How Much Does DoorDash Pay? Average, Hourly, and Monthly Income
In today’s day and age, everybody is looking for the best food delivery service to work for.
But it’s obvious that you don’t have to look far to find it.
DoorDash is one of the top companies to make extra earnings, whether you’re employed full-time and in need of additional income or need a flexible work schedule.
Driving for Doordash is a fantastic way to add to your income if you have a reliable vehicle and need to pay for back-to-school supplies, additional home renovation expenses, or other day-to-day costs.
But how much does DoorDash pay?
DoorDash pay varies depending on the type of delivery service options you provide, the length of hours, and peak times.
Below, we’ll break down every element of this topic so you clearly understand everything you need to know before getting started.
How Does DoorDash Pay Drivers?
Before we get too granular with the payment amounts, we need to talk about a few key concepts that make up DoorDash driver pay.
Does DoorDash Pay Hourly, Per-Delivery, or Salary?
DoorDash drivers earn income per delivery through a system of base pay, tips, and promotional incentives.
The salary for the average DoorDash driver depends on the volume of deliveries, their availability to drive and deliver during peak times, and other factors.
As such, the general payment method is per delivery.
Many DoorDashers average the delivery payments to find their overall hourly pay, but it fluctuates depending on the type and time of the deliveries.
When Does DoorDash Pay?
DoorDash drivers are paid weekly for the deliveries completed during the previous week.
Each week’s deliveries are based on a Monday-to-Sunday pay schedule.
This means if you complete ten deliveries during this time frame, you’ll be paid on the following Wednesday – usually around midnight – into your bank account.
There are two ways to receive payments through your DoorDash Driver app: direct deposit to your bank and Dasher pay.
1. Bank Deposits
If you opt for bank deposit payments, the funds of your DoorDash drive income will typically arrive in your account within a two or three-day period.
The speed of this payment method varies depending on your bank or financial institution.
2. Fast Pay
The second option is DoorDash Fast Pay.
In this method, you receive payments to a prepaid card called a DasherDirect card.
The DasherDirect payment option offers a much faster way to receive your payment without waiting several days.
You’ll pay a small fee, around $1.99, for this service, though it’s convenient and your funds are deposited on the same day.
Drivers Are Responsible for Their Own Expenses
As a DoorDash driver, you’ll need to keep track of your expenses to ensure you’re making enough to earn a decent side income.
I know this can be challenging at first, especially if you’re accustomed to receiving reimbursements for mileage from other types of work as an employee.
However, you’ll get comfortable with the process and find the easiest ways to make the most out of this job in time.
As an independent driver, you’ll have the freedom of accepting delivery orders when it is most suitable for your schedule.
However, you’ll need to keep tabs on fuel, the cost of parking (if required), and other expenses to maintain your vehicles, such as keeping your driver’s license number, insurance, and repairs up to date.
How Are Payments Calculated?
When asking yourself, “how much does DoorDash pay?”, it’s important to understand how pay is actually calculated.
The base pay structure, tips, and promotions can take some getting used to, especially if you’re new to DoorDash!
It’s essential to get comfortable with the variables, including the types of orders you accept, when you accept them, and the peak times and hours you deliver.
Variables of Each Customer Order
These three factors often influence how much or little you get paid: Base pay, promotions, and tips.
1. Base Pay
Base pay is a fixed amount that you receive with every food delivery service.
Depending on your urban area or region, you can earn as much as $10 per order or as little as $2.
Once this amount is set, consider this as your base rate of pay per delivery.
The distance of your travel, time, and the level of demand are all factors that determine this rate.
If you find this system of setting a base pay confusing, you’re not alone!
Many DoorDash drivers find the level of demand lacking definition, and sometimes the travel distance doesn’t seem to match well.
If several drivers reject an order before you accept it, you may notice a higher pay as a result, which is a good incentive.
Since many food delivery companies are constantly testing how they determine the best compensation for drivers, this system will likely improve and become more predictable over time.
