Over the last few years, technology and apps have made making money on the side easier than ever before. And the demand for these platforms has also grown for a few reasons:
- The convenience factor for busy families
- A great way for others to make money
- How easy it is to use or become a gig worker
But this demand has truly skyrocketed due to COVID-19 and the rise of social distancing in 2020. This caused many people to, unfortunately, lose their jobs. And for others, it created the need to get their shopping done in alternative ways and to have less contact with people.
And Shipt has been a great option for those staying home but still need groceries or other items for their household.
So what is Shipt? How can you make money as a Shipt Shopper? Is it worth trying? Below you’ll learn the answer to all those questions and more!
What Is Shipt?
If you are new to how apps can make you money and the idea of Shipt, stick with me here briefly before we get into the finer details.
Shipt is a delivery service acquired by Target in 2017, which allows users to request groceries and other household items from various partner stores. You can also be a Shipt Shopper, where you’ll be assigned orders right through the app. You’ll shop and deliver the items in the given timeframe.
Common items that can be delivered using Shipt include groceries, snacks, dairy, beverage (alcohol as well, but must be 21+ to shop and deliver for that), pantry, household essentials, frozen, baby, and more.
What Stores Does Shipt Work With?
Since Target owns Shipt, naturally, one of the partnered stores is Target! But the app and service are not just limited to that one massive store.
In fact, Shipt has a solid choice of partnership stores, including Petco, CVS Pharmacy, Costco, Winn Dixie, HEB, Crest Foods, Meijer, and more!
How Does Being A Shipt Shopper Work?
As a Shipt Shopper, you’ll have complete control over when you’d like to work, as well as which parts of town in your local area that you’d like to shop.
What’s cool about being a shopper with Shipt is you can also set your own schedules that you are willing to work. So the amount of money and work you’d like to do is in your control. Almost like being your own boss!
Here’s how you would get started shopping
Once you are approved as a Shipt Shopper and join the community, you choose how many orders you plan on shopping for.
Within the app, you can select dates, times, and areas you are interested in shopping. And you can set up the schedule a week in advance or on the same day.
After your schedule is set up, you’ll begin to receive offers for orders based on your schedule and the various rates you will be paid.
What’s cool is new shoppers will receive a prepaid card along with a Shipt Shopper shirt in their welcome pack. This is how you’ll pay for orders that come from Shipt. The card is funded with the order amount (and a bit extra) before your delivery time begins.
In the order section of the app, you’ll see order notes that provide details of drop-off information and requests. You can also message the member who ordered when you are on your way to deliver.
With COVID-19, Shipt currently only ensures the items are dropped off at the front door instead of face-to-face delivery.
How Much Do Shipt Shoppers Make?
By becoming a shopper through the Shipt app, this could become a solid part-time job for you or just a casual side hustle to bring in some extra money.
But the question is, with any gig economy job, is how can you make it?
According to Shipt, their more experienced shoppers can make anywhere from $16–$22 an hour. This is in addition to any tips they may receive, which the shopper keeps 100% of those profits.
To make this easier, I broke it down into a few common questions around how Shipt members make money.
How does Shipt determine pay?
As a Shipt Shopper, you’ll be an independent contractor and are paid on a per order basis. Each order will be offered with an estimated payment based on the time and effort to complete a given order.
Do Shipt Shoppers get tips?
As a shopper with Shipt, you can get tips from people you deliver to, either in the form of cash or through the app directly. As a shopper, you keep 100% of the tips, which can be a nice extra on your payment. It’s not required by the person who ordered items, so you may not always get tips.
Do Shipt Shoppers get paid weekly?
There is no minimum threshold with Shipt, so you will get paid weekly on a Friday from anything you earned. This will include your payment for any delivered orders and any tips that were sent through the app.
Does Shipt take taxes out?
Since you are an independent contractor, Shipt does not withhold taxes on any weekly paychecks you may receive from them. This means you will be responsible for filing your own taxes appropriately. But Shipt will send you a 1099 form if you earn above a certain amount at the end of the year.
Will I get reimbursed for mileage with Shipt?
Currently, Shipt does not reimburse for mileage on any of your deliveries. But since driving is related to your work, you can track mileage and file that with your taxes, lowering your tax burden. If you plan to drive a lot with Shipt, definitely consult a tax professional on the best way to do this.
