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How to Use Taxi in the USA: How Much It Costs and Which Services to Use

Read the article and find out why a yellow cab won’t come when you call, how much it costs to chat with a taxi driver, and how to save on taxi even in big cities.

What You Need to Know About Taxi in the USA

Yellow taxi cabs are an essential feature of the landscape in New York, Los Angeles, and other major US cities. It might seem simple to understand the American taxi system — it appears to be just a matter of hailing a cab, getting in, and paying your fare. However, it's not always that straightforward.

In the USA, taxis form a full part of the urban scenery; yellow cars blend perfectly into the panorama of New York skyscrapers and city parks. The service seems impeccable, and there’s something quite elegant about the way film heroines gracefully exit these cabs. It makes one eager to take a ride. To simplify this experience, we've put together a guide on American taxi services.

Yellow taxis on the streets of New York during rain

Understanding Taxi in the USA

In the USA, taxis and car services are not the same. Let's quickly clarify how they differ:

Taxi Operating Principles

  • Municipal services use yellow or light green (boro-taxi) vehicles, while private operators (who have purchased a license to operate their own transport) may not always paint their cars yellow.
  • Fares are metered.
  • They pick up passengers only on the streets, at airports, train stations, and near major bus stops (except for boro-taxis, which operate solely in residential areas).
  • They do not respond to calls.
  • Most drivers are migrants and may not speak English well outside city centers.

Car Service Basics

  • Operate on a call basis through an app request.
  • They may provide transportation services or rent out vehicles (car-sharing).
  • In most regions, they are not allowed to pick up passengers off the streets.
  • The fare is often known in advance.
  • There's a high likelihood of retrieving items left in the taxi (the bigger the company, the higher the probability).

If you need a taxi outside of downtown New York where they line the streets by the hundreds, it's better to use taxi services.

What is a Boro-Taxi?

Boro-taxi is a specialized taxi service introduced in New York to improve transportation services in areas outside Manhattan. These green taxis are designated for use in the Bronx, Brooklyn, Queens, Staten Island, and the northern part of Manhattan. Their main goal is to enhance taxi access in these areas where traditional yellow taxis are less common.

Features of Boro-taxi:

  • Operate in specific areas.
  • These taxis cannot pick up passengers on the streets in southern Manhattan (below 110th Street) or at airports.
  • Advance booking is available.
  • Like yellow taxis, they are equipped with meters and card payment systems.

These taxis have become an important part of the city's transportation system, making it easier for residents of New York's outer boroughs to use taxis and reach their destinations.

Green Boro taxi on a New York street next to the Brooklyn Bridge

The Best Taxi Services in the USA

Not all services are equally beneficial or convenient. We've compiled a list of the top five most popular taxi services in the USA, discussing their pros and cons:

  1. 01.Uber
    The most popular and reliable service in America supports scheduled rides, boasts a large fleet, and offers affordable prices. Optionally, you can use UberPOOL, where you share rides with others, allowing for reduced fares ($5 for any distance). However, rates can significantly increase during mornings, evenings, and holidays due to high demand.
  2. 02.Lyft
    Direct competitor to Uber. Easily recognizable by the fluffy pink mustaches on their bumpers or hoods. Operates similarly but does not yet have as extensive a fleet, so getting a ride during peak hours might take longer. The company frequently offers promotions, providing discounts and bonuses to passengers. New app users receive a $15 credit for their first ride.
  3. 03.Via
    One of the cheapest 24-hour carpool services where the driver collects multiple passengers and drops them off at various points along a single route. It costs almost half as much as a regular taxi ride, making it an attractive option if you're okay with riding with strangers.
  4. 04.Gett
    Often criticized for drivers' late arrivals and poor geolocation, which doesn’t always track the car accurately. Driver cancellations are frequent. However, they offer a fixed price for rides—just $10 for trips up to half an hour and within 4 miles. Best to call a car in advance when you're not in a rush.
  5. 05.Arro
    Mostly employs drivers of yellow taxis. This budget service has a low level of amenities (no phone chargers, water, etc.), but offers competitive pricing with fixed rates depending on the area and duration. If your journey is under 15 minutes, this is an ideal option.
Uber mobile app with a yellow taxi sign in the background

Using Taxi in America

  • Via Apps
    In most US cities, the easiest and most convenient way to hail a taxi is through mobile apps. Services like Uber or Lyft allow you to book a car with just a few taps and calculate your fare in advance, avoiding any surprises.
  • Street Hails
    This is more viable in big cities, especially New York. Simply raise your hand to stop a yellow cab. However, this method might not be effective in less populated areas.

Cost of Taxis in the USA

Fares vary by city, distance, and time of day. Typically, base fares start from $2-3, plus around $2 per mile.

In New York, the average cost for a city ride in a yellow taxi ranges from $10 to $20. In cities like Los Angeles or San Francisco, rates are slightly lower, but remember prices can surge during peak hours or on holidays.

Saving on Taxi Rides

  1. 01.Use Apps
    Track promotions and special offers in apps like Uber or Lyft to save money.
  2. 02.Plan Your Trips
    Avoid peak hours when fares can increase significantly.
  3. 03.Share Rides
    Most apps offer a "share ride" feature, allowing you to split the fare with other passengers, significantly reducing costs.
Uber and Lyft logos on a city sign

Tips for Tourists

If you're new to traveling in the USA, it's important to know a few tips when using taxis:

  • Airport Taxis
    Be aware that fares may be higher due to airport surcharges. Major airports like JFK in New York or LAX in Los Angeles have designated pick-up areas for Uber and Lyft.
  • Rate Your Driver
    After each ride in apps like Uber or Lyft, rate your driver to help improve service quality.
  • Safety First
    Ensure you are using licensed taxi services. Licensed vehicles in major US cities undergo regular inspections. Always verify the license plate and car make before getting into a cab booked through an app.
  • Remember to Tip
    It's customary to tip taxi drivers in the States, typically 10-15% of the fare.

Tipping is an unwritten rule for any taxi ride; tips can be automatically deducted when paying by card. For short rides, round up the fare in the driver's favor or add $1-2. For rides longer than 10 minutes, expect to tip 10-15%. If the driver offers extra services like helpful advice during the ride, a higher tip of 20-25% of the fare might be expected.

Despite seeming costly, remember that taxi driving is one of the riskier professions in America, with risks nearly twice those of police work. Frequent petty thefts occur, and it's unfair to criticize them for greed or inflated prices.

Yellow taxis in front of glass buildings in New York City

Whether you choose to travel by taxi, personal car, bicycle, or bus, the main thing is that it happens in America. Nowhere else can you experience such enjoyment from the roads, travel, and interaction with the urban environment. American Butler is ready to provide all the necessary assistance — from consultations to creating personalized tours with a custom selection of activities and entertainment.

Reach out to us through the chat window or by email.

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