Cargo vans have become a top choice for drivers who want more than a part-time paycheck. They offer the perfect mix of flexibility and strong earning potential, making it easier to take on larger, more profitable jobs than a sedan or small SUV can handle.
If you’re exploring delivery work as a reliable side hustle, a full-time career, or even a stepping stone to your own business, driving a cargo van can open the door to all kinds of opportunities. Many drivers want to know how much can you make with a cargo van, what the typical cargo van driver salary looks like, and what factors influence the cargo van rate per mile.
In this guide, we’ll break down how much do cargo van owner-operators make per mile, what the job involves, and how to get started. By the end, you’ll have a clear picture of whether becoming a driver—or even a FedEx cargo van owner operator salary earner—is the right move for you.
Key Takeaways
- Cargo van drivers can earn between $30,000 and $70,000 per year, but your exact income depends heavily on how you work—hourly, per mile, or as an owner-operator.
- Investing in the right cargo van, based on size, fuel efficiency, and reliability, sets the foundation for a profitable and low-maintenance delivery business.
- To stay compliant and financially protected, you’ll need commercial auto insurance and the proper licenses, such as a DOT number.
- You can find delivery work through gig apps like Amazon Relay and GoShare, but long-term contracts with local businesses offer more consistent income.
- Driving efficiently, planning routes smartly, and minimizing downtime are key to saving money on fuel and boosting your daily earning potential.
- Although the job is physically active and mentally demanding, it offers unmatched independence, flexible hours, and the ability to work on your own terms.
What is a Cargo Van Delivery Driver?
A cargo van delivery driver uses a van to transport and deliver goods for a fee. In this line of work, you can either operate as an independent contractor who chooses your own clients or work as a company driver for a specific employer, such as FedEx or UPS.
There are several types of gigs available. You might take on scheduled routes, picking up and delivering goods consistently. You could also handle on-demand jobs, which are last-minute, time-sensitive deliveries. Or you can secure long-term contracts with local businesses, which provide steady and predictable income, ideal for building a career around your van.
How Much Is a Cargo Van Salary?
When it comes to driving a cargo van, pay varies depending on how you structure your work. The average cargo van driver salary is about $15.13 per hour, while the typical cargo van rate per mile runs between $1.00 and $2.00 or more.
If you choose to go independent and become an owner-operator, your income can range from $30,000 to $70,000 or higher each year, depending on how many jobs you take and your operating costs. For those working under large contracts like FedEx, the typical FedEx cargo van owner operator salary is about $56,156 annually, which breaks down to roughly $27 per hour or about $1,079 per week. These figures help illustrate how much cargo van owner operators make per mile and what you can realistically earn in this growing field.
What Influences Your Cargo Van Driver Salary?
While average pay figures can give you a general idea, your actual cargo van driver salary can vary greatly based on several key factors. That said, knowing what influences your earnings can help you make smarter decisions, pick the right gigs, and ultimately boost your bottom line.
1. Location
Drivers in major metropolitan areas, such as New York, Los Angeles, or Chicago, tend to have more job opportunities due to the high volume of e-commerce and local deliveries.
In these areas, demand is higher, routes are denser, and rates are often more competitive. On the other hand, if you're in a smaller town or rural area, work might be less frequent, but with longer routes and fewer competitors, you can still earn well if you plan smart.
2. Type of Cargo
Some types of cargo are more profitable than others. For example, transporting medical supplies, legal documents, or high-value electronics usually pays more than basic retail parcels. These items are often time-sensitive, require extra care, or involve strict handling procedures. Specializing in these types of deliveries can also unlock more consistent work, especially if you earn a reputation for reliability.
3. Van Size and Capacity
The size of your van plays a major role in your earning potential. Larger vehicles, such as extended cargo vans or Sprinters, let you carry bulkier loads or more packages at once, which often translates to higher pay per trip and a better overall cargo van salary.
