues; if flue is still ceramic install a new stainless steel liner and you shouldn't have any problems.

Gas liner will fit in an existing oil furnace flue without removal of the ceramic tiles but a new oil liner will need the old ceramic tiles removed from the chimney chase before install begins. This will prevent worsening of existing chimney problems due to the new hvac unit and will mean you only need the unit calibrated once; stainless liners also have a lifetime warranty.


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## 25rides7daysaweek (Nov 20, 2017)

lyft_rat said:


> Why the put down? The OP netted $25k tax free and sometimes that's all that matters.


Some guy got audited with ##s like that
He may have had other issues too but
that's not much $$ for those miles
Surely they have some line you cross before they call bullshit & audit you


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## OldBay (Apr 1, 2019)

25rides7daysaweek said:


> Some guy got audited with ##s like that
> He may have had other issues too but
> that's not much $$ for those miles
> Surely they have some line you cross before they call bullshit & audit you


I think there must have been a typo. Maybe (s)he meant he drove 42K miles and grosssed 30K.

If his mileage decuction really was $42k, that means he drove 72K miles.

If he legit drove 72K miles and only made $30k, he needs to quit NOW. He is either very bad at this or uber is paying .40/mi in his area.


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## SOLA-RAH (Dec 31, 2014)

OldBay said:


> I think there must have been a typo. Maybe (s)he meant he drove 42K miles and grosssed 30K.
> 
> If his mileage decuction really was $42k, that means he drove 72K miles.
> If he legit drove 72K miles and only made $30k, he needs to quit NOW. He is either very bad at this or uber is paying .40/mi in his area.


Typo or not, the $5,000 in expenses is wayyyy off. Even the most economical uber vehicle costs at least ~25¢/mile to run, so the ACTUAL cost of driving 42k miles would be $10,000 minimum.

To be worth your time, the formula should look like this: 
Gross = $X
Miles driven = < X miles (gross >$1 per mile)
Expenses = .25X (and the lower, the better)

Gross of $25k on 20,000 miles with $5k in actual costs is profitable.
Gross of $30k on 42,000 (or 72,000) miles with $10k+ in actual costs is social charity.


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## Karen Stein (Nov 5, 2016)

I posted good numbers.
Some of the confusion may come from definitions; I wasn't following the fine print of the tax code.

"Expenses" described were pretty much car repairs, new tires, oil changes, and office supplies. Gas was not included. Car payments, insurance, and some others were not considered. My return will eliminate most of these.

"Mileage" was door to door, with my home considered the primary place of business. Since I live considerably outside of town, a fair number of the miles are simply dead miles, getting "into the zone." Come tax time, I'll probably claim about two thirds of them.

Pay off the car (two percent) before the credit card (eighteen percent)? Yeah, I get the math. For some reason I'm more worried about my car wearing out before it's paid for than I worry about the interest. Like the old cavalry soldier, my horse comes first. It's an emotional choice, not a logical one. I'm paying down the card, just slower than I might.

One emotional factor is that the card is used daily. Once I pay off the car and house notes, those debts are GONE. I like the image of the mailbox having fewer bills in it.

I'm also putting money aside. While my savings don't come close to matching my loan interest, the simple discipline of deducting the savings FIRST helps me have the discipline to control myself. It's purely in my mind.


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## Mtbsrfun (May 25, 2019)

Karen Stein said:


> I posted good numbers.
> Some of the confusion may come from definitions; I wasn't following the fine print of the tax code.
> 
> "Expenses" described were pretty much car repairs, new tires, oil changes, and office supplies. Gas was not included. Car payments, insurance, and some others were not considered. My return will eliminate most of these.
> ...


You want to pay down debts smallest to largest, debt snowball; read into it.


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## Karen Stein (Nov 5, 2016)

Another detail: I've cast aside the usual car loan payment schedule in favor of "taxing" myself.

My car loan is for five years (or is it six?). Since I drive 75,000 miles a year, I'll put at least 375,000 miles on the car before it's paid for.

How many cars last that long?

I'll be optimistic and bet on my car lasting 250,000 miles. Assume a new car costs $25,000. IF I "tax" myself ten cents a mile, I'll pay the car off just in time to buy a replacement.

So, every week or two I make a payment. Maybe not in the amount of the expected monthly payment, but I pay something. As a result, I don't have an "official" payment due for a year. My loan lets me do this without penalty or fee.

I suppose I could just pay the monthly minimum each month at the last moment -- but would it be wise to have the car wear out while I still owe $12,000 on it? No car, and I won't be making any payments. Thus, the car gets priority.


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## TCar (Aug 4, 2019)

Since you are 1 year ahead on payments, can you contact bank about car and start paying on principal of the loan? That should lower your total lifetime interest payments and the amount you have to pay.

I am getting ready to start paying principal this year after spending the last six months stockpiling some cash into a future maintenance fund and a doNotTouch fund for unexpected costs. 

To be free, become indebted to no one!


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## 7Miles (Dec 17, 2014)

I love Christmas stories.


