Third-party food delivery services have given drivers looking for a side hustle an excellent opportunity for work.
When you pick up a side gig with a company like Grubhub, you can work as much or as little as you want.
Yet, as appealing as that might seem, it begs the question-what does Grubhub pay drivers?
Is food delivery through Grubhub a worthwhile side gig or not worth your time at all?
If you have a lot of questions about how Grubhub’s pay model works, you’re in the right place.
The following guide will outline how Grubhub pays its drivers and what you can do to maximize your earnings.
Table Of Contents
How Much Does GrubHub Pay Drivers?
Grubhub doesn’t provide an hourly base pay.
Instead, the company pays delivery drivers for mileage and time on the road.
Grubhub also offers bonus rates and provides special offers.
As of 2023, Grubhub’s approximate base rates are as follows:
- 22 cents per mile driven for deliveries
- 13 cents per minute on the road
Two important things to note about Grubhub’s base rates:
- Miles driven include picking up the food and returning to the restaurant.
- Minutes on the road also include time spent waiting at the restaurant.
In addition to Grubhub’s pay, drivers also get to keep 100% of any customer tips they receive.
Any additional delivery fees go directly to Grubhub for overhead.
What drivers like most about Grubhub is that there’s no limit to how much you can earn.
You can set your own hours, effectively controlling how much you work each day.
Then, choose as many jobs as you want.
How Much Does GrubHub Pay Hourly?
Grubhub doesn’t pay its workers an hourly rate.
Instead, drivers get paid per delivery based on how far they have to drive and how much time they spend delivering the order.
However, actual hourly wages range from $8.65 to $31.35.
These rates are based on tips and Grubhub’s base pay.
In most areas, you’ll make above minimum wage.
What you earn will depend on how much you hustle, the demand, and the clientele in your area.
How Much Does GrubHub Pay Weekly?
Since Grubhub drivers make their own schedules, Grubhub doesn’t provide a guaranteed weekly salary.
Instead, drivers receive pay based on services rendered.
The amount Grubhub pays you will cover all of your mileage, time, and tips.
If you want to cash out your pay before payday, you can use Grubhub’s Instant Cash Out feature to get your earnings sooner.
The Grubhub Pay Model
The Grubhub pay model consists of a few different factors.
Specifically, four things contribute to your Grubhub pay:
- Miles driven
- Time on the road
- Customer tips
- Special offers
Mileage includes the distance you travel for each order.
This includes mileage to the restaurant from your home and from the delivery location back to the restaurant.
Time on the road accounts for the total minutes you spend picking up and delivering an order.
This includes time spent waiting at the restaurant for an order and the time you spend driving to and from each location.
Tips come directly from customers and make up the bulk of a driver’s pay.
Drivers get to keep 100% of their tips.
Special offers consist of pay bonuses, and rewards drivers earn through Grubhub and its affiliates.
Some offers will include bonus pay.
Other offers typically come in the form of special savings or cash back offers for certain services.
You can read about some of the Driver Rewards on Grubhub’s website.
Grubhub’s pay model allows independent contractors to earn as much or as little as they want.
However, you’ll need to hustle to make the hourly rates mentioned above.
Grubhub gives its drivers two options for getting paid.
Both options require a confirmed bank account to use.
The first option is to have your weekly earnings directly deposited to your bank each Thursday.
Grubhub will calculate your total wages for the previous week, then deposit them for you.
The second option is to use Grubhub’s Instant Cash Out feature.
This feature allows you to cash out up to $500 daily using the app.
Each time you cash out, Grubhub will charge a $.50 fee.
You can locate Instant Cash Out in the earnings tab in your Grubhub app.
In addition, if you connect your Grubhub account to a Chase checking account, Grubhub will waive the $.50 fee.
What Does Delivery Pay Really Mean?
Grubhub’s delivery pay is the base rate for mileage and minutes, plus tips.
It doesn’t include delivery fees or any special promotions.
How Does Grubhub Calculate Base Pay and Delivery Fee?
Instead of paying drivers a flat delivery rate, Grubhub bases pay on time and distance.
Drivers receive approximately 13 cents per minute and 22 cents per mile.
Then, the driver will add their tip to that amount to find their hourly rate.
Here’s an example calculation:
- 30 minutes of driving + 5 minutes waiting at the restaurant = $6.50
- 10 miles roundtrip = $2.20
- Drive tip = $5
In total, this 30-minute order will net the driver $13.70.
If the driver keeps up that pace, they’ll be on track to make $26 per hour.
