The Bureau of Labor Statistics recently revised July and August job reports downward by 60,000 jobs, prompting some workers to explore side hustles using their vehicles.
Before starting a car-based side gig, calculate your expenses carefully. Fuel costs and maintenance are the primary drains on profits. NerdWallet found that drivers spend 11.7 cents per mile on vehicle repairs. Electric vehicles skip oil changes but wear tires faster due to their weight and instant torque. Hybrids still need engine maintenance, though regenerative braking extends brake life.
Self-employment income is taxable even below $400. If net earnings hit $400 or more, you owe self-employment tax of 15.3% for Social Security and Medicare. You can reduce taxable income by deducting business mileage. For July through December 2026, the IRS allows 76 cents per business mile, up from 72.5 cents in the first half of 2026. Apps like MileIQ track business trips for tax records.
Contact your insurance provider before starting. Using your car for business may raise premiums or require additional coverage like a rideshare endorsement, business-use coverage, or commercial auto insurance. Failing to disclose business use could leave you uninsured during an accident while working.
Several car-based side hustles create less wear and tear than rideshare driving. Peer-to-peer car sharing through Turo or Getaround lets you set custom mileage limits. Vehicle advertising platforms like Wrapify or Carvertise pay for commuting with commercial decals. Pet transport services to grooming or vet appointments often pay more per trip than rideshare. Localized errands in tight radius minimize fuel and wear. In larger cities, talent agencies cast vehicles for movies, TV, and ads. Airport shuttle services are another option.
AAA estimates that owning and operating a new vehicle costs an average of $12,863 annually, or about $1,072 per month, when driven 15,000 miles annually over five years. This includes depreciation, financing, fuel, insurance, maintenance and fees. Standard Uber or Lyft rideshare rapidly multiplies expenses and rarely delivers the best net return.