How To Make The Most Money On Doordash involves implementing effective strategies that maximize your earnings and streamline your operations. On money-central.com, we provide essential guidance to help you become a top earner in the food delivery industry. By mastering these techniques, you can increase your profitability and financial stability.
1. Maximize Your Tax Write-Offs
As a DoorDash delivery driver, you are classified as an independent contractor rather than an employee. To thrive, you must adopt the mindset of a business owner, and a crucial aspect of that involves leveraging tax write-offs to reduce your tax burden.
Think of it like this: throughout the year, you spend money to enhance your success as a Dasher. Whether it’s purchasing a phone mount or investing in higher-quality courier bags, these expenses qualify as business deductions that can lower your taxable income.
Even without these additional investments, you are still using your car or bike for deliveries. This usage inevitably increases expenses such as repairs, maintenance, gas, and potentially specialized insurance for delivery drivers.
Fortunately, these costs do not have to be entirely out-of-pocket. Because you’re using your vehicle for work, these car-related expenses are tax-deductible, and the tax benefits don’t stop there. You can also deduct a portion of your phone expenses, as you use it to operate the Dasher app.
Navigating taxes as a DoorDasher requires diligence. Without tracking your write-offs, you may face an unpleasant surprise when you see your tax bill. To avoid this, it’s essential to meticulously track your business expenses.
To simplify this process, consider using Keeper to automatically scan your purchases for potential deductions. Keeper is designed to assist gig workers in identifying write-offs and automating bookkeeping tasks, making tax preparation easier and more efficient. For additional insights, explore our guide on delivery driver tax write-offs on money-central.com.
-p-500.png)
2. Identify The Best Times To Dash
You want to work during peak hours, but not when many other DoorDash drivers are also seeking orders. Balancing driver availability with customer demand is crucial.
Here’s what we suggest, based on our research:
2.1. 6 AM – 9 AM: The Early Bird Catches The Worm
If you prefer starting early, these hours can be very profitable. Many people order breakfast, and few DoorDash drivers take advantage of this demand.
You can find well-paying orders with less competition during these hours.
2.2. 11 AM – 1 PM: The Lunch Rush
Lunchtime is typically busy for all food delivery apps.
This is a short window, but you can complete several deliveries if you’re available. If you’re Dashing full-time, consider taking a lunch break after this rush.
2.3. 5 PM – 9 PM: Dinner Time
Restaurants and food delivery services are busiest during dinner, especially on Saturdays and Sundays. This provides a solid four-hour window to accumulate orders.
However, this is also the busiest time for drivers. If you plan to work during the dinner rush, schedule your dashes in advance using the Dasher app.
2.4. After 10 PM: Late-Night Orders
Delivery workers often receive higher customer tips during later hours. This makes late hours profitable, especially in major markets like New York City. It’s less about order volume and more about higher payouts per order.
These times usually suit experienced Dashers. However, your most profitable times will depend on your location. Experiment to find what works best for you.
3. Book Your Dashes In Advance
An area is greyed out on the map if many DoorDash drivers are in that zone, meaning you cannot Dash there. Here’s how to avoid this so you don’t miss out on good-paying dashes.
Schedule your dashes ahead of time.
Booking your desired area in advance is essential. When this happens, open the Dasher app and book the area you want to work in.
You can access even the most competitive areas using this trick. If you book your preferred area and time slot, it doesn’t matter if it gets greyed out because your Dash is already secured.
You can pre-book dashes up to six days in advance with this strategy. It is beneficial for Dashing in busy cities.
Sign up for tax university- Keepertax
4. Don’t Waste Time Hovering Around A Single Hotspot
Waiting outside a busy restaurant doesn’t increase your chances of receiving an order. Anyone within a two- to three-mile radius can get selected.
Instead of waiting outside one restaurant, it’s better to position yourself near several restaurants. You’ll be within range when any of them request deliveries.
Pro tip: Park at a mall with multiple restaurants to reach them more quickly.
5. Stop Worrying About Your Acceptance Rate
Maintaining an acceptance rate above 70% provides perks, including priority on higher-paying orders.
This part of DoorDash’s pay structure can entice you to accept all orders. However, it is not worthwhile.
