Instacart vs. DoorDash Pay: Which Is Best for Drivers?

Numbers don’t lie — the food delivery market is expected to grow to $42 billion by 2025, meaning more orders for Instacart and DoorDash drivers. But is one better than another for drivers?

Key Points:

• DoorDash drivers can take orders from restaurants and grocery, convenience, and retail stores, which means there are more orders more hours of the day. Instacart focuses on grocery only.
• Drivers for both DoorDash and Instacart are considered independent contractors and not employees.
• Instacart and DoorDash pay varies by order and depends on factors like difficulty, size of order, and distance. Drivers are not paid a flat hourly rate.

About Instacart vs. DoorDash Pay

Instacart and DoorDash have different payment amounts affected by various factors, including location and working hours.

DoorDash Driver Pay

Dashers get paid for each delivery they make, not a flat hourly rate, and your earnings are based on the Dasher Pay Model. Here’s what it looks like:

The Base Pay ranges from $2-$10. This amount increases if you need to drive a longer distance to complete an order if the order will take more time overall, and if it’s less popular with other Dashers.

Promotions allow you to make more, and there are three options:

• Peak Pay: These are the busiest delivery hours in your area, and you’ll see a Peak Pay alert pop up in the app. Peak Pay is usually around $1-$4 more per delivery.
• Challenges: These are incentives to complete a given number of orders in a set amount of time. Challenges show up in the app, and you can also track your progress. In addition, you can combine Peak Pay and Challenges to earn even more.
• Drive: These are large orders that you’re paid extra for.

In 2022, DoorDash released Time Earnings Mode, which allowed drivers to opt-in for a flat hourly rate. This helps you budget your side gig pay better, but most drivers report that their hourly rate went down with Time Earnings Mode.

DoorDash Driver Pay Case Study

We recently spoke to Katie, a DoorDash driver in Boise, Idaho who is on our email list, and here’s what she said about how much she makes with DoorDash:

“When I go out, my goal is to make $50 a day. Typically, this takes me between two and two and a half hours, which is a reasonable goal. On a bad day, it might take three hours, but on a good day, I can finish in less than two hours. If you commit to this little chunk of time every day, you can bring in $1,500 a month.”

Instacart Shopper Pay

Instacart’s payouts are based on several factors like the type of shopper you are, how many orders you complete, and your location.

Unlike an in-store shopper, a full-service shopper will see an estimate of the expected payout before they deliver it. The pay per order is based on how many items are in the order, the type of items, driving distance, and the effort it takes to shop and deliver the order. You get to keep 100% of your tips. As a full-service driver, you are responsible for withholding taxes and the wear and tear of your car.

Instacart Shoppers have two options for work, which affects your driver pay:

• Full-Service Shopper: You’ll be shopping for and delivering orders to customers. Full-service shoppers are considered independent contractors, and you can pick the hours you are comfortable working. However, you need a car to make the deliveries, and you must be well-versed in your local area and its grocery stores.
• In-store Shopper: These shoppers shop for the orders and package them for customer pick-up from the store. Unlike a full-service shopper, an in-store shopper is considered a part-time Instacart employee, and their working hours are limited to 29 hours per week. In addition, you don’t need a car to become an in-store shopper.

You can’t work as both a full-service and an in-store shopper — you have to pick one. However, if you have great reviews and excellent standing with Instacart, you can switch after six months.

Learn more in How Much Can You Make From DoorDash in 2024?

Instacart vs. DoorDash: How Do You Get Paid?

After making your deliveries, how and when do you get paid by Instacart or DoorDash?

Instacart Pay

Instacart pays its shoppers each week via direct deposit. If you’re an in-store shopper, you can request a check be mailed to your house. You can keep track of all of your earnings in the app.

Full-service shoppers can also use the Instant Cashout feature and immediately transfer funds to their debit card up to five times per day. There is a $0.50 transaction fee each time you use Instant Cashout and a daily $3,000 limit.

DoorDash Pay

Dashers get paid every week, and payments are transferred directly into your bank account using direct deposit. Most Dashers see payments show up in their accounts by Wednesday.

DoorDash offers something called Fast Pay if you want to cash out your earnings the day you deliver. However, you are charged $1.99 each time you use Fast Pay. If you’ve set up DasherDirect — DoorDash’s business prepaid Visa card — you can transfer money into your bank account up to 3x per day without an additional charge.

Instacart vs. DoorDash: Driver Requirements

Before you consider working for Instacart or DoorDash, it’s crucial to understand the job requirements.

Instacart Shopper Requirements

Here are the requirements to become an Instacart shopper/driver:

• At least 18 years old (21 to accept orders with alcohol)
• Eligible to work in the United States
• Full-service shoppers need consistent access to a vehicle, in-store shoppers just need a way to get to and from work
• Consistent access to and be able to effectively use a recent smartphone (iPhone 6s / Android 5.0 or newer)
• Ability to lift 50 lbs with or without accommodation
• Consent to a background check

To sign up as an Instacart driver, provide your name, phone number, email, photo of your driver’s license, and ZIP code. You need to also download the Instacart shopper app on Android or iOS and complete a questionnaire.

DoorDash Driver Requirements

To become a Dasher, you need to fulfill the following requirements:

• At least 18 years old (21 to accept orders with alcohol)
• Have an iPhone or Android smartphone
• Any car, scooter, or bicycle (in select cities)
• Valid driver’s license
• Auto insurance if driving
• Social Security number if delivering in the U.S.
• Consent to a DoorDash background check

Similar to Instacart, to sign up for DoorDash, provide your name, phone number, email, and vehicle type. Then, upload a photo of your driver’s license, registration, and insurance, and then consent to a background check. A criminal record within the last seven years disqualifies you outright.

Instacart vs. DoorDash: The Final Word

While DoorDash takes a slight lead in several areas, there is no significant difference between Instacart vs. DoorDash. Driver requirements and pay have subtle differences, and both companies are doing their part to ensure driver safety and support.

Both food delivery services are solid side hustles if you’re looking for a way to supplement your income, pay off debt, save for retirement, and more. And, you have the flexibility to work for both if you want to boost your income even more.