How Much Should I Save for Q2 Taxes? A Gig Driver's Quick Guide

DoorDash doesn't send you a tax bill. Uber Eats doesn't withhold your earnings. Every week you drive, you're accumulating a tax liability that the IRS expects you to know about and pay quarterly. Here's exactly how much to set aside — and how to get a precise number for your situation.

1. Why Gig Workers Owe More Than W-2 Employees

When you work a W-2 job, your employer withholds federal income tax, Social Security, and Medicare from every paycheck. You never see that money, so you never spend it. The IRS gets its cut before it reaches your bank account.

As a gig driver, you receive 100% of your earnings — DoorDash, Instacart, and every other platform pays you in full, with no withholding. This is the independent contractor model: you're your own employer.

But "your own employer" means you're responsible for both halves of Social Security and Medicare taxes. A W-2 employee pays 7.65% (half of FICA). An independent contractor pays the full 15.3% — there's no employer matching to split the cost.

On top of that, gig income is taxed at your ordinary income tax bracket. A driver in the 22% bracket owes 22% federal income tax plus 15.3% SE tax on net earnings. That's roughly 35–40% of net income going to taxes in most cases.

2. The 25-30% Rule: When It Applies and When It Doesn't

The most common rule of thumb for gig driver taxes is save 25-30% of gross earnings. This is a reasonable starting point for most drivers, but it's a generalization — your actual rate depends on three factors:

• Your income bracket — 10% bracket drivers owe less than 22% bracket drivers
• Your mileage — high-mileage drivers have a lower effective rate after the 70¢/mile deduction
• Your state — state income tax adds 2-13% on top of federal

3. How the Mileage Deduction Changes the Math

The standard mileage deduction is the single most powerful tax tool available to gig drivers. In 2026, it's 70 cents per mile driven for business purposes (deliveries, pickups, deadhead miles between orders).

For every 1,000 miles you drive for gig work, the IRS lets you subtract $700 from your taxable income before calculating your tax. Here's the impact on your savings rate:

The more you drive, the lower your effective tax rate. A full-time DoorDash driver who logs 25,000+ miles annually can reduce their tax bill by $5,000+ compared to a driver who claims minimal mileage.

To claim the deduction, you need a mileage log. The IRS requires contemporaneous records — meaning you track miles as you drive, not retroactively. Use an app or keep a simple spreadsheet.

4. Savings Rates by Income Level

Here's a practical table showing effective savings rates for gig drivers at different income levels, accounting for standard mileage (1,000 miles/month) and the 22% federal bracket:

Note: these are rough federal estimates at the 22% bracket and assume single filer with standard deduction. Your actual rate may vary based on total income, filing status, and other factors.

5. Adding State Income Tax to Your Savings Rate

If you live in a state with income tax, add your state rate to the federal savings rate. Here's how different states affect your target savings rate:

• Texas, Florida, Nevada, Washington, no-income-tax states: Save 25-30% for federal only
• Illinois (4.95% flat): Save 29-33%
• Georgia (5.49% flat): Save 30-34%
• Arizona (2.5% flat): Save 27-32%
• California (4.9-13.3% brackets): Save 27-38% depending on income
• New York (4-10.9% brackets): Save 28-36% depending on income
• New Jersey (1.4-10.75% brackets): Save 26-36% depending on income

California and New York drivers need to be especially careful — their high state brackets on gig income can push total effective tax rates above 35%. California gig drivers and New York drivers should use the state-specific calculator to get an accurate number.

6. Common Deductions That Lower Your Quarterly Payment

Every dollar you deduct reduces the income subject to tax. Common gig driver deductions:

• Standard mileage — 70¢/mile. Keep a log. This is the biggest deduction for most drivers.
• Cell phone — business percentage of your phone bill and data plan (keep a usage log or use 50% as a safe estimate)
• Delivery gear — insulated bags, hot/cold boxes, thermal carriers
• Phone mounts, cables, accessories — 100% business use items
• Car maintenance — oil changes, tire rotations (if using actual expense method instead of standard mileage)
• Parking and tolls — must be incurred while doing gig work
• Health insurance premiums — self-employed health insurance deduction (above-the-line, not Schedule C)
• Square fees — if you accept card payments and pay a processing fee

You don't need to track every minor expense perfectly. The IRS allows simplified expense tracking for self-employed workers. The key is having some contemporaneous record for each deduction you claim.

7. Get Your Exact Number in 60 Seconds

All of these percentages and brackets are rules of thumb. For your actual Q2 payment, use the QuarterPilot state calculator — it handles federal SE tax, income tax brackets, state income tax, and your state-specific Q2 deadline in one calculation.