The platform offers orders for minimal amounts and increases the base pay until someone accepts the order, similar to an auction.
When more Dashers decline low-paying orders, DoorDash increases their base pay.
It’s more efficient to skip bad deliveries and wait for better ones. There are no repercussions for declining orders. Even if your acceptance rate drops to 20%, there’s no need to worry.
6. Know Which Deliveries To Avoid
To maximize your time, be selective. Driving eight miles for $3 or $4 orders isn’t worth the fuel.
As a rule, aim for a base pay of at least $2 per mile. While $1 per mile might be suitable for quick orders, avoid those otherwise.
Aim for orders above $7, preferably from popular restaurants that are likely busy and may offer multiple dashes.
Avoid poor orders, and start your dash 10 minutes before you start. The initial orders are often declined by multiple Dashers.
Here is your cheat sheet for deliveries to avoid:
6.1. Walmart Groceries
Walmart runs can be unpredictable compared to restaurant deliveries. Always check the number of items you will deliver, as you might encounter deliveries with many items and heavy water cases to carry to upper floors without elevators.
6.2. Fast Food Drive-Thrus
These trips often involve long waits as you must queue with other customers. Unless the base pay or tips compensate for the wait, skip these.
6.3. Orders Far From Hotspots
You get paid while delivering, not while driving back to hotspots. Only accept these orders if the payout covers the return trip or takes you to another hotspot.
7. Don’t Be Afraid To Cancel Accepted Orders (Sometimes)
Knowing which orders to reject immediately is beneficial. However, sometimes, you must cancel after accepting.
Frequent cancellations can result in removal from the platform, so maintain a high completion rate.
Cancel if you arrive at a restaurant, the order isn’t ready, and you must wait 15 to 20 minutes.
Waiting without pay is unproductive.
Inform the customer if this occurs. Notify them that you are at the restaurant, the order isn’t ready, and you are canceling so another Dasher can deliver it when ready.
From the customer’s perspective, there is no harm done; you are simply keeping them informed.
8. Restart The DoorDash App Regularly
Poor cell service can cause GPS glitches and app crashes during driving.
You won’t receive orders while experiencing technical issues. Restart the app if you are not receiving dashes or getting deliveries in the wrong area.
DoorDash support recommends this. Your dash is registered on DoorDash’s servers, so restarting the app won’t delete progress or data.
Regularly restarting your app can help you get new orders, even without reception issues.
Restart your app after each dash and every few minutes until you get an order.
9. Follow Customer Instructions
Good service often results in good tips and ratings. Following the customer’s instructions is a big part of that.
During COVID, many customers wanted contactless deliveries. Some requests may seem unreasonable, but it’s important to comply for better tips.
If the customer asks you not to knock, don’t knock. Place the food where they specify.
Most DoorDash customers provide straightforward instructions. Contact the customer if something is complex or unclear.
10. Be Careful With Hot And Cold Items
Delivering melted ice cream or lukewarm soup can reduce tips.
Separate hot and cold items, ideally in insulated bags.
This also applies to cold drinks, especially those with ice.
11. Keep A Sharpie In Your Car
A permanent marker allows you to write customer names on their orders. Many places include a receipt with the customer’s name, but some do not.
This simple trick prevents confusion when handling multiple orders. Incorrect deliveries result in bad ratings.
12. Send Out Updates
DoorDash customers enjoy receiving their food, and they appreciate personal updates about their delivery, even with map tracking.
Unless instructed otherwise, keep them updated at each step. Prepare and save messages in your notes to copy and paste easily into your chat with the customer.
Send updates in these situations:
12.1. Arrival At The Restaurant
Notify the customer that you’re waiting to pick up their order.
12.2. When You Receive The Order
After heading out, input their address into Google Maps and send them your ETA.
12.3. If There’s A Delay
Inform them immediately if you hit traffic to avoid surprising them with a late delivery.
12.4. When You’re 3-5 Minutes Away
Alert them when you’re approaching so they can keep an eye out. This is particularly important in complexes or areas without clear house numbers, allowing them to prepare for your arrival.
12.5. Upon Arrival
For contactless deliveries, send a final update that their food is here.