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## Mtbsrfun (May 25, 2019)

Karen Stein said:


> Another detail: I've cast aside the usual car loan payment schedule in favor of "taxing" myself.
> 
> My car loan is for five years (or is it six?). Since I drive 75,000 miles a year, I'll put at least 375,000 miles on the car before it's paid for.
> 
> ...


Either you're a bot or you copy and pasted yourself for some reason?


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## Karen Stein (Nov 5, 2016)

Mtbsrfun said:


> Either you're a bot or you copy and pasted yourself for some reason?


Edit made. No idea what happened.


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## tohunt4me (Nov 23, 2015)

Karen Stein said:


> My first look at this year's numbers:
> 
> Gross income $30,000
> Expenses: $5000
> ...


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## Mtbsrfun (May 25, 2019)

Karen Stein said:


> Edit made. No idea what happened.


I got proof of your secret &#128526;


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## tohunt4me (Nov 23, 2015)

Karen Stein said:


> Another detail: I've cast aside the usual car loan payment schedule in favor of "taxing" myself.
> 
> My car loan is for five years (or is it six?). Since I drive 75,000 miles a year, I'll put at least 375,000 miles on the car before it's paid for.
> 
> ...


At 75,000 miles a year you should consider engine & transmission replacement Before a new car .
Much cheaper option.


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## 5☆OG (Jun 30, 2019)

ok time to call out this bs subject....stop nit picking threads about profit ,we all know there is very little profit from driving. in some cities like las vegas ,there are an unusual set of kickback opportunitys. with that said stop trying to split the atom when people post these things,do you really think people would be doing this shit if they didnt have to? yeah sure some people do it for extra money. im not one of them i do it to put food on the table and pay bills. im not ashamed of it,its just my situation,which i dont feel compelled to explain. know this,the day I can get something going that is better i will do that,duh. some people come in here and make it sound like people are lazy or uneducated or whatever ,ill put my IQ up against anyone in here,as i said my situation was unfortunate but i do an honest days work for ,well in this case a not so great pay,but for now its carrying me through ,for which i am grateful. at some point in the future i will look back and really apprecite having gone through this,it puts hair on your chest,or for the ladies on your legs  now go have a great fing new year and leave the MIT,atom splitting BS,to the scientists.


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## Bbonez (Aug 10, 2018)

Karen Stein said:


> Replace my homes furnace


I did this in 2014 the new unit and other parts needed were just under $700. Took about 4 hours, the professionals quoted me 5k-6k.


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## OldBay (Apr 1, 2019)

Karen Stein said:


> Another detail: I've cast aside the usual car loan payment schedule in favor of "taxing" myself.
> 
> My car loan is for five years (or is it six?). Since I drive 75,000 miles a year, I'll put at least 375,000 miles on the car before it's paid for.
> 
> ...


Either I'm not understanding something crucial to decision making, or you shouldn't be doing this. You will bankrupt yourself.

5K Expenses that didn't include gas? How much is gas on top of that? And you drove 75K miles? With a new car with a loan?

Some quick math:

75K miles. If its fuel efficient car (30mpg avg), you used 75000 / 30 = 2500 gallons.

If gas is cheap in your area (2.25/g), you spent 2500 * 2.25 = $5625 on gas.

30K gross - 5k expenses - 5625 gas = 19400

Now lets look at depreciation.

25K car. You are putting 75K a year. Lets say you can get four years from this car, 300K miles. That means depreciation is 25/4 = 6250 depreciation/year.

Your net earnings:

30K gross - 5K expenses - 5625gas - 6250 depreciation = $13150

You are driving 75K miles (which means you are doing this FT+) and you only netted 13150.

I'm not trying to rain on your parade, just trying to help. If the above is true you should quit rideshare asap and get ANY other job.


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## Karen Stein (Nov 5, 2016)

Math is all fine, but the first thing I learned when I became self employed was that accounting is to math what Picasso is to fine art.

All I know is that I spent a lifetime working on the clock, paying rent, and chasing poverty. Three years of rideshare and I'm driving a new car, fixing up a paid-for house, and getting out of debt.

Considering my work was in a licensed, skilled trade as well as four years in the town's best paying industry, that's saying something. I'm taking this week off because -- I CAN.


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## Johnny Mnemonic (Sep 24, 2019)

Karen Stein said:


> During this year I've been able to pay down my loans. I'm a year ahead in my car payments.





Karen Stein said:


> Once I pay off the car and house notes, those debts are GONE. I like the image of the mailbox having fewer bills in it.


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## Alexxx_Uber (Sep 3, 2018)

Driving 72k miles for 30k gross doesn’t seem realistic.
Last year I grossed 25k on uber and lyft and my online miles were also 25k, given by uber and lyft summary sheets. FYI I’m PT driver. Maybe it differs for the FT drivers ....


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## Jctbay (Dec 8, 2018)

peteyvavs said:


> 12,000 Uber
> 36,000 FX trading
> 51,000 Option trading
> below average year.


