Do Amazon Flex Drivers Pay Tax [2024]

If you work for Amazon as a delivery driver one of the most searched questions is Do Amazon Flex Drivers Pay Tax?

This question plus many others have been answered in this post to support Amazon Flex drivers in the UK, as well as providing tax advise and how much you can get paid.

The world of work has changed, and so has the people that work within it. People work more than ever and demand flexibility and control over the way they work.

People want control over when they work to allow them to fit work in around family commitments, or to allow them to have a social life that fits around friends and partners.

How do I get such a lifestyle you ask? Working for Amazon Flex as a self employed delivery driver is one way.

Self employed delivery drivers working for Amazon flex can be their own boss with the freedom to earn money on their schedule. But what are the other positives?

What Are Pro’s And Con’s Of Amazon Flex?

Pro’s:

• You are your own boss.
• Increased pay compared to other companies.
• Flexibility to work when you want.
• Company Perks.

Con’s

• There may not be enough shifts when your available to work.
• You are competing with other drivers for shifts.

How Do You Become An Amazon Flex Driver?

Before you get started you will need to check if Amazon Flex is operating in your area. You can do this by clicking on this link: Amazon Flex Recruiting Locations In UK

Once you have checked if you can deliver in the area you live, you will then need the following:

• Be 18 or Older
• Uk Driving Licence
• A smartphone
• A mid size car with 5 seats or larger vehicle including vans
• Hire and Reward Insurance
• Pass a Criminal Records Check

If you have all of those things then your ready to go. The final step is to:

1. Download the Amazon Flex App
2. Reserve a delivery block and deliver
3. Get paid, its as easy as that…

IMPORTANT: Dont forget that you must be registered as self employed so speak to an accountant today!

Can I work full time and do Amazon Flex part-time?

It’s important to have something to save for. However, if saving is not your goal and you simply just want a little bit of extra cash each week or month to pay for nights out or treats, delivering parcels for Amazon Flex could be a great option.

The great news is that even if you are employed by a company that pays you a salary each week or month you can work for Amazon Flex in your spare time.

The important thing to point out here is that you must be registered as self employed to work for Amazon Flex which is a legal requirement in the UK. Failure to not register as self employed and declare any income you have received can result in you being fined significantly by HMRC.

To ensure you are working legally and understand your responsibilities of being a self employed Amazon Flex driver I recommend you speak to an account such as Ugo Tax who specialise in accountancy services for delivery drivers.

Are Amazon Flex Drivers Self-Employed?

Delivery drivers working for Amazon Flex are classified as self employed.

What this means is that you are not paid in the same way as you would if you was employed by a company to make deliveries. When you are employed by a company you receive a salary each week or month which has paid any tax to government before you receive the pay into your bank.

Being a self employed delivery driver for Amazon Flex means you enter into a contract with Amazon and earn an income based on the work you decide to do.

One of the differences though is that any pay you have received in your bank from Amazon Flex, has not had any tax withheld.

This means that you must be registered as self employed and thenUgo Tax can help you to file your tax return each year.

How many hours per week can you do for Amazon Flex?

As a self employed person you can work for Amazon Flex as many hours as you like. This of course is dependant on various factors such as the number of drivers trying to book slots, the location you live and how much free time you have to commit to driving.

The time of year can also play an important role, for example Christmas time is going to be a considerably busy period of the year so you may find that there is more slots available to book to keep up with peoples demands leading up to the festive period.

What expenses can Amazon Flex delivery driver claim?

When you work for Amazon Flex as a self employed delivery driver you must pay tax on any income you receive.

However the good news is that you can claim back tax from HMRC by filling a tax return and submitting expenses.

Expenses are things your purchases ie: products or services that enable you to do your work for Amazon Flex.

Some examples of expenses might be vehicle insurance, petrol or your mobile phone bill.

This is by no means all of the expenses you can claim so I would recommend you speak to Ugo Tax for advise or check out this post on 16 Expenses Delivery Drivers Claim on a Tax Return.

Does Amazon Flex Pay for fuel?

Delivery drivers working for Amazon Flex must pay for fuel costs themselves. The cost of fuel is an expense that you can write off against any tax which is due when you prepare a tax return, so keep records and receipts of fuel spend.

Self-Employed Delivery drivers can claim 45p per mile for the first 10,000 miles and 25p per mile thereafter. It is strongly suggested that you seek advise from an accountant about how you go about claiming tax back for fuels costs you incur while driving.

What insurance do I need for Amazon Flex Driving?