Make a good final impression for in-person drop-offs. Unless the customer requests no knocking, knock on the door and step back nine feet. Smile and wish them a good morning, day, or evening if they answer in front of you.
13. Look Professional On The Job
Wearing DoorDash apparel isn’t necessary, but presenting yourself well can affect your tips.
Avoid wearing baggy pants or T-shirts with controversial slogans. It’s best to avoid political T-shirts.
Leave unprofessional clothing in the closet when Dashing.
14. Contact Support If You Hit A Roadblock
Dashing can be unpredictable. You might receive a large tip or drive miles to the wrong address due to a customer error.
There may be instances where you cannot reach the delivery address or contact the customer.
Contact support immediately if this happens. This protects you if you must cancel the order.
15. Get On More Than One Delivery App
Many Dashers also use other platforms, including:
- Uber Eats
- Grubhub
- Instacart
These gig economy apps offer numerous opportunities, even if DoorDash is slow.
You can also use these apps to enhance DoorDash deliveries. After accepting a dash, check the other apps for deliveries from the same location.
Finding and accepting a delivery on another platform effectively doubles your earnings, as you receive payment from two platforms instead of one.
This is for experienced delivery drivers. Otherwise, you may delay orders, leading to poor ratings.
Expense tracking has never been easier
16. Take Advantage Of Fast Pay
Instant payments can be invaluable, providing the option to withdraw earnings immediately for expenses like fuel.
DoorDash offers Fast Pay, a service that transfers your earnings to your account instantly.
Each transfer has a $2 fee. However, the funds typically deposit within minutes, eliminating the need to wait for the weekly payment.
FAQ: Maximizing Your DoorDash Earnings
16.1. What Tax Write-Offs Can DoorDash Drivers Claim?
Dashers can deduct business expenses that are “ordinary” and “necessary” for their work. These include:
- Car insurance
- Vehicle registration
- Lease payments
- Gas costs
- Parking and toll fees
- Car depreciation
- Repair and maintenance
- Bicycle and helmet
- Food delivery hot bags
- Portion of cell phone bill
- DoorDash commission fees
16.2. How Can I Earn More As A DoorDash Driver?
Earning more as a Dasher involves getting to know your area and its ordering habits. Here are some additional tips:
- Aim for a base pay of at least $2 per mile: Ensure that your time and gas are worth the money. A rate of $1 per mile is acceptable for quick trips in the area.
- Read customer instructions carefully: Follow the instructions and ask for clarification if needed.
- Send updates to customers: Provide updates on your progress, even if they can track their order on the app. Let them know if you’re on your way or running late, which can boost tips.
- Keep a marker in your car: Label orders with customer names to avoid mix-ups, especially when handling multiple orders.
16.3. What Are The Best Times Of Day For Dashers To Work?
The best times to work are when customer demand is high and Dasher competition is low:
- 6 AM – 9 AM: Breakfast hours offer a steady flow with fewer drivers.
- 11 AM – 1 PM: The lunch rush can be lucrative, especially near office buildings.
- 5 PM – 9 PM: Dinner time is the busiest for deliveries, but there are often plenty of orders. Book your time slot in advance through the Dasher app.
16.4. How Do I Contact Dasher Customer Support?
You can contact Dasher customer support for any issues that arise.
Contacting customer support is preferable to frequently canceling orders, which can damage your acceptance rate.
Maximizing your DoorDash earnings requires a strategic approach that encompasses tax optimization, timing, customer service, and operational efficiency. By implementing these tips, you can enhance your profitability and achieve financial success on the DoorDash platform.
For more detailed advice, tools, and resources to help you manage your finances effectively, visit money-central.com. Our comprehensive guides and expert insights are designed to empower you to take control of your financial future.
Are you facing challenges in understanding complex financial concepts, creating an effective budget, or finding safe investment channels? At money-central.com, we provide easy-to-understand articles, comparison tools, and expert advice tailored to your unique situation. Whether you’re looking to manage debt, improve your credit score, or save for retirement, we offer the guidance you need to succeed.
Don’t wait to take control of your financial well-being. Visit money-central.com today to explore our resources and connect with financial advisors who can provide personalized support.
Address: 44 West Fourth Street, New York, NY 10012, United States.
Phone: +1 (212) 998-0000.
Website: money-central.com.