Food delivery driving

A UC Berkeley Labor Center study of January 2022 trips found median delivery driver pay after expenses, excluding tips, of $5.93 an hour in California and $0.48 an hour in the other metros studied. With tips it was $13.62 and $9.87. The BLS median wage for Driver/Sales Workers, an employee occupation that excludes self-employed gig drivers, is $18.64 an hour.

DoorDash and Uber Eats both say drivers keep 100% of tips (DoorDash FAQ, Uber earnings page). The main catch is unpaid waiting time plus your own fuel, wear and insurance. It suits people who already own a car and have confirmed their insurer allows delivery use.

How delivery pay is built

DoorDash says Dasher pay is base pay plus tips, Peak Pay and promotions (DoorDash FAQ). In Earn per Offer mode, base pay runs from $2 to $10 or more per offer and doesn't change with the tip (DoorDash Help Center).

Uber says delivery fares are based on time and distance, with demand factors, and vary by city (Uber).

What delivery drivers actually earn

The Berkeley study tracked 52,370 trips by 1,088 drivers across six passenger and delivery platforms in five metros (UC Berkeley Labor Center). It found pay adjusted for payroll taxes and benefits drivers bear is lower still.

Where the hours go

The Berkeley medians cover the whole shift (UC Berkeley Labor Center), so waiting between orders counts against the hourly figure.

NYC rules require pay for online time between deliveries, and DoorDash agreed to a $131.5 million settlement over how that pay is calculated.

What it costs to start

Where to find delivery work

Uber says delivery availability varies by city (Uber).

Insurance, tax and legal rules for delivery drivers

Requirements vary by state and city. Check your city's business licensing office and your state's insurance department before you start.

Insurance. DoorDash's insurance page says personal policies may not cover damage while dashing, and its liability coverage does not cover your own vehicle. The NAIC says personal auto policies typically exclude business use. Ask your insurer directly. DoorDash also offers occupational accident coverage to eligible Dashers.

Taxes. The IRS gig economy tax center counts delivery driving as gig work, and the income is taxable even if no form arrives. Self-employment tax generally applies at $400 or more in net earnings, at 15.3% of 92.35% of net earnings. Net earnings are income minus ordinary and necessary expenses. The 1099-K threshold is over $20,000 and over 200 transactions, but you report income either way. The IRS standard mileage rate for business driving is 76 cents a mile from July 1 through Dec 31, 2026, up from 72.5 cents earlier in the year.

Risks and red flags in delivery driving

Uber says the most common deactivation reasons are expired documents and Real-Time ID Check failures. It has an in-app Review Center for appeals, but background check failures are generally not covered, and it may remove access without notice for legal or safety reasons (Uber).

Who delivery driving fits, and who should skip it

It fits if:

• You already have a car and an insurer who confirms delivery use is covered.
• You want a short wait before your first order. Uber's sign-up page puts activation at minutes to 48 hours.
• You want to cash out before the weekly deposit and accept a fee for it.

Skip it if:

• You would need to buy or finance a car to do it.
• You want no fuel or insurance costs. Paid online surveys and rating AI responses need no vehicle.
• You would rather not drive. Dog walking needs no car.

How to start delivering

1. Call your auto insurer and ask whether your policy covers delivery. Read DoorDash's insurance page first.
2. Check which apps are open in your city on the DoorDash sign-up page and the Uber Eats page.
3. Confirm age and vehicle rules in DoorDash's requirements. Minimum age is higher in some states.
4. Sign up, consent to the background screening and upload your documents and photo, as Uber describes.
5. Pick your payout: the weekly default, or a paid instant option. DoorDash's pay page describes Fast Pay and Crimson.
6. Log miles and income from your first delivery. The IRS page on managing gig taxes lists what to keep.
7. After two weeks, work out your real hourly pay with the hourly earnings guide.