Delivery fees are a separate charge on a customer’s order.
Restaurant partners and participating stores set their delivery fees.
Some businesses offer free delivery, while others might charge up to $10.
These fees cover the restaurants’ costs of partnering with Grubhub.
The driver won’t see any of these fees, as they go directly to Grubhub or the restaurant.
Does Grubhub Pay for Gas?
As of 2023, Grubhub doesn’t compensate drivers for fuel costs.
Instead, they factor that cost in when calculating your mileage rate.
Pros and Cons of Grubhub Pay
All third-party food delivery driver services have pros and cons for workers.
Grubhub is no exception.
Take a look at this breakdown of Grubhub’s pros and cons.
Pros of Grubhub Pay
Grubhub provides an excellent opportunity for a potentially lucrative side gig.
The pros don’t end there, though.
Here are a few other positive aspects of Grubhub’s pay.
- Make your own schedule
- Schedule blocks ahead of time
- No limits to how much you can earn
- Daily or weekly payout options
- Special offers and bonuses to increase pay
- Keep 100% of your tips
Cons of Grubhub Pay
As with any delivery service job, Grubhub’s pay model has its downsides, too.
- No base salary means your income is based on availability
- Mileage pay might not be enough to cover wear and tear or fuel
- Your car insurance could go up
- Grubhub doesn’t calculate or deduct taxes
- Added driving could limit the life of your vehicle
- Best opportunities come with the Driver Recognition Program
Pro Tips To Maximize Grubhub Pay
On the surface, being a Grubhub delivery driver might seem like an easy side gig.
However, being your own boss requires a lot of discipline to make the most money possible.
Grubhub drivers have a lot of pro tips that can help maximize earnings.
Here are a few you should consider.
Track Your Expenses
Although tracking your expenses won’t necessarily increase your pay, it can still affect your income.
By closely monitoring your fuel, mileage, and other costs, you’ll know how much you need to work to reach your earning goals.
Set Aside for Taxes
Taxes tend to be the bane of an independent contractor’s existence.
However, setting aside money each pay period to cover your taxes will make it easier to see a clear picture of your income.
Therefore, your budget should include living expenses + taxes each month.
Then, you can work toward your earnings goals based on what’s left over.
Choose Unfavorable Shifts
A surefire way to bring in better tips and more money is to work unfavorable shifts.
Take the rainy and frigid blocks because those are when people tend to order in and tip more.
It might not be fun dealing with rain or icy temps, but it’ll be worth it.
Qualify for Driver Recognition
Grubhub’s Driver Recognition Program is a stats-based program that gives specific drivers preference for high-paying time blocks.
Your attendance, order acceptance rate, and drop rate will each factor into whether you get access to early block pickups or catering orders.
So focus on getting your stats up, and you’ll have access to the best jobs first.
Frequently Asked Questions
Still curious how Grubhub works?
Check these common questions for a bit more information.
How do I become a driver for Grubhub?
Becoming a Grubhub driver is pretty simple.
It doesn’t require a lengthy interview or hiring process.
Instead, you can take care of everything pretty quickly.
First, you’ll need to meet five basic requirements:
– Be at least 19 years old
– Have a car
– Have a valid driver’s license
– Have car insurance
– Have a phone with iOS 11 or Android 5.0 or newer
Once you satisfy those requirements, you can take the following steps.
1. Sign up on Grubhub’s website.
2. Authorize a background check.
3. Submit all required paperwork, including proof of insurance.
4. Go through the optional onboarding to learn the ins and outs of the Grubhub app.
After you’ve completed all the necessary steps, you can start taking orders.
Then, focus on building your stats so you can get into the Driver Recognition Program.
Does Grubhub pay more than other delivery services?
Grubhub falls slightly on the lower end of average compared to other services.
According to Indeed’s salary information, delivery drivers for the most popular third-party delivery services make the following:
– DoorDash $16.24
– Grubhub $18.28
– Postmates $19.08
– Uber Eats $19.33 per hour
– Caviar $24.89
Of course, these are average rates and will vary based on job availability and region.
Grubhub is a well-known company to work for, but you might find one of the other companies offers more in your area.
Grubhub provides food delivery all over the US as a third-party delivery service.
Although finding specific payment information can be tricky, hopefully, this article gave you a good idea of what to expect.
You could potentially make an average of $18 an hour with Grubhub, which is above minimum wage in most areas.
Have you driven for Grubhub or similar delivery service?
Let us know about your experience, or drop a question in the comments.