Types of Delivery Driver Jobs in Canada
Before you start, understand that delivery driving in Canada falls into four main categories — each with different pay, requirements, and work styles.
1. Employee Package Delivery
Companies like UPS, FedEx, Purolator, and Canada Post hire delivery drivers as employees. You get benefits, pension contributions, and steady hours — but less flexibility. These are competitive positions that often require applying through corporate job postings.
2. Gig Package Delivery
Platforms like Amazon Flex, Walmart Spark, and Intelcom let you deliver packages as an independent contractor. You choose your own schedule but cover all vehicle costs yourself.
3. Food Delivery
DoorDash, Uber Eats, and SkipTheDishes are the big three food delivery apps in Canada. Low barrier to entry — you can start within days using a car, bike, or even on foot in some markets.
4. Grocery Delivery
Instacart combines in-store shopping with delivery. You shop the order yourself and then deliver it.
Requirements: What You Need to Get Started
Driver's Licence
For standard delivery driving (cars, SUVs, vans under 4,500 kg), a regular Class G (Ontario) or Class 5 (other provinces) licence is all you need. No commercial licence is required unless you drive a vehicle over 11,000 kg GVWR. (Source: Ontario MTO)
Age Requirements by Platform
| Platform | Minimum Age |
|---|---|
| Amazon Flex | 21 |
| Uber Eats | 19 |
| DoorDash | 18 |
| SkipTheDishes | 18 |
| Instacart | 18 |
| FedEx / UPS / Purolator / Canada Post | 18 |
Sources: Amazon Flex, Uber, DoorDash, SkipTheDishes
Vehicle Requirements
| Platform | Vehicle Needed |
|---|---|
| Amazon Flex | 4-door midsize sedan or larger |
| DoorDash | Car, scooter, bike, or walk |
| Uber Eats | Car, bike, or on foot |
| SkipTheDishes | Car or bike with insurance |
| Instacart | Car large enough for groceries |
| FedEx / UPS | Company vehicle (usually provided) |
How Much Do Delivery Drivers Make in Canada?
Employee Positions (Full-Time)
| Company | Hourly Pay | Annual Salary | Benefits |
|---|---|---|---|
| UPS | $18.64 – $37.67/hr | $38,000 – $75,641 | Full benefits, pension, union |
| Purolator | $18.99 – $35.42/hr | $39,500 – $71,121 | Benefits package |
| Canada Post | $22.51 – $23.89/hr | $46,800 – $49,700 | Full benefits, pension, union |
| FedEx | $18.97 – $25/hr | $39,448 – $52,000 | Varies by role |
Sources: UPS - ZipRecruiter, Purolator - Glassdoor, Canada Post - Indeed, FedEx - Indeed
Gig / Independent Contractor
| Platform | Typical Hourly (Gross) | Weekly Part-Time (20 hrs) | Notes |
|---|---|---|---|
| Amazon Flex | $22 – $28/hr | $440 – $560 | Highest base pay; blocks competitive |
| DoorDash | $15 – $25/hr | $300 – $500 | Base $2-$10/order + tips + Peak Pay |
| Uber Eats | $15 – $25/hr | $300 – $500 | Higher volume downtown; tips = 30-50% of income |
| SkipTheDishes | $14 – $22/hr | $280 – $440 | Shift-based; transit pay + per-delivery |
| Instacart | $16 – $23/hr | $320 – $460 | Includes shopping time; tips critical |
Important: Gig earnings are gross. After gas, insurance, vehicle wear, and taxes, net earnings typically drop by 25-40%. A $25/hr gross rate may be $15-$18/hr net. (Source: BetterPayJobs)
Step-by-Step: How to Sign Up for Each Platform
DoorDash
- Visit dasher.doordash.com or download the Dasher app
- Enter your email, phone number, and delivery area
- Provide your SIN (Social Insurance Number)
- Upload your valid driver's licence (if delivering by car)
- Consent to a background check
- Wait for approval (typically a few days)
- Activate your Red Card when it arrives
- Start dashing
Source: DoorDash Canada Signup
Uber Eats
- Go to uber.com/ca/en/deliver or download the Uber Driver app
- Create an account with email and phone
- Upload: driver's licence, vehicle registration, proof of insurance
- Consent to background check
- Wait for verification
- Go online and accept delivery requests
Source: Uber Canada
SkipTheDishes
- Download the Skip Courier App
- Tap Apply Now and create a courier account
- Provide: driver's licence, vehicle insurance, bank details
- Background check (up to 14 business days)
- Set your weekly availability or pick up open shifts
Source: SkipTheDishes Application
Amazon Flex
- Download the Amazon Flex app
- Create account (must be 21+)
- Provide: driver's licence, SIN, bank account
- Background check
- Once approved, browse and reserve delivery blocks
Source: Amazon Flex Requirements
Insurance: The Cost Most New Drivers Miss
Personal auto insurance does NOT cover you while making deliveries for pay. If you get into an accident while delivering with only personal insurance, your claim will almost certainly be denied and your policy could be cancelled.
