If your browser settings allow, we and our partners will have placed cookies on your device when you accessed this website. We and our partners use these cookies for making the website better, customizing content and advertising based on your interests. By continuing to access this website you consent to these activities. See our Privacy Policy to learn more and change your preferences at any time.

By accessing this website you consent to us and our partners placing cookies to improve the website, customize content and advertising based on your interests, view Privacy Policy

Rideshare vs. Delivery Driver: Which is the Better Income Option

Anyone with a car has additional career options. The only choices used to be taxi driver or pizza delivery service. Technology has made it so that there are more options. However, they still often boil down to delivery items to people or driving around others who can’t drive. 

Rideshare apps have allowed anyone to work full or part time helping people get around town. Delivery apps turned companies that didn’t provide deliveries into valid food at home options. With these continually growing markets, the demand for drivers has continued to increase. However, as a driver, which option is better? Picking the right type of driving can result in a lot more money for the driver. A driver’s preference matters. If you are going to put miles on your vehicle, you want to make sure that you do it for the best pay! 

Rideshare Driving

The idea of rideshare driving works rather simply. Rideshare drivers use apps to pick up passengers who have predetermined destinations in mind. Rideshare driving requires the ability to recognize how the passenger feels. Some drivers like to be social and chatty during the drive. Others prefer to be quiet and just move on in peace. From there, the drier is rated by the passengers. 

Rideshare driving doesn’t get a lot of money from tips. Though there are some tips every now and then, it’s mostly trip prices. The best thing about ride sharing is surge pricing. When things are really busy, the price increases as the demand for rides goes up. This can result in some excellent prices. Rideshare drivers can expect to make between $10 and $30 per hour depending on their area and the demand for rides. There’s also bonuses with the various rideshare programs that give bonuses to their drivers if they can complete a specific number of rides in a certain time. This encourages consistent strong driving performance. 

Delivery Driving

Driving as a delivery driver is a little bit simpler. If you work directly for a restaurant or company, all you need to do is drive and deliver as per their orders. However, more drivers are working for food delivery services. This functions much like a rideshare, with an app directing the driver along the most efficient paths for what is intended.

Delivery drivers are often more reliant on tips for their money. This can pay off sometimes, but it’s always a risk depending on the kindness of strangers. Drivers who work for a restaurant will receive a base wage, then their tips (or a percentage of tips, with some being shared to cooks, etc). Delivery drivers running off an app will be almost completely reliant on the tips for their salary. A good delivery driver will usually make between $10 and $25 per hour. However, it’s good to recognize that delivery driving can have lower overhead costs. There’s no need to car insurance supplements for personal transport. Vehicles don’t need to be as nice either. 

Outside of food delivery, companies like Amazon Flex may use drivers who are paid a base salary for a specific number of deliveries. For example, if they give three hours of work at a base salary of $15 per hour, then that’s $45 as long as all deliveries are made. If they can be done in less time, that’s great! However, with this pricing model, if it took 6 hours for whatever reason, that’s only $7.50 per hour. 

The Verdict

When it comes to peak pay potential, rideshares are probably currently the highest earning options. However, this means that drivers need to be available during the peak travel hours, often working late nights on weekends. Rideshare drivers also need nicer vehicles to be eligible for many of the better pickups. Additional insurance costs need to be accounted for taking passengers. 

Delivery driving is arguably easier. The peak value is more reliant on tips, so which orders get routed to the driver can have a wide variance in hourly wage. Quick service can result in good tips and a decent wage. Since delivery can often be completed in an older car or even a scooter, this is a better option for people who are not working with best vehicles.