Gig Economy Net Income Calculator
Gross earnings on gig platforms like Uber, Lyft, DoorDash, Instacart, TaskRabbit, and Amazon Flex can be misleading because platform fees, vehicle costs, self-employment taxes, and other expenses significantly reduce what you actually keep. This gig economy net income calculator helps you estimate your true net earnings per week and per hour by deducting mileage costs (using the 2025 IRS standard mileage rate of $0.70 per mile), platform fees or commissions, phone and data costs, and estimated self-employment and income taxes. The result is your real take-home income and true net hourly rate.
Gig net income formula (2025)
Mileage Deduction = Miles x $0.70 (2025 IRS standard mileage rate)
Platform Fee = Gross x Platform% / 100
Total Deductions = Mileage + Platform Fee + Phone + Other
Net Profit = Gross - Total Deductions
Taxes = Net Profit x Tax Rate% / 100
Take-Home = Net Profit - Taxes
Hourly Rate = Take-Home / Hours Worked
Frequently asked questions
How much do gig workers really make after expenses?
Studies of rideshare and delivery drivers consistently show that real net earnings after vehicle expenses, platform fees, and taxes are significantly lower than gross pay. A 2019 study by the Economic Policy Institute found that Uber drivers earned a median net hourly rate of $9.73 after expenses, well below minimum wage in many states. Current earnings vary widely by market, hours worked, platform, and how aggressively drivers manage their expenses and tax deductions.
What vehicle expenses can gig workers deduct?
Gig workers can deduct vehicle expenses using either the standard mileage rate ($0.70 per mile for 2025) or actual expenses (gas, insurance, maintenance, depreciation) multiplied by the business use percentage. The standard mileage rate is simpler and often more advantageous for high-mileage drivers with newer vehicles. You must track every business mile driven with a mileage log.
Do rideshare and delivery drivers pay self-employment tax?
Yes. Gig workers are classified as independent contractors, not employees. This means they pay self-employment tax at 15.3% (on net earnings up to $176,100 in 2025) on top of income tax. This can make the effective tax rate on gig income 30-40%+ for workers with significant other income. Keeping business expense records is critical to reducing the SE tax base.
Is it worth doing gig work for income?
It depends on your alternatives, vehicle depreciation, and local market conditions. Gig work offers flexibility that has genuine value and may be worthwhile even at lower net hourly rates. High-earning strategies include working surge pricing windows, targeting airport and sports event pickups, maintaining high ratings for access to premium orders, and stacking multiple platforms to fill downtime. Calculating your true hourly net (this calculator) is the essential first step.
What platforms have the highest net earnings for gig workers?
Earnings vary significantly by market and timing. In general, higher-earning gig platforms in 2025 include Amazon Flex (package delivery, $18-25 gross per hour), TaskRabbit (skilled tasks, $25-75+ per hour depending on skill), and DoorDash Dash Now in high-demand windows. Grocery delivery (Instacart, Shipt) and rideshare (Uber, Lyft) typically offer lower net earnings but higher volume and predictability.
Sources
Reviewed by the CalculatorHub team, edited by James Graham, 14 June 2026. See our methodology.