If you want to be a delivery driver, DoorDash is a good way to go.
Unfortunately, one thing being an independent contractor doesn't come with? Pay stubs.
Working for DoorDash
Working for DoorDash is a great way to get a little extra cash and can even work as a full time gig if you live in the right area are willing to learn how to be most efficient. But, working as an independent contractor with DoorDash does have some drawbacks.
For instance, DoorDashers don't get benefits the way a normal employee would, and, as independent contractors, you need to pay your own income taxes.
But, when it comes to the realities of the modern gig economy, there really isn't a lot of independent contractor work that's better, especially if you aren't looking at a highly specialized or skilled niche.
Why Aren't There DoorDash Pay Stubs?
So, if you have a DoorDash account and or have been looking on the DoorDash website for employees you might have noticed that there's something missing from the app and site that you would find in a traditional employee portal - there are no pay stubs.
That's because your Dasher account is mostly there to help you keep track of your earnings and compare your performance week over week. As a self-employed independent contractor, DoorDash doesn't employ you, and therefore they don't have to provide a pay stub.
Think of independent contractor work this way, you work for yourself providing services to clients. In this case, your 'client' is DoorDash, you use your DoorDash account to accept jobs, and DoorDash pays you for completing those jobs.
The platform is just there to make these transactions possible, and to manage things like direct deposits into your bank account and a Dasher account where you can keep track of your total earnings and weekly income.
But, when it comes to verifying your income for loans, mortgages, or even rental leases, DoorDash doesn't have to help.
Difference Between Being An Employee And Being An Independent Contractor
One of the big things you need to understand if you're working as an independent contractor is that the rules for a traditional employee don't really apply to you.
However, that also means you have freedoms a traditional employee doesn't.
DoorDash employment verification isn't really a thing because they don't tell you when or how to work - two of the main requirements of being a traditional employee.
Just because you get DoorDash orders doesn't mean you need to accept them, and payments are based on services rendered rather than the hours you worked the job.
This system allows DoorDash as a company to save on employment costs, meaning that more of its total earnings are profit. But it also means that you need to have ways to establish your own proof of payment, and you need to be prepared to put aside money for taxes and to track business expenses, and report on business costs and earnings.
That's where making your own pay stubs can be really helpful. Instead of getting pay stubs through traditional employment, you can process and create your own using the information DoorDash provides contractors.
Why Would You Need DoorDash Pay Stubs
There are a lot of reasons you might need pay stubs. For instance, if you want to rent a new apartment, your pay stubs can be used as proof of income, which proves that you can pay rent.
Pay stubs are also an important form of employment verification. But, you won't really get DoorDash employment verification working as a delivery driver. Unless you're a developer working on the DoorDash website, an administrator, or another kind of direct company employee, DoorDash considers you a self-employed independent contractor.
Need more information on why you would need proof of income? Take a look at our proof of income guide.
The Difference Between An Earnings Tracker And A Pay Stub
There are a few big differences between earnings trackers and proof of income, but the most important is that they track different kinds of information.
Your earnings tracker is there to make sure you're getting the right payments from DoorDash, and so you have proof of how much you earned if there is ever a problem.
However, your DoorDash account earnings tracker isn't going to show the difference between your gross income and your net income, or how much you've already paid in taxes because DoorDash doesn't handle taxes or any other employment perks for you.
When it comes time to file your tax returns, for instance, you'll need to have a record of how much money you earned last year, and you may also need to set up quarterly estimated tax payments since you're your own employer.
Basically, most of the details that a pay stub would give you is missing in your total earnings report. It's not proof of income, because it's not complete. It might be how much you were paid, but it doesn't prove how much of that income you were able to keep after you file taxes and pay for things like retirement accounts or insurance.
How You Can Replace DoorDash Pay Stubs As An Independent Contractor
Now that you know why DoorDash doesn't provide pay stubs, and why pay stubs are different than the earnings in your earning tracker, let's talk about some of the alternatives you can use.
Make Your Own DoorDash Pay Stubs
When you work for DoorDash you're actually working for yourself with DoorDash as a client, so there's no reason you can't make a pay stub for yourself.
Making a pay stub for yourself, with yourself listed as the employer, is a relatively simple process, but you need to be consistent, and you shouldn't just list your gross earnings. Like any pay stub, you need to include your gross and net earnings, how much you are paying in federal and state taxes, and any other costs because of your job or that would normally be job benefits.
Once you've deducted taxes, insurance (if you have it), and retirement accounts, the remaining amount is your net income. A valid paystub is also income verification.
Not sure what your state requires in paystubs? Here's a quick guide to state-by-state requirements.
Providing Your Own Employment Verification
If you are self-employed, you can also sign your own employment verification assuming you have the right documents. Creating your own pay stubs is a great first step, but having your own LLC, a business bank account, and other signs of being a real business can help support your case.
Set Up A Separate Bank Account For DoorDash Earnings
Having a separate bank account, ideally, a second checking account can provide more proof of income and that you're using that income reliably. It also makes it easier to track how much you're spending on business expenses and how much your net income really is.
This is one step below setting up a business and opening a business account but works basically the same way in terms of creating a financial record and making it easier to keep track of your earnings.
Use Truework For Third-Part Income Verification
Another great way if you don't want to set up a more complex proof of income, or need income verification fast is to use Truework. DoorDash has a deal with Truework where they will provide proof of income and verify employment simply by setting up an account and logging in to Truework with your DoorDash credentials.
As a note, Truework will only provide verification to a third party, a company, or a potential landlord, you can't request your own information.
Use Bank Statements To Verify Income Or Provide Proof Of Income
As long as you have direct deposit set up and are making money, your paycheck can also be proof of income through your bank.
Print off the last 3-6 months of bank statements, depending on how long an income history you need. The bank statements will show your DoorDash earnings being transferred into the account. As long as the money being deposited is fairly regular, and you're getting paid on a regular schedule, many places will accept this as proof of income.
One of the advantages of working for DoorDash in the gig economy is that more and more people are making at least some of their income from non-employer paychecks, so more companies are accepting different kinds of proof.
Create A Business Account And Pay Yourself Self-Employment Income
Another good option is to set up a business bank account for your direct deposits to go into. From there, you can pay business expenses out of that account, and also pay yourself a regular wage.
Setting things up this way might feel like a bit of a process, but it's one of the best ways to get DoorDash to be proof of income.
Set Up Direct Deposit To Have Record Of What You're Paid
By default, DoorDash will use Direct Deposit to pay dashers, but it's important to make sure you have your direct deposit going into the right account. Don't transfer money from one account to another unless you're paying yourself a wage, paying bills, or otherwise using the money.
If you have a business account or a specific DoorDash payments and expenses account, make sure your Direct Deposits go there.
If you need to change what account DoorDash deposits into, you can make that change in your account settings.
Use Your Earnings Tracker In Order History To Provide Proof Of Income
If none of these options work for you, you need additional proof, or you're looking for immediate proof of income and don't have time to set up a Truework account, you can also screenshot your Earnings Tracker in your Dasher account.
This last form of income verification is a little iffy, not everywhere will accept it. But, if you don't have good alternatives, this can at least establish that you have been earning money, how much, and when.
Of all the options we've presented though, creating your own pay stubs is probably the best one.
Having your own pay stubs will help with income verification, seeming organized, and even paying taxes. And if you want to make it even easier, you can always use a pay stub generator to provide a template and walk you through the process.