Taxi Driver Salary 2025: $42,100 Median, 11% Job Growth
The median annual wage for taxi drivers in the U.S. is $42,100, with the typical range spanning $34,650 to $75,800 according to 2024 BLS data. That works out to about $20 an hour for the average earner. With 41,050 jobs nationwide and a projected 11.1% growth rate through 2034—much faster than average—this is one of the few driving occupations where demand is clearly rising.
How much Taxi Drivers earn
The national median salary for taxi drivers is $42,100, meaning half earn more and half earn less. The average (mean) annual wage is $49,930, or roughly $20 per hour. The lowest 10% earn about $34,650, while the top 10% bring in $75,800 or more.
Pay varies significantly by location, employer type, and whether drivers own their vehicles or lease from a company. Those working in metropolitan areas or for airport-based services tend to earn at the higher end of the range.
Tips are not included in these BLS figures, so actual take-home pay can be higher, especially in tourist-heavy cities or during peak hours.
Pay by state
Taxi driver wages differ sharply across the country. The highest-paying state is Texas, with an average annual wage of $48,740. Nevada follows at $44,800, then Colorado at $43,490, New York at $41,570, and New Hampshire at $41,510. These states generally have higher costs of living or strong demand from tourism and business travel.
On the lower end, Florida pays an average of $28,060, Wisconsin $27,820, and Kansas $26,970. Drivers in these states may see lower fares and less dense demand, offsetting lower living costs in some areas.
State-level data is based on BLS estimates and reflects average earnings across all taxi drivers in each state, including both full-time and part-time workers.
How to become Taxi Driver
Becoming a taxi driver typically requires a high school diploma or equivalent, a valid driver's license, and a clean driving record. Most states and municipalities also require a taxi or chauffeur's license, which involves a background check, a written test, and sometimes a drug screening.
The process can take a few weeks to a few months, depending on local regulations. Some cities mandate a defensive driving course or a medical exam. After licensing, drivers often train on the job with a company, learning fare zones and dispatch systems.
No formal postsecondary education is required, but fluency in English (or another common language in your area) is essential for communicating with passengers. Many drivers start by leasing a taxi or working for a fleet; buying your own vehicle and medallion is another path, but requires significant capital.
- Earn a high school diploma or GED.
- Obtain a valid state driver's license with a clean record.
- Apply for a taxi or chauffeur's license through your local DMV or licensing board (background check, written test, fee).
- Complete any required training (defensive driving, local geography, fare meters).
- Find employment with a taxi company (or lease a cab) — some provide on-the-job training.
Job outlook
The BLS projects 11.1% employment growth for taxi drivers from 2024 to 2034, much faster than the average for all occupations. This translates to about 22,600 job openings each year over the decade, driven by replacement needs and expanding demand for on-demand transportation.
Ride-hailing apps have increased competition, but traditional taxis still serve regulated airport routes, paratransit services, and areas with limited ride-hail coverage. The growth reflects a rebounding travel industry and aging populations that rely on accessible transport.
Frequently asked questions
Do taxi drivers get tips on top of their salary?
Yes, tips can substantially increase income, but they are not included in BLS wage estimates. In practice, drivers in busy markets often earn 15-20% more than the base pay from tips.
How long does it take to become a licensed taxi driver?
It usually takes 2-8 weeks, depending on your city's processing time for background checks and testing. Some jurisdictions require a few days of training.
Is $42,100 a good salary for a taxi driver?
It depends on your location and expenses. In low-cost areas, $42,100 is a living wage; in high-cost cities like New York or San Francisco, it may be modest. Top earners can make $75,000+ with tips and long hours.
Which state pays taxi drivers the most?
Texas, with an average annual wage of $48,740, pays the highest among states. Nevada, Colorado, New York, and New Hampshire also rank high.
Salary figures are U.S. Bureau of Labor Statistics estimates (OEWS / Employment Projections). For informational purposes only; not career or financial advice. See the full Taxi Drivers data.