however, there are however places where things are not how they were just two short years ago .
Uber drivers in some areas are inactive struggling to make ends meet and need help.
If you ’ re one of those drivers, then take a look at some data and what unemployment options there are for you .
Are Uber Drivers Eligible for Unemployment ?
In normal circumstances, Uber drivers are not eligible for unemployment benefits .
As a category of independent worker called an mugwump contractor, Uber drivers assume the responsibilities of use .
In other words, Uber drivers normally determine when they are or are not employed, meaning they don ’ thymine qualify for normal unemployment benefits .
however, normal circumstances seaport ’ t in truth been the event for a class and a half now .
The COVID-19 pandemic caused a lot of disturbance in the economy, specially with ridesharing .
To alleviate these troubles, the government stepped in to provide relief to all sorts of folks put out of make, including freelancer contractors like Uber drivers .
While these pandemic unemployment aid measures stay in position, an Uber driver can claim unemployment benefits as a gig proletarian .
Can Uber Drivers Get EIDL Grants ?
The Emergency Disaster Income Loan ( EIDL ) is a Small Business Administration ( SBA ) loan program designed to help modest businesses and mugwump contractors during times of catastrophe .
In 2020, with the COVID-19 pandemic, this broadcast was expanded to assist independent contractors such as rideshare drivers .
access to this program would allow these drivers to receive care outside of the regular unemployment benefits .
For most drivers, this would be a stipend of $ 1000 .
One of the chief changes with this program over the last class is the requirement to be in a low-income area .
You besides have to be able to prove that your income dropped by 30 % over any eight-week section of clock time .
While the first separate might be crafty for some drivers, most rideshare drivers can find eight weeks where their income dropped 30 % .
To apply for these grants, you have to go to the SBA.gov web site and submit your information there .
The web site has tools that will help you determine if you qualify for an EIDL award and what you have to do to apply .
Can Uber Drivers Apply for PPP ?
The Paycheck Protection Program ( PPP ) is a excusable federal loan that small businesses and independent contractors can use to pay their occupation expenses .
This program requires that the person taking the lend testify that the money was being spent on expenses, such as payroll for employees, armory, or early refer costs .
Uber drivers can apply for a federal loan through this program .
In sum, there will be two applications throughout the work .
One application will be for the lend itself, while the second will be for lend forgiveness at some degree .
The union and you get to this program is suitable for up to ten weeks of income .
You ’ ll put in what is called a Schedule C form to determine your income during the previous period .
This form helps determine what your maximum lend sum is .
Can Uber Drivers Apply for SBA Loans ?
possibly options available now for Uber drivers to use for employment occur from legislation made during the COVID-19 pandemic .
The EIDL and PPP options the drivers have to take advantage of existing alone because of the CARES Act .
In the previous year, drivers were able to apply for aid and loans through federal governments .
Throughout 2021, funding for these programs has begun to taper off as the economy returns to something more like normal .
The Controversy Surrounding Uber and Unemployment
Over the years, there ’ south been a lot of conversation around Uber ’ s kinship with its contractors .
Ridesharing companies like Uber and Lyft have fought for years to maintain the mugwump contractor condition for their drivers .
This status for their drivers helps reduce many command processing overhead time costs for the respective companies, a net benefit for them .
however, people have been questioning whether this condition is beneficial or harmful for rideshare drivers .
In times such as the late pandemic, the company has no legal necessity to financially help their drivers when gig exploit dries up .
This resulted in ridesharing companies being the most normally cited employers for people applying for EIDL loans in 2020.
It hasn ’ metric ton been arrant with the EIDL loans, though .
many drivers during the 2020 pandemic applied for these loans, but not everybody received them ascribable to their employment status .
It ’ mho hard to prove that you ’ re not actively taking workplace when you ’ re normally an independent contractor .
Because unemployment resources need to go to those in motivation, federal and state agencies are hesitant to provide these benefits to people who might still be working .
Spokespeople for the rage companies came out survive class to describe their programs to help their workers .
Combined, ridesharing companies stopping point year provided millions of dollars to their drivers to help them get through the pandemic .
however, comparing that to the large sums of money that the government had to provide pales in comparison .
ultimately, he remains to be seen if the freelancer contractor condition for ridesharing drivers is a well thing or not .
While there are benefits to highly elective course employment condition, we ’ ve seen recently that it can cause problems when the party has little rationality to support its workers .
Applying for Financial Assistance as an Uber Driver
Applying for aid through either the EIDL or PPP is an slowly process .
however, your application will go to different places, depending on which program you work through .
here are the steps to take when applying for an EIDL grant :
- Go to the SBA website: All EIDL grants are processed on the SBA website, which will be the portal you work with.
- Check your qualification status: While applying for an EIDL grant, you will be asked about your area’s income, personal losses in revenue, and so forth.
- Follow the directions on the website: Submit the information and documentation asked of you to have your loan processed as quickly as possible.
once the application is submitted, you ’ ll expect for it to process .
If approved, the grant will be sent to your bank report for you to use during an emergency .
interim, the steps you have to take when applying through the PPP are different :
- Choose a lender: The PPP works through independent lenders, so find a lender near you that is partnered with this program.
- Fill out the application completely and honestly: Because you are the one supplying your income and expense forms, honesty is the easiest way to get what you rightfully need.
- Bring documentation: The lender will want proof of identity and income, so bring copies of what the lender needs to process the loan application.
- Show meticulous accounting: Having all the income data clear and concise will make it easy for the loan to be processed.
From there, the lender will process your lend application to see if you qualify for the total you request .
work with the lender as issues come up to have your loanword handled quickly .
Getting help : Does Uber Have an Unemployment Phone Number ?
Uber does not have a phone pipeline dedicated to unemployment since the aid is done through away lenders and the federal government .
Uber does have a general support line for their drivers that have questions about the procedure, though .
frequently Asked Questions
Because of late changes in its relationship with unemployment, many of Uber ’ s drivers have had questions over the last couple of years .
here are some of the common questions we have found out there about Uber and unemployment :
Does Money Earned from Uber Count as Income?
You earn as an Uber driver counts as income .
deoxyadenosine monophosphate long as you make more than $ 400 while driving for Uber, you ’ ll have to report that ampere income to the IRS and your local express agencies .
This income is treated as normal earned income and so would be taxed appropriately .
As an freelancer contractor, you besides have to pay a Social Security and self-employment tax .
Can I Do Uber and Still Collect Unemployment?
While collecting unemployment payments, you ’ re not allowed to have an gain income that goes unreported .
You can be penalized if you drive for Uber while still collecting income if the fund agency finds out .
It ’ mho better to be honest about your unemployment claim to avoid any fines or jail fourth dimension .
Does Uber Report Income to Unemployment?
Because Uber drivers are mugwump contractors, it is up to the drivers to report their income for taxes and unemployment .
Uber itself does not report your earnings or parturiency condition to politics agencies .
The last few years have been strange and hard for Uber and Lyft drivers.
For the first time, these rideshare drivers could apply for unemployment aid thanks to fresh legislation .
however, this legislation is quickly winding down .
If you still need aid due to the pandemic, reach out to a lender or the SBA to see if you can still qualify for aid .