How Much Does Postmates Pay? 2023 Guide for Couriers

It’s easy to turn your love for driving, biking, or walking into a profitable gig when you join the Postmates Fleet.

But before you take the time to apply, you need to make sure the gig will give you the earnings you expect.

So how much does Postmates pay its couriers?

Founded in San Francisco in 2011, Postmates is now one of the largest food delivery platforms in the United States.

However, many massive companies in the gig economy don’t always provide great pay to independent contractors.

In order to choose the delivery gig that can best help you meet your financial goals, you need to learn how much money a potential side hustle can bring in.

Keep reading for our full breakdown of how much Postmates pays and the work expenses you can expect to incur.

Do You Make Good Money With Postmates?

You have the potential to earn a full-time or extra income with Postmates. But, you’ll have to put in the time and effort.

You’ll also need to use bonuses and incentives to ensure you get the most income possible.

How Much Do Postmates Drivers Actually Make?

You’ve probably heard others who drive for Postmates talk about how much money they make.

Some people probably claim on the higher end, while others say it’s not that profitable.

So, how much do Postmates drivers make?

Below, we’ll break it down to give you a better idea to help you decide if it’s a good fit for you.

How Much Do Postmates Drivers Make Overall?

According to Glassdoor data, the average Postmates courier makes about $11 per hour plus 100% of customer tips.

Because this number is only an average, you can’t expect to make that exact amount.

Some drivers make much less while others make a little more.

However, once you have some experience and know-how to maximize your potential, you can expect to earn around $33 per hour or more.

Earnings can vary based on where you live but are only slightly adjusted based on the cost of living. The typical base pay is around $9 to $14 per hour.

Some drivers earn more by working more often, providing excellent customer delivery service, and taking advantage of incentives.

Postmates Payment Structure

While it’s almost impossible to say exactly how much Postmates pays per hour, knowing how your earnings are calculated can help you decide if this gig is worth your effort.

Luckily, the food delivery service is transparent regarding its pay structure.

Every courier is paid per order based on the following factors:

• Rate per pick-up: When you successfully pick up an order from a restaurant or retailer, a flat amount is added to your base pay. This amount varies by city.
• Rate per drop-off: Similarly, when you complete your delivery at your drop-off location, a flat amount will add to your base pay. Again, this amount varies by city.
• Per-minute rate: You’ll receive a set amount of money per minute of wait time if your order is not ready when you arrive at your pick-up location.
• Per-mile rate: For each mile you drive, bike, or walk, you’ll receive a set amount of money based on your city.
• Tips: Postmates pays couriers 100% of the tips customers provide. The app typically suggests tips of $1, $2, or $3 for each order, though buyers may customize their tips.

Unlike most food delivery apps, Postmates allows you to easily find the exact rates in your city before you sign up.

Simply head to the “Payout Information by Market” page on Postmates.com, select your state, and select your city.

On the city-specific web page that opens up, you can scroll down to the “Delivery Earnings” section to see your local rates.

The rates pictured above are for San Diego, though the layout of your “Delivery Earnings” section will look similar.

How Much Do Postmates Drivers Make in Tips?

When customers order through the Postmates app, it suggests a 20% tip of the total order cost.

However, customers have the option of leaving more, less, or no tip at all.

Customers may also tip you in cash when you deliver their order.

Drivers get to keep 100% of their tips.

Most customers will tip somewhere between 10% and 20%.

How Much Do Postmates Drivers Make per Week?

A Postmates driver’s weekly income will depend mainly on how many hours they work each week.

Top earners can make up to $60,000 annually, which amounts to around $1,100 per week.

The average Postmates driver makes a little over $40,000 each month.

That breaks down to roughly $772 each week.

Can You Make More Than This?

If you wish to make more than the average Postmates courier, there are some strategies you can implement to increase your earnings, particularly through bonuses and incentives.

We’ll discuss these strategies below.

Even though income often depends on where you live, you have the potential to earn more than the average.

Postmates Bonuses and Incentives

As with most on-demand food delivery services, Postmates offers higher earnings when you deliver in times of high demand.

As a Postmates courier, you can earn extra cash through Postmates tips, bonuses, and incentives.

Postmates Referral Bonus

If you haven’t yet signed up for Postmates, you’ll want to check out the Postmates Referral Bonus, as it’s an easy way to earn extra money when getting started as a new driver.

What Is the Postmates Referral Bonus?

New Postmates drivers are eligible for a Postmates Referral Bonus.

You may also see it referred to as a Driver Bonus Guarantee or a New Driver Signup Bonus.

When you sign up using a referral code, you’ll be eligible to receive a bonus if you complete a certain number of deliveries in a given time frame.

The number of deliveries will vary based on the city but is typically around 70 deliveries.

You’ll usually have 30 days to meet your quota.

How Much Can You Make With a Postmates Referral Bonus?

Your bonus will depend on what city you deliver in, but you can earn up to $800.

You’ll need to live in a larger metro area to get the max bonus.

Per Delivery Bonus

Per Delivery Bonuses are another way to earn extra money with Postmates, but you’ll need to be available to work during certain hours.

You set your own hours as an independent contractor, so you’ll sometimes notice Postmates incentives during busy times.

What Is the Postmates Per Delivery Bonus?

Postmates sometimes offers a Per Delivery Bonus, but it’s only available during specific timeframes.

So you’ll need to keep an eye out on the Postmates app to see when a Per Delivery Bonus gets activated and complete as many deliveries as possible in that window.

