When I go to my go-to grocery store, I often see more Instacart shoppers than regular customers. They’re always on the move, quickly grabbing items off the shelves and filling their carts. It makes me feel like I’m wasting time doing my own shopping every week.
Working as a shopper for a grocery delivery service like Instacart is a pretty sweet gig in the sharing economy. Instacart treats in-store shoppers, those who pick and pack orders in the store, as regular employees. This means they get a guaranteed base wage and certain legal rights that independent contractors don’t have.
From what I’ve heard, Instacart shoppers tend to earn more than those in other sharing economy jobs that don’t pay hourly wages. Plus, the flexibility to work whenever you want is a big draw for people new to gig work.
If you’re interested, here’s what you need to know about being an Instacart shopper.
There are two types of Instacart shoppers: full-service shoppers and in-store shoppers. Both get paid weekly and do similar work in the store, but there are some key differences.
Full-service shoppers are independent contractors who get orders through the Instacart app, decide whether to accept them based on the expected payout, and then shop and deliver the orders to customers. Orders come in "batches" of up to three customers’ orders from the same store.
The pay for full-service shoppers includes a variable base payment for delivery, an incentive payment to encourage the shopper to accept the order, a mileage reimbursement, an optional tip from the customer, and a "bump" payment to ensure the total payout is at least $10.
If there are in-store shoppers at the store, full-service shoppers might only need to deliver orders. These orders might pay less.
However, Instacart’s payment structure for full-service shoppers can change. The last major change was in late 2020 or early 2021, and it’s been a mixed bag. On average, pay has been decreasing over time.
Instacart no longer says that full-service shoppers can expect to earn up to $25 per hour. The latest change increased the base payment and ensured shoppers get 100% of optional tips. Realistically, full-service shoppers should expect to earn $10 to $20 per hour before expenses, depending on order volume, batch fees, and tips.
Full-service shoppers can work whenever they want and as much or as little as they want. Instacart encourages them to work during peak grocery shopping times, but there’s no penalty for not doing so.
However, if a shopper declines several orders in a row, the Instacart app assumes they’re done for the day and logs them out. They have 30 minutes to log back in before they’re forced to quit for the day.
As independent contractors, full-service shoppers are responsible for their own state and federal income taxes. If they earn more than $400, they have to pay self-employment tax and might need to make quarterly estimated tax payments. Instacart doesn’t withhold tax from their pay.
Also, while they’re reimbursed for miles driven, full-service shoppers have to pay for vehicle expenses like fuel and maintenance out of pocket.
In-store shoppers are employees based at supermarkets and warehouse stores in Instacart’s network. They get orders through the Instacart app, shop for those orders, check out, and hand off the orders to Instacart delivery drivers.
As Instacart employees, in-store shoppers are guaranteed a minimum wage and certain legal rights.
In-store shoppers can choose their own hours and aren’t required to work during peak times. However, they tend to earn more per hour when order volume is high.
Under the Affordable Care Act, employers have to provide health insurance to employees who work more than 30 hours per week. Instacart limits in-store shoppers to 29 hours per week, so they don’t get health insurance benefits.
If you want to be an Instacart shopper, here’s what you need to know.
To be a full-service shopper, you need to be at least 18, have legal authorization to work in the U.S., be able to lift up to 50 pounds, have regular access to a reliable vehicle, and have a newer smartphone that can run the Instacart app.
Instacart encourages people with experience in the grocery or transportation industry to apply, but it also accepts applicants without such experience.
To be an in-store shopper, you need to meet the same requirements, except you don’t need a vehicle.
Instacart encourages people with experience in the grocery industry to apply, but it doesn’t require any specific work history or exclude applicants without experience.
The application process for Instacart is pretty straightforward. The initial online application only takes a few minutes. You’ll need to enter some basic personal information, indicate whether you have regular access to a car, enter your phone number, and schedule an in-person hiring session.
The hiring session usually takes two hours and includes an orientation and skills test. However, if there’s no session available when you apply, you’ll have to wait until one is scheduled.
If you’re not required to attend a hiring session, you’ll move on to the next step, which involves completing employment paperwork, signing a contractor agreement (if applicable), providing your driver’s license information (if applicable), and consenting to a criminal background check.
Before you apply to be an Instacart shopper, there are a few things you should consider.
First, understand that full-service shoppers are independent contractors, not employees. This means they have more control over their work schedules and environments, but they don’t have the same legal rights as employees. They also have to handle their own income tax obligations, pay self-employment tax, and cover their own expenses.
Second, read reviews from current and former Instacart shoppers to get a sense of what the job is really like.
Third, treat your first few weeks as a trial period to see if the job meets your expectations.
Fourth, consider the impact on your vehicle if you’re thinking about becoming a full-service shopper.
Fifth, weigh the potential earnings against the opportunity costs.
Sixth, try to get a sense of the order volume and competition in your area.
Finally, factor in traffic, parking, and lines at the store.
In conclusion, working as an Instacart shopper isn’t easy, and it won’t make you rich. However, it does offer some benefits, such as the protections of traditional employment for in-store shoppers and the freedom and flexibility for full-service shoppers. Whether it’s worth it or not depends on your individual circumstances and preferences.