While a smaller van may have lower upfront and operating costs, it can also limit the size and type of jobs you can accept. Striking the right balance between capacity and cost is key. Investing in a van that matches the type of work you want—whether local routes or long-haul deliveries—can make a big difference in how much you can make with a cargo van.
4. Efficiency and Route Planning
Time is money when you’re driving for a living. The more efficient you are with your routes, the more deliveries you can complete, and the less you’ll spend on fuel and wear-and-tear. This can directly impact your profits and even your cargo van rate per mile.
Using route-optimization tools, avoiding traffic-heavy areas, and grouping deliveries strategically can lead to bigger savings and higher paydays. Drivers who treat this like a true business by tracking mileage, managing downtime, and improving turnaround times tend to earn more over time, whether they’re company drivers or working toward a FedEx cargo van owner operator salary level of income.
How to Become a Cargo Van Driver (Step-by-Step)
Ready to get started? Here’s a simple roadmap to help you go from considering the idea to actually working as an independent delivery driver and building your income.
Step 1: Get a Reliable Cargo Van
Your van is your business. It’s the one thing you must have to get started, so it’s worth taking the time to find the right one.
Here’s what to keep in mind:
Pick the Right Size
Choose a van that matches the kind of loads you plan to carry. A smaller cargo van might be perfect for local courier jobs with lighter loads, while a larger Sprinter or extended van is better for bulk deliveries and high-paying freight. This choice directly affects how much you can make with a cargo van, your cargo van driver salary, and your average cargo van rate per mile.
Focus on Fuel Savings
The more trips you combine, the more money you save (or lose) on fuel. Plan your deliveries in the same areas before starting your engine to cut costs. For a cost-effective alternative, consider electric cargo vans because they may reduce fuel costs and qualify you for tax credits. Over time, this can increase your profits and improve your overall cargo van salary.
Check the Condition First
A well-maintained used van can be a smart entry point. Newer vans cost more upfront but often include warranties. Whichever you choose, get it inspected before booking your first job to avoid expensive surprises.
Decide Between Buying or Leasing
Buying gives you full ownership and long-term savings but requires a bigger commitment. Leasing offers flexibility, especially if you’re testing the waters. Some plans include maintenance, which can help as you build your business and aim for a FedEx cargo van owner operator salary level of income.
Step 2: Get Proper Insurance and Licensing
Before you hit the road, make sure your business is protected and fully compliant. Proper coverage and paperwork safeguard your finances and make you more trustworthy to clients.
Commercial Auto Insurance
Personal auto insurance won’t cover accidents that happen while you’re working. Without commercial coverage, you risk paying out of pocket for damages. The right policy protects you and keeps your independent delivery driver career sustainable.
Permits and Registrations
Requirements vary by state and by the type of work you’re doing. You may need a DOT (Department of Transportation) registration number if you’re crossing state lines or carrying heavier loads, and many independent drivers also need a business license. Having the correct documentation sets you up for long-term success and can directly affect how much you can make with a cargo van.
Step 3: Start Finding Work
With your van, insurance, and licenses ready, the next step is finding consistent work. This is where your effort translates into income, whether you’re aiming for a strong cargo van driver salary or building up to a FedEx cargo van owner operator salary.
Leverage Gig Apps
Platforms like Amazon Relay, GoShare, Dispatch, and Roadie connect you with delivery jobs in your area. These apps let you work on your own schedule, making them ideal for beginners and side hustlers.
Pursue Contract Opportunities
If you want predictable, higher-paying work, apply for contracts with FedEx, medical courier services, or regional freight companies. These roles often pay well per mile and can boost your annual income.
Network with Local Businesses
Small businesses, like florists, furniture shops, and appliance stores, often need deliveries but don’t want a full-time hire. Reaching out directly can help you secure repeat clients and steady income, raising your overall cargo van salary.