How Much Can You Make With a Postmates Per Delivery Bonus?

The Postmates Per Delivery Bonus varies from city to city and depends on the time it’s offered.

However, it typically averages around $2 per delivery.

Earnings Guarantee

As an independent contractor, your earnings aren’t guaranteed, but Postmates’s Earnings Guarantee can give you some security.

What Is the Postmates Earnings Guarantee?

The Postmates Earnings Guarantee gives you a specified income when you complete a given number of deliveries during a specific time frame.

If you are earning less than the guarantee, you’ll get a bonus to meet the amount.

The timeframe and numbers will vary, so you’ll need to keep an eye on the app to see what’s available.

How Much Can You Make With a Postmates Earnings Guarantee?

Earnings guarantees can vary greatly based on where you are and the offer.

For example, you may see an offer for a guarantee of $50 for completing ten deliveries in a few hours.

Sometimes you may see an offer with a much higher guarantee, like $500 for completing a certain number of orders in a month.

Postmates Crushers Bonus

The Crushers Bonus is one of the best ways to earn extra money with Postmates, as it’s a definite bonus, not just guaranteed earnings.

What Is the Postmates Crushers Bonus?

The Crushers Bonus is an incentive offered when you complete a certain amount of deliveries in a given time frame.

Keep an eye on the food delivery app to see when a Crushers Bonus is available.

How Much Can You Make With a Postmates Crushers Bonus?

The Crushers Bonus will vary based on your location and how many drivers Postmates require during a given time frame.

For example, you may see an offer for an extra $30 for making five deliveries.

Postmates Delivery Driver Expenses

Although Postmates can pay a decent amount of money, every courier must remember they are classified as independent contractors rather than employees.

This affects you in two ways.

1. First, you’re responsible for all your self-employment taxes.
2. Second, you must cover any non-medical, job-related expenses you accrue.

Full-time employers typically cover half of your Medicare and Social Security taxes, allowing you to pay just 7.65% of your income toward taxes.

But independent contractors like yourself are their own employers.

Because of this, you’ll have to pay the IRS 15.3% of your income to cover Medicare and Social Security taxes. So, make sure to set aside 15.3% of each paycheck for quarterly self-employment taxes in addition to funds for any other annual income taxes.

Postmates drivers can expect to spend about 57.5 cents per mile on gas plus a significant amount of money on car maintenance, car payments, auto insurance, and similar expenses.

However, all these expenses are usually tax-deductible.

Just keep track of all your car-related expenses and your delivery mileage.

Couriers who deliver on foot or on a bike are lucky to have fewer job-related expenses, save for a pair of shoes or minor bike repairs here and there.

Note that Postmates automatically provides their couriers with occupational accident insurance.

They will pay up to $1 million for job-related medical expenses. However, you should file any claims as soon as you can in order to receive funds.

How Are Postmates Couriers Paid?

Postmates couriers are paid once per week on Mondays through direct deposit.

You can expect your funds to be available by Wednesday or Thursday each week unless a bank holiday delays the payment processing.

In order to set up direct deposit, couriers must have a valid checking account.

Savings accounts, Postmates cards, PayPal accounts, and other online accounts cannot be used for this.

If your checking account doesn’t allow direct deposits (or if you simply want faster payment), you can make instant deposits for a fee of 50 cents.

All you need to do is input your debit card information in the “Banking” section of your app.

Then, you can cash out at any time.

Tips To Maximize Your Earnings With Postmates

Outside of incentives, there are a few strategies for maximizing earnings.

• Establish Your Turf: You don’t get paid for the time between accepting an order and picking it up. If possible, take jobs close to one another, so you spend less time picking up deliveries.
• Deliver During Peak Times: Postmates often offers incentives during peak times like lunch and dinner. These times are also the best to ensure that there are plenty of deliveries available.
• Maximize Bonuses: Take as many bonuses as possible to get the most out of Postmates’s offerings. If possible, structure your hours around these Postmates bonuses.
• Postmates Perks: When you complete a certain number of deliveries each week or month, you’ll qualify for Postmates Perks. You may be eligible for a Postmates Unlimited account and many other discounts for retailers.
• Auto Accept: Postmates allows you to pick up orders as you go. However, when you enable auto-accept, you’ll be assigned orders. Doing this allows you to spend more time on deliveries and less time in the Postmates Fleet app looking through delivery requests.
• Provide Excellent Customer Service: When you deliver the correct order on time, you’ll likely get higher customer tips, especially if you go above and beyond. You’ll also get a good Postmates review, which can help you get more deliveries.

Frequently Asked Questions

Now that you know how much Postmates pays its couriers, you can make an informed decision about whether or not the platform is a good fit.

To help you decide, we’ve answered a handful of frequently asked questions about the driving gig:

Postmates: A Solid Way to Earn Extra Money

If you need extra cash or even a full-time gig, Postmates can help you earn a decent income on your own schedule.

By delivering food around your city, you can be one of the thousands of independent contractors who benefit from the company’s delivery gig.

With this guide, you will also be prepared for job-related expenses that come your way when you get started.

When you’re ready to move closer to your future gig in the food delivery industry, read our guide on how to become a Postmates driver to make sure you know exactly what to expect.

We also recommend checking out our investigations into how much Uber and Lyft drivers make, so that you can decide if it would make sense for you to work for those services in addition to delivering for Postmates.

Happy delivering!