As the gig economy continues to thrive as remote working becomes the norm, with an increase expected in 2023 (via Forbes), food delivery services have never been more vital in 2022. Companies like DoorDash, Uber Eats and GrubHub have led the way in giving shoppers convenient options to save time sending food and drink straight to consumers’ doorsteps, but revolutionizing the way people get groceries and fresh meals.
Of course, not all food delivery apps are created equal. Based on a variety of factors, some are much more work friendly by offering a more competitive salary and long-term benefits.
8/8 GrubHub – $12-15 per hour
One of the first major players to corner the food delivery market, GrubHub remains more popular than ever in 2022. Launched in 2004, the useful app for students in particular is a quick and easy way to order meals directly from restaurants or fast food chains. Like most food delivery gigs, drivers set their own schedules, get paid weekly, and earn money based on their work.
According Frugal rules, GrubHub pays drivers $3.25 per delivery, plus $0.50 per mile driven. While the GrubHub website claims these numbers equate to around $15-19 earned per hour, Millennial Money Man says the national average is closer to $12-15 per hour depending on the driver’s region.
7/8 Uber Eats/Postmates – $15-16 per hour
After launch Uber eats in 2014 and becoming a major contender in the food delivery space, the ride-sharing giant acquired postmates in 2020 for $2.65 billion (via The New York Times). With two companies under one umbrella, it’s hard to say exactly how much Uber Eats/Postmates drivers earn, as it entirely depends on location, hours logged, and number of deliveries. Uber Eats and Postmates are quite addictive, so it’s wise to keep the best free workout apps handy.
For example, a driver in New York earns $1.80 per pick-up, $0.70 per drop-off, $0.07 per minute, and $1.05 per mile (according to Frugal rules). In Los Angeles, a driver earns $1.40 per pick-up, $0.70 per drop-off, $0.07 per minute, and $0.69 per mile. While Uber Eats is known for its confusing reconfiguration of driver payment, drivers get paid weekly, can earn tips, and can use $0.50 Instant Pay to cash out early. In total, Uber Eats drivers earn about $15.84 per hour in 2022 (via Gate).
6/8 Shipping – $15-22 per hour
Launched in 2014, Dispatch is an on-demand grocery delivery app partnered with over 250 stores across the United States. The company still uses a membership-based service for its customers, but is now open to non-members to order food as well. Unlike most food delivery services, Shipt allows drivers to stock more than one order at a time to maximize time spent and pay for it, which happens every Friday.
Prior to a payment model restructuring in 2020, Shipt drivers received a commission of $5 plus $0.75 of the order amount (via Millennial Money Man). Although the new payment is much more nebulous and harder for drivers to calculate exact numbers, on average Shipt drivers earn around $15-20 per hour. According Frugal rulesShipt drivers can earn up to $22 after making 100 deliveries plus a free Shipt subscription.
5/8 Caviar – $15-25 per hour
Originally introduced as a premium food delivery service, Caviar was purchased by DoorDash in 2019. Prominent on the East Coast, California, and major cities in the Midwest, Caviar is beginning to expand and empower drivers to set their own schedules and earn as much as they can. As a subsidiary of DoorDash, Caviar uses the formula Base Pay + Promotions + Tips = Total Pay, which makes it ideal for working.
According Millennial Money Man, Caviar drivers earn a base salary of $2-10 per order. But it’s the extra incentives like delivering during peak hours or completing various challenges, like completing a certain number of deliveries within a certain amount of time, that nets drivers extra money. While Caviar claims drivers earn up to $25 per hour plus tips, the national average is closer to $15-20 per hour.
4/8 Favor – $18-20 per hour
Although Foster currently limited to serving greater Texas, the fast-growing food delivery service plans to expand to the Midwest soon. Similar to Postmates, Favor allows full-time or part-time drivers, called Runners, to deliver restaurant meals as well as groceries, dry cleaning, and other non-perishable items. The best part is that riders get paid daily.
Whether delivering by bike or car, Favor Runners earn 35% of the delivery plus 100% of the tip, which guarantees a pay range of $18-20 per hour (per Millennial Money Man). Even with the daily payment plan, Favor Runners can withdraw money instantly for a fee of $0.99.
3/8 Amazon Flex – $18-25 per hour
Owned by the gigantic digital retailer, AmazonFlex is a food delivery service that uses drivers on Prime Now, AmazonFresh, and Amazon Restaurant Delivery. Since package delivery is also part of the equation, drivers have the opportunity to earn even more money than strict food delivery.
Although the service requires deadlines of 3-6 hours per shift rather than setting its own flexible schedule, the rewards are worth it. Using a more orders equals more money formula, having a larger vehicle will benefit Amazon Flex drivers the most on their way to earning between $18 and $25 per hour (via Millennial Money Man). Besides the best free nutrition apps, Amazon Flex is a must-have.
2/8 Instacart – $20 per hour
Founded in 2012, instagram is one of the largest grocery delivery services out there. As with most food delivery apps, drivers have considerable leeway by setting their own schedules. Instacart drivers accept an order, shop for items on the list, and deliver groceries right to the customer’s doorstep. The more difficult the order and the busier the app at the time, the more money drivers will be rewarded.
By using a commission-based payment system that awards drivers more money the higher the price of an item, drivers also increase their income by earning tips. So full-time Instacart drivers would earn $20 per hour (via Frugal rules and Millennial Money Man). In addition to the best free cooking apps, Instacart is an ideal download.
1/8 DoorDash – $23 per hour
By far the most lucrative food delivery service to work for is DoorDasha company that has built an excellent reputation with its drivers and customers since its launch in 2013. Drivers, called Dashers, earn a base salary of $2 minimum and $10 maximum per order over 100 % of customer tips (via Frugal rules). Once accounted for, drivers take home an average of $23 an hour (via Millennial Money Man).
With the ability to schedule their hours in advance and see how much the base pay will be before accepting an order, DoorDash gives its employee a lot more freedom than most food delivery apps. It even comes with a default tip option of 15% to ensure Dashers get what they rightfully deserve. Using the Dasher payment model that combines Basic Pay + Promotions + Tips = Full Payout, DoorDash delivers even greater benefits with its Quick Pay, DasherDirect, Peak Pay, and Rush Delivery challenges.
