Amazon Flex vs DoorDash: Which is Right for You?
Ride-sharing and delivery apps are a great way to earn extra cash. There are many options today, such as Amazon Flex, DoorDash, Uber, and more. With so many options at your disposal, it can be hard to tell which one is best for your side hustle.
This article will explain the differences between Amazon Flex and DoorDash and compare some of their pros and cons. Hopefully this will help you decide which one is best for your side hustle.
How much can you make with Amazon Flex?
Let’s talk about the brass tax. The crux of the matter is how much Amazon Flex actually pays. The app has a fairly simple payment structure built around the concept of “time blocks”.
Essentially, once you’ve set up an Amazon Flex account, you must reserve “block” time during which packages can be delivered. These blocks are first-come, first-served, so working in densely populated areas can be competitive.
If you manage to grab a time slot, you’ll see the block’s payment and expected delivery time in the Amazon Flex app. Base pay is $18 per hour; for example, a 2 hour period would pay $36.
If you manage to complete all the deliveries in a faster time frame, you can still get paid for the entire time period. In other words, if you deliver two hours in one hour, you still get paid for two hours of work ($36).
Although Amazon Flex doesn’t cover expenses like fuel and vehicle maintenance, you can report these expenses as business expenses on your tax return. For more information on this, visit Keepertax.com.
Also, be sure to fill out your tax forms honestly and accurately so you don’t get yourself into trouble.
Difference between Amazon Flex and DoorDash
DoorDash is a well-known food delivery app that allows drivers to sign up and deliver food from restaurants to customers. The service is similar to other ride-sharing apps like UberEats or SkipTheDishes, but there are some key differences that set it apart from others.
Just like Amazon Flex, drivers need a valid SSN and driver’s license to sign up for DoorDash. You will also need proof of insurance for the vehicle you intend to use for delivery. Unlike Amazon Flex, there are no vehicle requirements. DoorDash drivers can use scooters, motorcycles, or anything else at your disposal to deliver.
DoorDash drivers are called “dashers”. Dashers are tasked with picking up meals from restaurants and delivering them to customers. These deliveries will be shorter and more time-sensitive than Amazon Flex deliveries, as food needs to be delivered quickly to ensure freshness.
Dashers must understand a few different metrics to measure their performance as delivery drivers:
- Customer Reviews. Customers will rate your performance after you complete your delivery. Low customer ratings can disqualify you from bonuses or even cost you your job.
- Complete the grading. Your completion rating indicates how many deliveries you have completed after acceptance. Ensuring that every delivery you accept is completed is critical to keeping your job at DoorDash.
- Acceptance level. Your acceptance rate represents the percentage you accept when an offer is made to you. You don’t need to accept every offer that comes up, but you may need to accept some less profitable deliveries from time to time if you want to keep DoorDash happy.
Like Amazon Flex, DoorDash drivers cover all costs when delivering meals. This includes fuel, vehicle costs, mobile phone costs and any other charges you may incur upon delivery.
Like Amazon Flex, these charges may qualify as deductible business expenses in your tax. Always be sure to fill out your tax forms honestly and accurately to ensure you are paying the correct amount.
DoorDash drivers can earn 100% of delivery fees, bonuses and tips from their deliveries. DoorDash itself only keeps what the restaurant pays to keep the service.
Drivers can also earn up to $750 in cash rewards when they sign up, depending on the city they operate in. You generally need to perform a minimum delivery to be eligible for this bonus.
You might also like: Why is DoorDash only available for pickup now?
Does DoorDash pay more than Amazon Flex?
Payments for different delivery apps largely depend on the region where you work and your specific needs for the different services. Shipping for Amazon Flex in some U.S. cities lets you drive more than just DoorDash, other cities may vary. It all depends on the resources available in your area.
According to Sidehusl.com, Amazon Flex pays the most compared to other delivery apps in 5 out of 10 markets surveyed across the U.S. in Dallas Ft. For example, it’s worth mentioning that Amazon Flex spends about 27% more than Nest’s leading competitor.
Of course, a lot depends on the city and state where you live. Amazon Flex is often ranked among the top three highest-grossing apps in the U.S. along with Uber and GrubHub. These apps are the highest paying delivery apps in 7/10 major US cities.
Want to learn more about Amazon Flex or DoorDash? Check out this article to find out if Amazon Flex deducts taxes.
judgment
The competition between Amazon Flex and DoorDash will depend on a variety of factors. First, the money you can earn will be heavily influenced by where you live.
Most major US cities pay more for Amazon Flex than for DoorDash. That being said, if you live in a remote rural area or an area with fewer local restaurants, you might be able to make more money with DoorDash.
Although the requirements for Amazon Flex are stricter than those for DoorDash, the benefits and bonuses are about the same for both platforms. In the end, it really comes down to personal preference.
If you have any questions or concerns, please feel free to fire in the comments section.