How much do taxi drivers earn from fare shares?

Money
Taxi drivers income and earnings is always a tough business. Is it hard to get a fair share for the taxi drivers? Yes, it appears so. If you own a taxi you are incurring an investment – a huge one at that – but you may not have to answerable to anyone. You just get you fares straightaway to your pocket. But not all drivers own their taxis – some lease it from others and share a percentage of their income to the leasing company.
The income sharing can be a short term or a long term agreement, but you stand to gain after coughing up the percentage of money to your company.

How much does the taxi driver get to gain if it is leased vehicles? Taxi companies lease vehicles to independent drivers for a stipulated time. Apart from the vehicle lease, the driver must pay for refueling and minimum of $75 per day from the total earning that a driver makes. Suppose, if you earn $200 a day, your rental fees is $75 plus the fuel charge that you shell out.

US Labour statistics gives a rough calculation of $22440 per year during 2010 for taxi drivers. This is the average income stats. But the cab drivers earn it the hard way is no doubt. They find work for their cabs when working in nights and weekends and other holidays. And the median annual salary for 2015 is $32940 for a single taxi driver.

From the perspective of consumers, we think that taxi drivers earn a lot. But that is an exaggerated story to be believed. It is the Taxi Authorities and the company regulations that scrape up the fares whenever there is a special event or a weather condition that is getting bad or some reasons for that sake. The credit card payments by the customer do not necessarily mean that the entire cash is going to the driver. Here, sometimes, drivers demand cash or some amount of cash payments without the knowledge of the cab company. So, you imagine here is a hidden cost that the drivers pay without their knowledge. A percentage of the credit card transaction is pulled by the taxi authorities or the taxi companies.

The next big issue is that the credit card payments gets encashed very late and reaches the taxi driver’s pocket very late too. So, he’s paying a surcharge at the same time, he’s getting a delayed payment for nearly 3 weeks later.

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