Prioritize Professionalism
Your reputation is everything. Show up on time, communicate clearly, and treat every package with care. Building trust leads to referrals, repeat contracts, and ultimately higher pay, improving how much cargo van owner operators make per mile over time.
Challenges Cargo Van Drivers Should Expect
Every career has its hurdles, and being a cargo van delivery driver is no exception. Here are some of the most common challenges to be ready for when building your income and reputation:
Physical Demands
You’ll be lifting, loading, and moving packages of all sizes. Staying in good physical condition and using safe lifting techniques are key to avoiding injuries.
Managing Burnout
Long hours, tight deadlines, and back-to-back deliveries can lead to exhaustion. Taking breaks, planning realistic schedules, and setting personal boundaries are essential for long-term success and health.
Irregular Income
In the early stages, work may slow down during certain routes or seasons, which can cause income to fluctuate. Having savings or quick access to funds helps smooth out these ups and downs and keeps your cargo van driver salary stable.
Vehicle Breakdowns
Your van is your livelihood. Unexpected repairs or breakdowns can sideline you and cut into your profits. A maintenance plan and emergency repair fund can save you from a lot of stress.
Insurance Costs
Commercial auto insurance is a must, but it can be expensive. Factor these costs into your budget from the start, as rates vary based on your location, coverage level, and the type of work you do.
Finding Steady Contracts
Many new drivers struggle to secure consistent, well-paying delivery contracts. Building relationships with brokers, logistics companies, and local businesses takes time and persistence—but it directly affects how much you can make with a cargo van and your long-term cargo van salary.
Rising Fuel Prices
Fuel is one of your biggest ongoing expenses, and fluctuating prices can quickly eat into profits. Learning efficient driving habits and mapping out routes smartly can help you save on fuel costs and improve your cargo van rate per mile.
Administrative Work
As your boss, you also handle invoices, contracts, taxes, and business expenses. Good organization and basic bookkeeping skills are essential for running your independent delivery driver business smoothly.
When it comes to financial roadblocks like irregular income, unexpected van repairs, or covering insurance and fuel costs, Giggle Finance can help ease the burden.
With quick cash advances of up to $10,000, you don’t have to put your business on hold when money gets tight. Access to fast, flexible funding gives you peace of mind and keeps you moving forward. Apply today!
Perks of Being a Cargo Van Delivery Driver
The income potential is attractive, but the lifestyle is what makes driving a cargo van so appealing. Here are some of the biggest benefits to expect:
Be Your Own Boss
As an independent delivery driver, you control when you work, where you go, and which jobs you take. Want to work early mornings and keep your afternoons free? You can. Prefer weekend-only gigs or evening runs? That works too. This flexibility is rare in most jobs and is a major reason so many people are drawn to this kind of work.
Perfect for Gig Workers and Side Hustlers
You don’t have to quit your day job to start delivering. This hustle fits easily around most schedules. With smart planning, you can earn extra income at night, on weekends, or during your free time. If you enjoy it, scaling up to full-time work—and a higher cargo van driver salary—is simple.
Strong Market Demand
E-commerce, same-day delivery, and local services create a constant flow of packages needing transport. Whether you’re delivering for warehouses, working with local businesses, or contracting with logistics companies, reliable cargo van drivers are always in demand. This steady need helps boost how much you can make with a cargo van and improve your cargo van rate per mile.
Real Potential to Grow Into a Business
Once you understand how the system works and secure reliable contracts, you can become an owner-operator or start your own logistics company. Some drivers expand by buying additional vans, hiring drivers, or landing larger contracts with regional businesses—steps that can significantly raise your FedEx cargo van owner operator salary level of income and help you grow a thriving business.
Safety Tips for Driving a Cargo Van (On the Road and Off)
Your safety is non-negotiable, and this applies to both full-time and part-time cargo van driving. Here’s what every cargo van driver needs to know:
Driving Best Practices
Cargo vans are bigger, heavier, and slower to respond than what most new drivers are used to. That means:
- Take turns wider and slower than you would in a car, especially when your van is fully loaded.