Insurance Options and Costs
| Insurance Type | Annual Cost (Approx.) | What It Covers |
|---|---|---|
| Personal auto (baseline) | ~$1,725 – $1,850/yr (ON avg) | Personal driving only — NO delivery |
| Rideshare/delivery add-on | +$540 – $900/yr extra | Hybrid coverage while on delivery apps |
| Full commercial auto | ~$2,500 – $2,950/yr | Full business use |
The rideshare/delivery add-on is the most cost-effective option for part-time gig drivers — approximately $45-$75/month extra on top of your personal policy. (Source: Western Financial Group)
Provincial Insurance Notes
- Ontario: Minimum $200,000 third-party liability for personal; ~$500,000 for commercial
- BC: Insurance through ICBC — must declare business use
- Alberta: Private market — must declare commercial use to insurer
- Quebec: SAAQ covers injury; private insurers cover property damage
Taxes: What Every Delivery Driver Must Know
Self-Employment Income
As a gig delivery driver, you are an independent contractor. You report income on Form T2125. As of January 2025, all digital platforms (Uber, DoorDash, etc.) are mandated to report your gross income directly to the CRA — you will receive a T4A slip. (Source: Instaccountant)
GST/HST Registration
You must register for GST/HST if your annual revenue exceeds $30,000 over four consecutive quarters. Below that threshold, registration is optional but can be advantageous — you can claim Input Tax Credits on business expenses. (Source: CRA)
2026 CRA Vehicle Expense Rates
Self-employed drivers claim actual vehicle expenses prorated by business-use percentage. The CRA prescribed rates for 2026:
| Rate Type | 2026 Amount |
|---|---|
| First 5,000 km (provinces) | $0.73/km |
| Additional km (provinces) | $0.67/km |
| First 5,000 km (territories) | $0.77/km |
| Additional km (territories) | $0.71/km |
Source: CRA Kilometric Rates 2026
What You Can Deduct
- Fuel and gas
- Insurance premiums (business portion)
- Vehicle maintenance and repairs
- Loan interest or lease payments (prorated)
- Phone and data plan (business portion)
- Capital Cost Allowance (vehicle depreciation)
Keep a detailed mileage log separating business from personal use. The CRA requires this. (Source: DriversNote)
Provincial Regulations for Gig Drivers
British Columbia
BC is the first province with a gig worker minimum wage. Effective September 2024:
- Minimum wage: $20.88/hr (120% of BC general minimum wage), rising to $21.43/hr as of June 2025
- Distance allowance: $0.35/km for delivery services
- Platforms cannot charge fees to workers
Source: CBC
Ontario
The Digital Platform Workers' Rights Act came into force July 1, 2025:
- Workers must be paid at least Ontario minimum wage ($17.60/hr as of Oct 2025)
- Platforms cannot withhold tips or earned amounts
- Platforms must disclose pay calculation methods within 24 hours of signup
- Penalties up to $50,000 for corporations violating the Act
- Gig workers remain independent contractors — the Act does NOT make them employees
Source: Ontario.ca
Alberta, Saskatchewan, Quebec
No specific gig worker legislation as of early 2026. Drivers operate under general employment standards or as independent contractors. (Source: Aird & Berlis)
Startup Costs: What It Actually Takes
| Expense | Cost Range (CAD) | Notes |
|---|---|---|
| Vehicle (if needed) | $5,000 – $15,000 | Reliable used sedan or SUV |
| Delivery insurance add-on | $540 – $900/yr | Most cost-effective for gig drivers |
| Phone mount + charger | $20 – $50 | Essential for navigation |
| Insulated delivery bags | $15 – $40 | Required for food delivery |
| Gas (monthly) | $200 – $500/mo | At ~$1.57/L national avg |
| Vehicle maintenance | $100 – $200/mo avg | Oil, tires, brakes over time |
If you already own a car, you can start gig delivery for $0 – $100 upfront (phone mount, delivery bag, gas). The insurance add-on ($45-$75/mo) is the critical ongoing cost most people overlook. (Source: CAA)
Which Path Pays the Most?
| Path | Best For | Realistic Net Income |
|---|---|---|
| UPS / Canada Post | Stable career, benefits, pension | $46,000 – $75,000/yr gross |
| FedEx / Purolator | Reliable work, some benefits | $39,000 – $71,000/yr gross |
| Amazon Flex | Flexible side income, good pay | $22–$28/hr gross |
| DoorDash / Uber Eats | Max flexibility, low barrier | $15–$25/hr gross; $10-$15/hr net |
| Instacart | Grocery shopping + delivery | $16–$23/hr gross |
Bottom line: If you want the most money with stability, pursue employee positions at UPS, Purolator, or Canada Post. If you want flexibility and quick startup, gig platforms get you working within days — but expect lower net earnings after expenses. (Source: Talent.com)
Optimize Your Routes from Day One
Whether you deliver packages for Amazon Flex, Intelcom, or any carrier, a route optimization app is one of the best investments you can make. Efficient routing saves 1-2 hours per day and 20-30% on fuel.
FlexMesh Driver is built specifically for package delivery drivers in Canada. Its AI waybill scanning eliminates manual address entry — just point your phone at shipping labels and go. With support for 498 stops per route and multi-carrier optimization for FedEx, UPS, Purolator, and Canada Post, it handles the largest delivery loads of any mobile app.