Amazon Flex pays advertises that they pay $18-$25 per hour. But what are your actual earnings?
When you choose to accept a delivery block, you will be shown a estimated pay range (e.g. $40 – $54). If you deliver for Prime Now, the bottom end of this range is your guaranteed base pay. Typically this is $18 or $20 per hour. On top of this, drivers can earn 100% of tips paid by customers when delivering. We find that the average amount of tips is approximately $3 – $5 / hour, so typical gross earnings are in the range of $21 – $25 / hour.
Because Amazon Flex drivers are considered independent contractors, all costs (gas, depreciation, etc) for making the deliveries are the responsibility of the driver. Driving distance covered will depend on the location, as well as the distance between your home and the Amazon warehouse. Based on typical route distances and the standard IRS deduction, most drivers will see average costs in the range of $5 – $7 / hour.
At the end of the day, the amount of profit that Amazon Flex will pay is usually in the range of $14 – $20 / hour. If you can manage to find enough shifts to work 8 hours per day, this equates to an annual salary of $30 – $40K / year. Don’t forget that these earnings are taxable (and must be self reported on Schedule C) and should be considered when calculating the final amount of money you can keep in your bank account.
When Amazon anticipates higher demand for drivers, they may offer increased rates of 20% to up to 50%. These can be lucrative opportunities to earn more than usual.