You are probably wondering what insurance you need to work for Amazon Flex? Don’t worry I’ll explain. Delivery driving is hectic and non stop, and as such quite risky due to the potential for accidents, and this means insurance costs are going to be high.

Delivery drivers working for Amazon Flex will have to show proof that they have insurance in place prior to starting. However, a normal insurance policy you have in place to cover you car isn’t going to be enough.

You will need insurance in place which is called ‘Hire and Reward’ and covers you while you are delivering parcels for Amazon Flex. Another important point is that you will also need a “Social, Domestic and Pleasure’ Policy (also known as SD&P) to cover you while your not delivering parcels, and covers the period of driving if you have to travel to a collection point to pick up the parcels first thing in the morning.

Hire and reward insurance is expensive so it it worth getting a quote prior to signing up to work for Amazon Flex. You could start by speaking to your current insurers to see if they offer hire and reward policies, as they may offer this cover as bolt on to your existing policy. It is also advisable to speak to your insurer anyway to explain that you plan on doing deliveries to ensure it wont invalidate your current policy.

Amazon Flex Pay Information

	Hourly	Weekly	Monthly	Yearly
Part-Time (15 Hours per week)	£13-17	£195-£255	£845-£1,105	£10,140-£13,260
Full-Time (40 Hours per week)	£13-17	£520-£680	£2,253-£2,947	£27,036-£35,359
Average Delivery Driver Rate (PayScale)	£9.73	–	–	–

The above table shows estimated incomes you could earn whilst working for Amazon Flex. The figures are purely estimates and may be higher or lower depending on the amount of hours you work. I have also included the average delivery driver hourly rate in the UK as a comparison.

The pay you receive could also be variable depending on the number of delivery blocks you are able to work, the number of Amazon Flex drivers, and location within the country.

How Much Does Amazon Flex Pay Per Hour?

Amazon Flex pays between £13-£17 per hour when you schedule a delivery block on the days you want to work. As the table above indicates, the average UK Delivery driver pay is £9.73 per hour, with Amazon Flex offering higher hourly rates than the UK average. However this amount will depend on the number of delivery slots available to book.

An attractive feature when you schedule a delivery block, is that you will know the estimated duration of shift and most importantly how much Amazon Flex pays.

This offers a great deal of flexibility and choice to people who decide to work for Amazon Flex, especially if you have family commitments to consider.

It’s worth pointing out that delivery blocks are available in 2-4 Hour durations.

The Amazon Flex app not only allows you to schedule delivery blocks but to also track earnings.

At the time of writing this post, Amazon Flex pays your earnings once a week into your bank account on a Wednesday and includes deliveries made over the previous 7 Days.

How Much Can You Earn Per Week With Amazon Flex?

As can be seen from the table above, if you choose to work part time (15 hours per week) you can expect to earn between £195-£255 per week. However, if you are able to schedule more delivery blocks and work full time (40 hours per week) you could expect to earn £520-£680 per week.

What can affect how much you earn from Amazon Flex?

An important thing to take into consideration is that you will have expenses to pay for while working for Amazon Flex. Some of the larger expenses will include petrol, vehicle costs and insurance. These expenses should be taken into consideration when deciding to work for Amazon Flex or looking at how much pay you can earn.

The number of delivery drivers trying to book delivery blocks, the location that you live and delivery times are all factors that can affect how much you earn.

If you don’t have access to a vehicle to work for Amazon Flex or find the costs of insurance too expensive you may consider working for a company which provides a vehicle and insurance. This can be a great option to get some money saved up, however the hourly rate will be lower due to the fact you are getting a vehicle provided.

Do Amazon Flex Drivers Pay Tax?

When you receive your Amazon Flex pay each week it is important to know that Amazon Flex do not withhold any tax from your earning like you would if you were an employed delivery driver.

This is because when you work for Amazon Flex you are classed as self employed, and as such means you must prepare and file a tax return each year. A tax return is number of forms filled to HMRC which reports your income (eg. from Amazon Flex), expenses (stuff you buy to enable you to deliver parcels e.g. Fuel) and other tax information.

It is a tax return which calculates if you have any tax to pay to the government for the income you have earned from Amazon Flex. So, to answer the question yes Amazon Flex drivers do pay tax however how much will depend on how many expenses are claimed for. The more expenses you claim for, the less tax you will pay. I would recommend you speak to Ugo Tax for complete guidance.

This post which explains how much you can earn, and Do Amazon Flex Drivers Pay Tax in the UK will hopefully have helped people looking to become a delivery driver. You may also like to read another post about Do Ubereats and Uber Drivers Pay Tax In The UK.