Is a $2 Tip Good Enough for Delivery?

Many people experience uncertainty when deciding how much to tip delivery drivers. The adequacy of a $2 tip is not a simple yes or no answer, as it depends on various circumstances surrounding the delivery.

Factors Influencing Delivery Tip Amounts

Several variables influence whether a $2 tip is considered appropriate, reflecting the effort and costs incurred by the driver. For instance, a $2 tip on a small, $10 pizza order differs significantly from the same tip on a $100 grocery order.

The distance a driver travels also plays a role in tip expectations. Long-distance deliveries consume more fuel and time. Additionally, the complexity of a delivery, such as navigating stairs, finding difficult parking, or handling multiple items, adds to the driver’s workload. Weather conditions, like heavy rain, snow, or extreme heat, can make deliveries more challenging and hazardous, warranting a higher tip.

The Driver’s Perspective on Tips

Tips form a substantial part of a delivery driver’s income, as many operate as gig workers with a low base wage. Drivers often earn below the minimum wage after accounting for their expenses. For example, some delivery drivers report earning around $11.12 per hour after expenses, which can be below the local minimum wage.

Drivers bear various operational costs that reduce their net earnings. Fuel expenses are a major ongoing cost, with gas prices typically ranging from 10 to 20 cents per mile, depending on vehicle efficiency and fuel costs. Vehicle maintenance, including oil changes, tire rotations, and repairs, represents another significant expense; annual costs can range from approximately $1,470 for a small sedan to over $6,111 for a medium SUV, varying with mileage. Furthermore, drivers may need specialized insurance, such as commercial auto insurance or a Transportation Network Company (TNC) endorsement, as personal auto policies often do not cover delivery work. Commercial auto insurance can average between $147 and $282 per month for small businesses. Considering these substantial operating costs, a $2 tip, particularly on longer or more complex deliveries, can leave a driver with very little profit.

General Tipping Guidelines

General recommendations for tipping delivery drivers often suggest a percentage of the order total. Many experts and drivers agree that 15% to 20% of the order value is an acceptable range for a standard delivery. For instance, Grubhub advises a minimum of $5 or 20% of the meal price, whichever is greater.

Regardless of the order size or distance, it is often recommended to provide a minimum tip of $3 to $5 to help drivers cover their basic costs. For small orders under $10, a $2 to $4 tip can be adequate. It is important to remember that delivery fees charged by platforms or restaurants typically do not go to the driver. Customers should consider increasing their tip beyond the general guidelines for challenging circumstances, such as inclement weather, long delivery distances, large or bulky orders, or exceptional service. A thoughtful approach to tipping acknowledges the driver’s expenses and effort, recognizing that a $2 tip is rarely sufficient except for the shortest, simplest, and least expensive deliveries.