How does Doordash Tips Work? Customer tips will increase your earnings besides the Base pay to make a total earning as a Doordash driver. We know that Doordash will guarantee that the Dasher’s will receive the minimum earning of the amount per delivery. If you got a big amount of tips from the customer, you will have a chance to receive a larger amount than guaranteed minimum earning.
As a Dasher, you may have a question about how do Doordash tips work related to the total earnings. As explained above that Doordash have several elements of payment to calculate total earning for the Dasher.
Do dashers get all the amount of customer tips that were given? So dashers will always make a larger amount of earnings if got the tips from a customer? Let’s see the explanations below to make it clearly If you want to get more money when deciding to become a Doordash Driver.
How Does Doordash Pay?
Doordash driver also known as Dasher must know and agree with the Doordash Pay Model. Refer to how dasher pay works article from the website, here is the Doordash pay calculation.
For each delivery, Dashers will earn at least $1 as Base Pay. Dashers also have an earning from customer tip. For example, if you make a delivery and got a $3 tip from a customer, your earning should be $4.
In this case, Doordash will increase your earning so it will be the same with the amount of minimum guarantee earning. That is because when you are offered a delivery, Doordash will ensure that your total earnings are never less than the amount of earning that you are guaranteed.
What are the Guaranteed Minimum Earnings?
Doordash will guarantee your minimum earning when you offered a food delivery. The guaranteed minimum earning is the number of earnings including tips, that you are shown when you are decided to do a delivery.
The amount of guaranteed minimum earning is based on a variety of factors. Below is the factor that affects The Guaranteed Minimum:
- The size of the order.
- Do you have to place the order in person directly?
- The projection of driving distance, traffic, and parking.
- And also how long you wait at the store.
With the Guaranteed minimum, you will guarantee to receive at least the guaranteed minimum if you accept the delivery and complete it. You might earn more if you receive the tip from the customer.
How Does Doordash Tips Work?
After reading the above statement, now we can calculate how do Doordash tips work in total earning. We will have two conditions so we can make it clear to understand.
How do Doordash tips work when Base pay plus tip is less than the guaranteed minimum?
In this condition, Doordash will make an additional payment to make it equal to the guaranteed minimum.
For example, if the guaranteed minimum amount is $10. And you make the base pay plus tips for amount $4. So Doordash will make additional payment for the amount of $6.
See the table below to see the calculations:
Guaranteed minimum | Doordash Base Pay | Customer Tip | Additional Pay | Total Earnings |
$10 | $1 | $3 | $6 | $10 |
How do Doordash tips work when Base pay plus tip is more than the guaranteed minimum?
In this condition, you will keep a larger amount of total earnings. For example, if the guaranteed minimum amount is $10. And you make the base pay plus tips for amount $13. So your total earning is amount $13, larger than $10.
Because your total earning is more than the guaranteed minimum earning so Doordash will not make an additional payment. But you still keep the larger amount.
See the table below to see the calculations:
Guaranteed minimum | Doordash Base Pay | Customer Tip | Additional Pay | Total Earnings |
$10 | $1 | $12 | $0 | $13 |
Does Doordash Tip Go To Driver?
So it is clear now where is the customer tip goes to. By reading How Does Doordash Tips Work above, we see that Doordash tip is going to the driver. And the more important is Doordash does not steal tips that drivers got from a customer.
Maybe the point of view should be wider now. Doordash does not say that the total earnings are the guaranteed minimum plus customer tip. But, some of the dashers may confuse in this pay model, so let’s make it’s clear and easy to understand.
The customer tip is 100% go to Doordash. If the total earnings below guaranteed minimum earnings, so Doordash will pay as same as the amount of the guaranteed minimum value. And Doordash will make an additional payment here.
But if the total of “Base Pay” plus “Customer Tip” is larger than guaranteed minimum earnings, Doordash will not make an additional payment here. Doordash driver will receive the total earnings and Doordash will not cut the number of earnings as same as the guaranteed minimum.
We should use clean thinking in this regard. Every system must have advantages and disadvantages. So what has been agreed should it be that it should be run by drivers. Hope this article makes clear and answer the question of how do Doordash tips work.