The Benefits of Becoming A Shipt Shopper
Now that you know more about delivering items with Shipt and how it works, what are the benefits of becoming a Shipt Shopper? No app or service is perfect, but there is plenty to like about this company and its work.
You can work on your own schedule
With Shipt, you are an independent contractor and can work for what best suits your needs. You can choose to shop and deliver orders as much as little as you’d like. It’s pretty cool to be in control and only you can determine how much money you’ll make.
You work alone without traditional distractions
Do you prefer to work alone and not be distracted by other co-workers? Then this could be the right job for you.
There will be some interactions at the stores when you purchase items, and you need good communication skills, but otherwise, you are on your own. Becoming a Shipt Shopper is a great job for introverts.
You can make decent money
As mentioned earlier in this article, many shoppers make $16-$22 per hour shopping and delivering items. Additionally, customers may even tip (although it’s not required, it is encouraged by Shipt), which can add some additional money to your pocket.
Excellent support for anything you need
Shipt has 24/7 customer service support for both the members and contractors. That way, no matter when you are shopping, you have access to a team who can help you with anything.
So if your card doesn’t work for some reason, questions come up, or anything else — you’ll have fast answers to your needs.
Additional perks when you are a shopper
Besides solid pay and flexible work schedules, Shipt gives you additional perks by being a member of their team. Things like discounts on insurance, prescriptions, and more.
These are just bonus benefits offered to you, which you can choose to participate in or not.
As you reach new shopping and delivery milestones, you’ll get other rewards like gift cards, t-shirts, and other various things.
Shipt Shopper Application Process
If you are interested in joining Shipt as a shopper, you’ll need to go through their application process. You will also need to meet a few requirements first before you can be considered into the program.
Before you consider applying, make sure you fit their requirements for becoming a shopper. The last thing you’d want to do is waste your time on the application when you don’t meet their initial standards.
The minimum requirements include:
- You’ll need to be at least 18 years of age
- A valid U.S. driver’s license and auto insurance are a must
- You will need a reliable vehicle (1997 or newer)
- iPhone (iOS 10 or newer) or Android (5.1 or newer)
- The basic knowledge of produce selection
- Must be able to lift to 40 pounds
If you don’t meet these requirements, then, unfortunately, Shipt might not be for you right now. However, if you do, then you can move on to applying right online.
Your hiring process happens in three simple steps.
You’ll first fill out the very short application on their website. It will take you a minute to do.
Someone from Shipt will reach out and schedule an interview with you. To make sure you are a good fit and ask any additional questions.
When all goes well, you’ll be approved. Then you can download the app and start accepting jobs and start earning money.
Does Shipt or Instacart Pay More?
Naturally, Shipt is not the only app in the delivery and grocery delivery game. Another popular one you might have heard of is Instacart. Each offers similar services and value to both the contractor and the person using it to get items delivered.
Shipt and Instacart are quite similar when it comes to paying, where the average seems to land between $16-$20 per hour. Most new shoppers on either app will not make the high-end of that until they are consistently shopping and delivering orders.
Both also offer tips for deliveries, which you keep 100% of any tips that you make on top of the hourly pay for the job.
If you are unsure about Shipt or Instacart, you can also try each app out and see which is creating the best ROI for you. There may also be features you prefer on one app over the other.
Is Driving for Shipt Worth It?
If you are looking for work or to make extra money and don’t mind the delivery services, then becoming a Shipt Shopper could be a good gig for you.
And if you meet their requirements and you enjoy shopping or driving, then it’s worth signing-up and giving it a try.
With the pandemic causing havoc on the economy and there are tons of multi-level marketing scams trying to take advantage of people, Shipt is a good way to generate some extra cash.
Remember, Shipt averages anywhere from $16-$22+ an hour for experienced shoppers and you can set your own schedule. Obviously, like so many jobs in the gig economy, you’ll make more money with the amount of effort you put into it.
This article originally appeared on Your Money Geek and has been republished with permission.
Founder of Invested Wallet and featured in Time, Business Insider, & HuffPost. Self-educated on personal finance and investing. He’s passionate about financial freedom, investing, side hustles, and helping others realize they too can transform their finances.