Get back on your meds, you dummy.
37k military Retirement 
51k VA Disability 
25k Uber
1.8 million Bitcoin
2.8k Letgo
$850 Panhandling 
Really bad year, may have to take a class


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## sellkatsell44 (Oct 25, 2015)

peteyvavs said:


> 12,000 Uber
> 36,000 FX trading
> 51,000 Option trading
> below average year.


What happened to the professor salary?

@Karen Stein congrats, looks like you made rideshare work for you and sounds like you're happy.

that's really all that matters (besides your health).


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## tohunt4me (Nov 23, 2015)

Jctbay said:


> Get back on your meds, you dummy.
> 37k military Retirement
> 51k VA Disability
> 25k Uber
> ...


PAN HANDLEING should have Performed Better !

Next time take a Dog !

People will feel sorry for the dog
If not You.









There are 50 panhandlers on every block on Bourbon Street.

( i am saving up for a dog that looks cute wearing a bandanna)


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## peteyvavs (Nov 18, 2015)

sellkatsell44 said:


> What happened to the professor salary?
> 
> @Karen Stein congrats, looks like you made rideshare work for you and sounds like you're happy.
> 
> that's really all that matters (besides your health).


I don't include the money that pays my bills.


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## Mtbsrfun (May 25, 2019)

Bbonez said:


> I did this in 2014 the new unit and other parts needed were just under $700. Took about 4 hours, the professionals quoted me 5k-6k.


Unless you're a certified gas/oil pipe fitter then it is illegal for you to install your own furnace in most of the United States. If you read my post you'll see that there might be a reason they quoted you so high. I've worked in a number of homes where the homeowner took initiative; one of them almost killed his whole family because his oil flue was cracked and exhausting into his first floor, filling his whole house with CO2 everytime the boiler kicked on.
The homeowner had hired a crappy chimney company that missed it and we ran a camera and caught the damage, a completely collapsed flue backpuffing into his house.

Please do not upgrade your furnace to a high efficiency unit without running a level two chimney inspection on said furnace exhaust flue first.


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## Bbonez (Aug 10, 2018)

Mtbsrfun said:


> Unless you're a certified gas/oil pipe fitter then it is illegal for you to install your own furnace in most of the United States.


MOST of the United States? I did a quick Google search and couldn't find any laws against it. One HVAC company (obviously wanted you to hire them) said it MIGHT be illegal to hook up the gas line yourself. But the gas company should send someone out to do that if it's a concern for you at the end. The furnace installation was easy for me and I would recommend anyone with a medium amount of DIY knowledge do it themselves. It's not much more difficult than installing a new water heater.



Mtbsrfun said:


> I've worked in a number of homes where the homeowner took initiative; one of them almost killed his whole family


And yet nobody got hurt.



Mtbsrfun said:


> filling his whole house with CO2 everytime the boiler kicked on


Co2 detectors are cheap, mine have never gone off and I keep one about 10 feet from the furnace.


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## Shynrix (Aug 15, 2014)

I don't understand this thread~ it looks like the worst money management I've seen on here but not everyone is saying it. Choosing to pay off low interest debts before high? Driving 72k miles and only grossing 30k? Paying frequently on car loan? Like, that's why you're a year ahead, it just means you've paid the interest for those months. Which you might not even have had to pay. At 18% apt on the 3000$ cc bill by the time you pay off your six year car loan you will pay another entire $3000 in just interest (unless I'm not understanding something)

And putting money aside for saving? Aka getting pennies of interest on what you have while paying dollars of interest on what you owe?

This entire story is absurdity. Someone besides OP tell me I'm wrong. And OP, check yourself into an asylum because it seems like you're trying to do the worst job possible


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## 5☆OG (Jun 30, 2019)

Shynrix said:


> I don't understand this thread~ it looks like the worst money management I've seen on here but not everyone is saying it. Choosing to pay off low interest debts before high? Driving 72k miles and only grossing 30k? Paying frequently on car loan? Like, that's why you're a year ahead, it just means you've paid the interest for those months. Which you might not even have had to pay. At 18% apt on the 3000$ cc bill by the time you pay off your six year car loan you will pay another entire $3000 in just interest (unless I'm not understanding something)
> 
> And putting money aside for saving? Aka getting pennies of interest on what you have while paying dollars of interest on what you owe?
> 
> This entire story is absurdity. Someone besides OP tell me I'm wrong. And OP, check yourself into an asylum because it seems like you're trying to do the worst job possible


Get a life dude lol


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## touberornottouber (Aug 12, 2016)

You plan on driving 80,000 miles in 2020??

My goals are to continue getting my degree, get my certifications ASAP, get a real career started and only do rideshare as little as possible. Wish I would have did this 10+ years ago.


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## Alexxx_Uber (Sep 3, 2018)

I’m actually doing rideshare as side gig as well. I have a pretty nice paying full time job. 
I don’t know what is AB5effect on people on me in CA? Could we still do Uber as side gig if AB5 is effective?


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