Unbelievable $23.36 Double Order Instacart Batch Breakdown ($8.69 Tip)
Let’s break this $23.36 double order Instacart batch down into average numbers so we can look at the real data behind this unbelievable offer. For all my breakdowns, these are absolutely the best-case scenarios. We are assuming you are already sitting in the store parking lot, you can shop 1 item per minute, you’re traveling at an average speed of 60MPH, hit every green light, and your car gets at least 50MPG. For the sake of the example, we do not include variables not mentioned, like the cost of car maintenance, for example.
The Real-World Math Of This $23.36 Double Order Instacart Batch
First, let’s look at the time investment required to complete this Instacart batch. The customer ordered 16 items. Even if you shop at a decent speed, averaging a 1 item per minute, it means you are spending 16 minutes just searching the aisles for the groceries and checking out.
Next, we look at the distance you have to drive to deliver this $23.36 double order Instacart batch. Keep in mind, there are 2 orders, so you have to stop twice. The delivery itself is 30 miles from the store. But as independent contractors, we have to look at the big picture. Unless you want to sit stranded out in the middle of nowhere, you have to drive back somewhere close to your zone to get another offer. That means the round trip is a total of 60 miles. Driving 60 miles at an average speed of 60 mph means you will spend 60 minutes sitting behind the wheel.
When you add your 16 minutes of shopping time to your 60 minutes of travel time, it takes a total of 76 minutes to complete this entire order from start to finish.
Crunching the Net Profit
Now let’s subtract the real expense of operating your vehicle to find out what goes into your pocket. If you are driving a highly fuel-efficient vehicle that averages an incredible 50 MPG, you are going to burn through roughly 1.2 gallons of gas. With gas priced at $4.00 per gallon, you are looking at exactly $4.80 in fuel costs to cover that 60-mile round trip.
When we take the $23.36 gross payout from Instacart and subtract our $4.80 fuel expense, your actual net profit drops to $18.56.
The Pathetic Hourly Rate & Minimum Wage Reality
To find out what your time is truly worth on this $23.36 double order Instacart batch, we divide that $18.56 net profit by the 76 minutes of total labor it took to do the work. It comes out to just under 24 cents per minute.
We multiply 24 cents by 60 minutes to calculate our true hourly earnings. When it is all said and done, this high-mileage batch leaves you grinding for a real-world rate of just $14.40 per hour.
While $14.40 might look like it beats the federal minimum wage of $7.25 per hour, that is a complete illusion. A regular minimum wage employee doesn’t have to pay for their own commercial overhead. Once you take that $14.40 and subtract 60 miles of severe vehicle depreciation, tire wear, oil changes, and self-employment taxes, your actual take-home pay completely bottoms out right into that federal minimum wage poverty line. This order is a vehicle killer, and it is officially DECLINED.
BONUS INFO
This is not in the video, but I just started figuring out the cost of regular maintenance, including oil changes, new tires, and new brakes. Based on averages, it is about $0.04 additional per mile. So let’s add this to the calculation! You have $23.36; minus the fuel cost of $4.80, you get $18.56; minus the estimated average maintenance cost of $2.40 for 60.0 miles, you get a net payout of $16.16.
So after adding maintenance cost, now the payout is $12.60 per hour! That is $1.80 less per hour than just accounting for fuel! But, still, that does not include the cost of surprise car repairs, insurance, taxes, and so forth! This $23.36 double order Instacart batch is slave labor!
Order Rating
An Unprofitable Bad Batch Covered in Deficient Pay