- Leave more following distance so you have plenty of time to brake, especially in traffic or during poor weather.
- Mind your blind spots, as cargo vans often have limited rear visibility. Adjust your side mirrors correctly, and consider investing in a wide-angle mirror or a backup camera if your van doesn’t have one built-in.
- Avoid aggressive driving. Sudden stops or sharp turns can cause your cargo to shift, which affects handling and can damage the goods you're delivering.
Defensive Driving
As a delivery driver, you’re spending hours on the road, which means you’re constantly exposed to other people’s mistakes. As such, defensive driving is one of your best protections while on the road.
- Stay alert at all times. Expect the unexpected, especially in high-traffic areas or when sharing the road with cyclists and pedestrians.
- Drive cautiously in bad weather. Rain, snow, and ice can increase stopping distance and make your van harder to control.
- Use your signals early and often. Let other drivers know what you're doing to avoid sudden surprises.
- Obey speed limits, especially in residential neighborhoods and school zones, where many deliveries happen.
Safe Loading and Unloading
Loading and unloading cargo sounds simple, but doing it wrong can damage goods, result in injuries, or even cause accidents on the road.
- Secure your cargo properly with straps, nets, or dividers. If it slides around, it can shift your van’s center of gravity and make it harder to steer or stop.
- Distribute weight evenly to keep your van balanced. Too much weight on one side or the rear can affect handling or even cause a rollover.
- Don’t overload your van. Check the manufacturer’s weight limits and stick to them. Overloading can wear down your van faster and even become a safety hazard.
- When unloading, watch your surroundings. Park safely, use your hazard lights, and be aware of pedestrians, other vehicles, and uneven ground.
Staying Healthy on the Job
Long hours behind the wheel can take a serious toll on your body and mind if you’re not proactive.
- Stay hydrated because dehydration leads to fatigue, slower reaction times, and poor focus.
- Take short breaks throughout the day. Stretch your legs, roll your shoulders, and give your eyes a break from the road.
- Practice proper lifting techniques. Bend your knees, and not your back, and avoid twisting when carrying heavy packages.
- Pack healthy snacks and meals if you can, because living off fast food and energy drinks will wear you out fast.
- Get enough sleep, as fatigue is one of the most significant safety risks for delivery drivers. If you’re tired, take a break. No delivery is worth risking your life.
Turn the Key and Go
Becoming a cargo van driver is going from point A to B, and also building your own business to help control your income. For the right kind of hustler, the potential to earn is lucrative, and the freedom is unmatched. Unlike traditional 9–5 roles, you’re the one in the driver’s seat, deciding how much you want to work and how far you want to take your business.
Take the first step today. Secure a van, sign up for a few gig apps, and get behind the wheel. The road to more money and more freedom is waiting for you.
With the right financial backup, you can focus less on money stress and more on growing your business. Giggle Finance gives you the breathing room to keep driving forward, even when challenges pop up.
Here’s why Giggle Finance is a wise choice for cargo van drivers and owner-operators:
- Fast Access to Cash: Apply in minutes and get funds quickly when you need them most.
- Up to $10,000 in Advances: Enough to cover a down payment on a van, repairs, insurance, or fuel.
- No Credit Score Roadblocks: Approval is based on your business activity, not your credit history.
- Flexible Repayments: Designed to work with your cash flow, not against it.
- Built for Gig Workers: Tailored specifically for independent drivers, freelancers, and small business owners.
- Peace of Mind: Focus on your routes and clients while Giggle Finance helps cover financial gaps.
Don’t let cash flow slow you down. Get the funding you need now with Giggle Finance. Apply today!
Disclaimer: Giggle Finance provides Revenue-Based Financing programs for business purposes only. Any mention of any loan product(s), consumer product(s), or other forms of financing is solely for marketing and educational content purposes and to help distinguish Giggle Finance’s product from other comparable financing options available in the markets.