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How to Save the Most (Financially) From Carpooling

Updated: Feb 1, 2019

This article first appeared on TaxAct and was modified for the UAE.


The average daily work commute for commuters in the UAE is 96 (!) minutes. This is the second longest average commuting time worldwide. On top of that, the cost of fuel, vehicle maintenance, insurance, parking fees, and even toll roads to get to that job can take a big chunk out of your paycheck. There has to be a better way to save your sanity and your pocketbook!

That’s where carpooling comes in. A great way to cut the costs of commuting to work is through sharing a ride with others. In this guide, we will go over the financial benefits of carpooling and how to implement them into your daily life.


BENEFITS OF CARPOOLING


Splitting The Cost Of Commuting

One of the biggest benefits of carpooling is to your wallet. Dividing your commute costs by 50  percent (sharing a ride with just one person) can quickly add up the savings. Think of how much you would save if you had three or four people riding along? If you get enough riders, you could even make money on your commute to work.  


Example:

Let’s say someone has a monthly commuting gas bill of $80, which doesn’t include going anywhere else. Then let’s add on vehicle expenses (maintenance, insurance payments, etc) which comes out to a total of around $480 a month. Over the course of 12 months, that adds up to a whopping $5,760 just to get to and from work!


By carpooling with just one person, those yearly costs are cut in half to around $2,880. The more people in your carpool, the more it can reduce your transportation costs. If you would like to look up what you are paying for commuting check out  The University of California’s Commuter Cost Calculator.


How Carpooling Improves Your Well Being

There are multiple benefits to your health and wellbeing when you carpool. Having people to share the drive home with can decrease the stress of the daily commute and improve your overall health which decreases doctors visits.


First, making personal connections through carpools allow you time to get to know other people while commuting. Studies have shown socialization can help you live longer.

Second, carpooling can help reduce the stress on your mind and body.


Chronic stress can ultimately create heart disease, high blood pressure, or diabetes. Carpooling could save you from future doctors visits or expensive prescriptions.


Time To Be Productive

Time equals money. Imagine what you could do with an extra hour each day. When it’s not your turn to drive, use that time to be productive. Catch up on emails, read a book, make lists, or focusing on a lucrative side project.


Extending Vehicle Longevity

When a group of carpoolers alternate who drives, you obviously use your personal car less often. Driving less helps decrease natural wear and tear on your vehicle and extends its lifespan. Most Americans buy 13 cars in their lifetime, which are likely thousands of dollars each. If you can reduce the number of cars you buy throughout your lifetime, you save big money.


HOW TO FIND RIDES & RIDERS

If you think carpooling is a good fit for you, the next step is to find an existing carpool group or start one of your own. Luckily here in the UAE there is Wheels. Download Wheels to start sharing your taxi, Uber and Careem rides.


Conclusion

Carpooling is a popular way for people to connect and save money on their transportation costs. Incorporating carpooling into your daily life can provide lasting benefits not only to your wallet but to your mind, body, and environment.

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