Delivery driving is one of the most accessible ways to earn money in the US. But "delivery driver" covers two very different setups. One is a traditional job, where a company employs you to run routes. The other is app-based gig work, where you accept orders through a platform and work for yourself.
Both can make sense. The right choice depends on what you need from the work right now: steady pay, flexibility, low startup costs, or a path to something bigger. This guide compares the two on control, costs, stability and requirements, then gives you steps to take today.
The two models in plain terms
Employed route drivers
An employed route driver works for a company that assigns the work. Typical examples include drivers for local distributors, florists, pharmacies, food suppliers, furniture and appliance retailers, parcel carriers, and courier companies. Common job titles you will see on listings include delivery driver, route driver, courier, driver/helper and local delivery driver.
You usually get a schedule, a set area or route, and often a company vehicle. Pay is commonly hourly, and some roles pay per stop or per route. You are generally treated as an employee, which affects taxes, paperwork and benefits.
App-based gig drivers
An app-based driver signs up with one or more delivery platforms, such as those for restaurant food, groceries or packages. You choose when to log in, accept or decline offers, and use your own vehicle. You are generally classified as an independent contractor rather than an employee.
How each platform classifies and pays its workers can vary, and rules differ by state and city. Check the platform's current terms and your state's labor department website before you commit.
Control: who decides what you do
Gig work gives you more control over your hours. You can drive for two hours before another job or work only weekends. You can usually turn down offers you do not like, though declining too many can affect your standing or access to the best offers on some platforms.
Employed work gives you less flexibility but more predictability. Your manager sets your shift, route and delivery windows. You may have less say in your day, but you also know what to expect, and you are not competing with other drivers for orders.
A useful question to ask yourself: do you want to control your schedule, or do you want someone else to handle the scheduling so you can simply show up and work?
Costs: what you pay to do the job
This is where the two models differ most, and where many new gig drivers are surprised.
Gig driver costs
When you use your own vehicle, you typically cover:
- Fuel or charging
- Maintenance, tires and repairs
- Vehicle wear and depreciation
- Insurance, which may need to be adjusted for delivery use
- Phone, data plan and any insulated bags or phone mounts
- Self-employment taxes and income tax set-asides
The amount shown on a single delivery is not your take-home pay. A smart habit is to track miles and expenses from your first day, then work out your real hourly earnings after costs. Many drivers find that number is noticeably lower than their gross earnings.
A tax professional or the IRS website can explain what you can deduct and how to pay estimated taxes as a contractor.
Employed driver costs
If the company provides the vehicle, fuel and insurance, your out-of-pocket costs are much lower. You may still need to cover work boots, a phone, or a medical card if a role requires one. If you use your own vehicle for an employer, ask whether mileage or expenses are reimbursed and how.
As an employee, taxes are usually withheld from your paycheck, which makes budgeting simpler.
Stability: how reliable is the income
Employed roles are generally steadier. You can expect a regular paycheck, a defined schedule, and in many cases access to benefits such as health coverage, paid time off or a retirement plan. Benefits vary by employer and by whether the job is full-time or part-time, so ask about them directly before you accept an offer.
Gig income tends to rise and fall. Earnings depend on demand, time of day, your area, weather, and how many other drivers are logged in. A slow week can mean a small payment. There is typically no paid time off and no employer-provided health coverage, so you plan for those things yourself.
Pay for both models varies by location, employer and experience. Employed local delivery drivers are typically paid somewhere around the low-to-mid teens up to the low twenties in dollars per hour in many areas, with higher pay for roles that need specialized licenses or heavy lifting. Gig earnings per hour can swing widely and are hard to predict. Use these as rough guides only, and check current listings in your city for a realistic picture.
Requirements: what you need to start
For gig driving
Platforms usually ask for a minimum age, a valid driver's license, a vehicle that meets their standards, proof of insurance, and a background check. Some platforms let you deliver by bike or scooter in certain cities. Approval can be quick, which is why gig work appeals to people who need income soon.
Requirements differ by platform and location, so read the sign-up page for each service you consider.
For employed route jobs
Employers typically ask for a valid license, a clean or acceptable driving record, and the ability to pass a background check. Many also require a drug screen. Some roles need you to lift packages or furniture, so physical ability matters. Larger vehicles may require a commercial driver's license, and the rules on that come from official sources, so check your state's motor vehicle agency for what applies.
You apply as you would for any job: with a short resume, an application, and often a brief interview.
Which one fits you
Gig work may suit you if you:
- Need income quickly with minimal paperwork
- Want to fit driving around school, family or another job
- Own a reliable, fuel-efficient vehicle
- Are comfortable managing your own taxes and expenses
An employed route job may suit you if you:
- Want a predictable paycheck and schedule
- Would rather not put miles on your own car
- Value access to benefits and training
- Want a path toward lead driver, dispatcher, or logistics roles
Plenty of people combine the two, working a part-time employed route and picking up gig orders on days off. If you do, check that your employer is fine with it and that your total hours are safe for you.
How to apply for employed driver roles
Employers read driver resumes quickly, so keep yours simple.
- Lead with your driving record and license. State your license type and mention a clean record if that is true.
- Show reliability. Mention on-time performance, low absences, or any past work where you handled deadlines.
- List relevant skills. Route planning, navigation apps, safe loading, customer service and handling cash or paperwork all count.
- Include experience from other jobs. Retail, food service and warehouse work all show you can deal with customers and follow procedures. Gig delivery experience counts too, so describe it as the work it was.
- Be ready for practical questions. Interviewers may ask how you handle traffic delays, a missing package, an unhappy customer or a tight delivery window. Prepare a short example for each.
Steps you can take today
- Write down your three priorities: for example, flexibility, steady pay, or low startup cost.
- Check your vehicle, insurance and license so you know what you can offer.
- Search local job boards for route driver and courier openings to compare real pay and benefits.
- Read the sign-up requirements and current terms for any delivery app you are considering.
- If you try gig work, start tracking mileage and expenses from the first delivery.
- Speak to a tax professional or visit official government sources for the rules on contractor taxes, licensing and insurance in your state.
Neither route is better in every case. Employed driving offers stability and lower personal costs. Gig driving offers flexibility and fast entry. Knowing what each really involves lets you pick the one that fits your situation, and switch later if your needs change.