2. Promotions from DoorDash
If you’re feeling ambitious and take on more orders than average, you may be eligible to receive a bonus or higher pay for your work.
These promotions are largely a part of the DoorDash referral program, and can be applied at signup.
Periodically, drivers who work with specific clients may offer promotions for large catering deliveries or other special services.
Like the base pay structure, promotion pay is divided into challenges, peak pay, and drive.
Peak pay offers drivers an additional amount or bonus to deliver to a specific area on a map.
You may notice a “$2 extra” note, for example, as an incentive to take these delivery jobs.
Also, peak pay may apply to certain time frames when the demand for food delivery services is higher than usual, such as during dinner or over the weekend.
Bonus or incentive pay is also rewarded to drivers to maintain a high acceptance rate (usually around 80%) and complete a specified number of orders.
The Drive incentive is a featured service that allows drivers to earn higher pay when working with a restaurant or food delivery service to complete and deliver a large order.
This service is usually done for large catered events or similar occasions.
Finally, you can earn a bit more on your weekly DoorDash income if you accept challenges that pay a specified amount for a minimum number of deliveries completed within one week.
3. Tips from Customers
Customers are encouraged to give a DoorDash tip at the end of the order, once delivered.
Tips are a great way to earn a bit more than expected when you work for DoorDash or similar delivery companies.
This option is available directly through the DoorDash app for customers to choose a set amount or percentage to tip, or they may offer this incentive in cash upon delivery.
Depending on the size of the order, some tips are defined by monetary amounts, while large orders offer percentages for a tip.
Most drivers appreciate this feature, as it can significantly increase the amount you earn, especially if you plan on taking a lot of orders for delivery.
How Much Do DoorDash Drivers Make?
The pay for drivers varies considerably, depending on how many hours you work, deliveries you make, and the areas you work.
How Much Can You Make with DoorDash?
To put it simply, the more orders you take and deliveries made each week, the more you earn.
You’ll also need to consider the distance driving, the proximity of where you work, the related costs to keep your vehicle in running order, and fuel costs.
Average DoorDash Pay
On average, you can expect to make roughly $15 to $25 an hour.
DoorDash mentions drivers make an average of around $20 per hour, which is relatively accurate for most regular drivers who work for DoorDash.
With enough commitment, you can easily earn up to $25 per hour.
DoorDash Hourly Pay
Your average hourly pay will hover around $20, though this may not consider the number of expenses you’ll need to factor into your overall earnings.
Overall, you’ll likely make this amount consistently if you accept regular deliveries and use a fuel-efficient car.
DoorDash Weekly Pay
Like hourly pay, your weekly pay will vary depending on how many deliveries you accept and the hourly rate.
For example, if you deliver ten orders at a base rate of $5 per order, you’ll receive a minimum of $50, plus additional incentives, including tips and promotions.
How Much Does DoorDash Pay Per Delivery?
The base pay varies between $2 and $10 per delivery.
However, you can easily increase this pay with many factors, including accepting higher-paying orders, fulfilling high-demand orders, and more.
Since DoorDashers is a part-time position, the hours of pay can vary, which may impact the overall weekly pay you receive each Wednesday and every week.
Don’t Forget About Expenses
When examining how much you’ll make delivering for DoorDash, it’s important to consider that the amount DoorDash pays you is your gross income — your actual earnings will be lower after taxes and costs you incur when making deliveries.
Let’s start with taxes.
DoorDash drivers are 1099 contractors, which means that DoorDash does not withhold any taxes from the money they pay you.
You’re responsible for making these payments yourself when tax time rolls around.
If you make more than $600 in a year delivering for DoorDash, the company will send you a Form 1099-MISC with a summary of your earnings.
Next, you need to take into account your operating costs. These will depend on a variety of factors.
If you’re making deliveries using a car, your costs will be higher than if you’re delivering on a scooter, bike, or on foot.
