When you’re deciding between a flat-rate taxi service or a traditional metered cab, the choice can impact how much you spend, how long your trip takes, and how stress-free your experience is. While both options offer pros and cons depending on the city, route, and time of day, understanding the difference can help you avoid fare surprises and make smarter travel decisions.

Here’s a breakdown of flat-rate vs. metered taxi services and when to choose each.

What Is a Flat-Rate Taxi Service?

A flat-rate taxi service charges a fixed price for a specific route—most commonly from airports to city centers or between popular destinations. These fares are not influenced by traffic delays, distance variations, or wait time.

Where Flat Rates Work Well:

• Airport transfers: Cities like New York City offer flat fares from JFK to Manhattan ($70 + tolls and tip).
  
• Hotel zones or tourist areas: Some hotels partner with taxi companies to offer preset fares for common trips.
  
• Shuttle-like services: Airport shuttles or group taxis often charge flat rates per person.
  

Pros of Flat-Rate Taxi Services:

• Predictable cost regardless of traffic
  
• Good for long-distance trips with known destinations
  
• Useful for budgeting during business travel or vacations
  
• Often includes tolls or surcharges in the rate
  

Cons:

• May be higher than necessary for short trips
  
• Not ideal for routes with variable pricing opportunities
  
• Limited availability outside of major hubs or airports
  

What Is a Metered Cab?

A metered cab calculates the fare based on distance traveled and time spent in the vehicle. The meter starts once the ride begins, and charges are based on local rate structures.

Where Meters Make More Sense:

• Short trips within a city
  
• When you’re unsure of your destination
  
• During off-peak hours with low traffic
  

Pros of Metered Taxis:

• Pay only for what you use
  
• Widely available in most cities
  
• Fare adjusts automatically if plans change mid-ride
  

Cons:

• Traffic or long wait times can spike costs
  
• Unexpected detours may increase your fare
  
• May include hidden surcharges or zone-based fees

Bonus Strategy: Pay with a Gift Card to Save More

Regardless of which fare structure you choose, you can reduce your out-of-pocket costs by using a gift card purchased through a cashback platform. For example, you can earn cashback with an Uber gift card or get rewards with a Lyft gift card when buying through Fluz. Use the gift card within the app to complete your ride—and enjoy built-in savings.

Explore more transportation gift cards on Fluz.