---
title: "Your Tip For Delivery Services May Not Be A Tip"
url: https://burnaze.com/article/999edb88-2688-41e7-bb9f-b9d1d10837a8
source: "1851 Franchise"
original_url: https://1851franchise.com/your-tip-for-delivery-services-may-not-be-a-tip-2709099
category: "General"
published: 2019-02-07T20:15:01.000Z
modified: 2026-11-01T04:08:13.705Z
image: https://newimage.1851franchise.com/cdn-cgi/image/quality=85,format=webp,width=1280,height=720/story/featureImage/c117d78d46f56d934738cf77dccc6cc65491.jpg
---

# Your Tip For Delivery Services May Not Be A Tip

**TL;DR:** Digital tips given to delivery workers of companies like DoorDash may be used for base payment instead of providing extra income. DoorDash and Instacart have been reported to use a model where customer tips can subsidize the base rate owed to workers.

*originally published in 1851 Franchise on 2019-02-07. [Read the original](https://1851franchise.com/your-tip-for-delivery-services-may-not-be-a-tip-2709099).*

## Story

Digital tips given to delivery workers of companies like DoorDash may be used for base payment instead of providing extra income, according to a recent article by NBC News.

The article reports that DoorDash drivers receive a guaranteed rate depending on the job, and if the customer doesn’t leave a tip, Doordash will pay the full base rate. However, if the customer does tip, that money can subsidize the base rate so DoorDash can drop what the company owes the worker, according to the article.

The article also points out Instacart’s use of this model, which it quickly addressed. Both companies originally said that the structure helps to guarantee fair payments, according to the article.

## Entities

- 1851 Franchise (publication)
- General (sector)
- DoorDash (company)
- delivery services (topic)
- Instacart (company)
- digital tips (topic)
- worker payment (topic)

---
Originally reported by 1851 Franchise (https://1851franchise.com/your-tip-for-delivery-services-may-not-be-a-tip-2709099). Summarized by Burnaze (https://burnaze.com/article/999edb88-2688-41e7-bb9f-b9d1d10837a8).