The fuel efficiency of your car, the gas prices in your are and the age of your vehicle will also affect your personal costs of doing business.
Because Dashers are all independent contractors, you will be responsible for covering common expenses like:
- Gas: Fuel costs are approximately 57.5 cents per mile, according to the 2021 IRS standard mileage rate.
- Car maintenance: Vehicle needs like oil changes, wheel alignments, and brake system inspections may increase with your car usage and you’ll be expected to cover the cost.
- Insurance: While DoorDash insurance does provide excess auto insurance coverage when you’re delivering on the platform, you still need your own personal auto insurance policy to qualify to drive.
- Self-employment taxes: All independent contractors pay a 15.3% tax for Medicare and Social Security, on top of their income taxes, since taxes aren’t withheld from their paychecks.
Luckily, most job-related expenses are tax-deductible, so your self-employment and income taxes may not be as high as you expect.
Just make sure to track your expenses and mileage, so your accountant can help you with deductions during tax season.
How to Earn More as a DoorDash Driver
How can you maximize how much you make as a DoorDash driver?
Keep your iPhone or Android up to date with the latest version of the app, know your on-demand regions, and work in the high-traffic areas during peak times to increase your pay.
Of course, there is much more to consider, but these are good options to consider when you start.
1. Referral Bonuses
Do you have a friend or family member who might want to work to earn extra income as a DoorDash driver?
You’ll receive an incentive bonus when you refer someone new and if they become a driver with DoorDash.
It’s a great way to help friends and family to earn extra income while enjoying an incentive.
2. Drive During Busy Times
When you accept orders during busier peak times, you’ll likely see a boost in your weekly income with DoorDash.
If you’re able to make deliveries during these times, it will definitely work to your advantage!
3. Chase Large Orders
You’ll see a spike in income when you chase down large orders for catering or special events.
If you’re in a position to take on these enormous tasks, the payout is worth it.
4. Do Quality Assurance Before Every Delivery
Quality is essential to making a good impression on customers, and it will improve your performance with DoorDash.
If you review the order to ensure all items are ready, including cutlery, napkins, and extras as requested, you’ll likely receive better tips and higher ratings for your service.
Frequently Asked Questions
Before you begin your position as a DoorDash driver, you may have many questions about how the service works.
While the job is a rewarding way to earn a bit of cash on the side, you’ll want to stay on top of new developments, company policy changes, and other items that can impact the flow of your workweek.
How Much Does DoorDash Charge Restaurants?
It is no doubt that being a DoorDash merchant comes at a high cost.
While DoorDash has previously charged around 15% or higher for restaurants to provide delivery services, they have since lowered the rate to around 6%.
The idea of the decrease was to assist small businesses and local restaurants improve their revenue during the lockdown.
Does DoorDash Pay Dashers for Mileage?
No. DoorDashers are considered to be independent contractors and must pay for their own mileage.
If you want to make the most out of becoming a DoorDash delivery driver, review your fuel and repair costs to determine the best for your expenses.
How Much Does DoorDash Pay for Referrals?
When you refer a friend or relative, you can receive a bonus once they become a driver with DoorDash.
You’ll need to wait at least 30 days, and the new driver must make a specific number of deliveries before they make it within this time frame.
The amount of your incentive pay also varies, from $350 to around $750.
Ideally, you’ll want to make the most out of your deliveries, and the idea behind the incentive is to boost new drivers to accept orders and do the same.
Suppose you’re seriously considering becoming a driver.
In that case, you’ll need to be 18 years of age or older, provide a social security number, car insurance, and the ability to make your own schedule.
You’ll also need to complete a W-9 form and have a working phone number.
Delivering for DoorDash comes with many benefits, from working on your own hours to getting paid every single week.
However, it’s important to be aware of how much DoorDash pays before signing up, so you know exactly what to expect from each payout.
Plus, with the company’s pay structure in mind, you can put a strategy behind how you earn to consistently get higher-than-average earnings through delivery.