DoorDash Gross vs Net Hourly Pay — what's the real difference?

The app shows your gross earnings before expenses and taxes. But as a DoorDash driver you're a 1099 contractor: you pay self-employment tax (15.3%) on your profits AND absorb all vehicle costs. At $20/hour gross with 15 miles/hour, your net after mileage ($0.70/mi IRS rate) and SE tax can drop to $11–13/hour — a 30–45% reduction from what the app shows.

Does the IRS mileage rate cover all my car costs?

Yes — the standard mileage rate ($0.70/mile in 2025) is designed to cover gas, depreciation, oil, maintenance, tires, and insurance in one number. If you use the standard rate, you cannot separately deduct gas receipts. The mileage deduction reduces your taxable income (and therefore your SE tax), which is why it's the preferred method for most delivery drivers.

Should I track actual expenses or use the IRS mileage rate for delivery driving?

For most delivery drivers, the standard mileage rate is simpler and usually results in a larger deduction. The actual expense method requires tracking every receipt (gas, oil changes, insurance) and calculating the business-use percentage of your car — more work, and only pays off if you have a very old, expensive-to-maintain vehicle. Stick with mileage rate unless a tax professional advises otherwise.

What is the break-even hourly rate for DoorDash to be 'worth it'?

That depends on your alternative earning options, but a common rule of thumb is that if net earnings (after mileage and taxes) fall below $12–15/hour, most full-time workers can find better alternatives. Track your actual hourly earnings (including waiting time and deadhead miles) for a full week — many drivers are surprised by the real number.

DoorDash / Instacart True Hourly Earnings Calculator

Calculate your true hourly earnings from DoorDash, Instacart, or Uber Eats after mileage costs, vehicle depreciation, and self-employment tax. See the real number, not the app's gross figure.

Gross Pay Per Hour ($)

Miles Per Hour

Enter a bid/price to see the fee breakdown.

Frequently asked questions

DoorDash / Instacart True Hourly Rate Calculator — Net Pay After Expenses & Taxes

The DoorDash or Instacart app tells you $22/hour. But that's before the IRS takes its share as self-employment tax, before you account for the miles you're putting on your car, and before you add up the time spent waiting for orders. This calculator takes your gross hourly rate and miles driven per hour and shows your true, after-expense, after-tax hourly pay.

IRS mileage deduction applied

Vehicle costs are calculated at the 2025 IRS rate of $0.70/mile — covering gas, wear, and depreciation in one clean number.

Self-employment tax included

The 15.3% SE tax that DoorDash doesn't withhold is factored in, showing what you actually keep vs what must go to the IRS.

Compare platforms instantly

Run the calculation for DoorDash, Instacart, Uber Eats, or any gig by entering that platform's hourly average and your typical miles per hour.

Before committing to gig delivery as a primary income source, run your real numbers for a full week. Track gross pay, active time, total miles, and waiting time — then use this calculator to see if the net rate justifies the wear on your vehicle.

Fee rates verified and updated April 2026. Rates may change — verify directly with the platform before transacting.