London cab driver investigates the 'brutal' economics of New York taxis and is left stunned at what he finds

When this cab driver looked into the economic realities of New York taxis, he was left shocked by what he learned.

The yellow taxi cab is an iconic staple of the Big Apple.

But for Tom the Taxi Driver, he wanted to investigate the economics behind this profession.

He came to learn that being a yellow taxi cab driver was a demanding and expensive way of life; but was the pay-off worth it?

New York taxis are part and parcel of life in the big city

Whether you’ve seen them in movies or on travel websites, you’ll be well acquainted with the iconic New York taxis.

Their distinctive yellow color helps them stand out from a mile off, and has made them recognizable around the world.

But have you ever considered how much it costs drivers to operate one of these cabs?

London cab driver and YouTuber Tom the Taxi Driver decided to do some investigating on his YouTube channel.

The first thing that struck him was how little knowledge was required to be a taxi driver in the Big Apple.

While a cab driver in London would be expected to learn routes stretching from the capital’s center into the suburbs, he said this didn’t appear to be the case in New York.

“Many of the customers I’ve had in my cab over the years have said that New York taxi drivers don’t really know where they’re going,” Tom said.

“It’s a grid system. I don’t get how you could screw it up.”

He admitted this was partly what surprised him most during his trip to New York City.

“My biggest surprise was the huge variety of drivers and their varying knowledge, both of the city and about the taxis,” he told Supercar Blondie.

“It was actually difficult to get a lot of information out of them because they didn’t know the answers.”

But geographical knowledge aside, what was the economic side of driving a New York taxi?

The numbers left this cab driver shocked – and it’s no wonder

In order to drive a yellow cab, you’re going to need a whole lot of green.

If you were renting the cab, you’d be looking at daily costs of around $600.

Alternatively, you could rent one out on a weekly charge of $1,000.

In London, that would be the equivalent of 2.25 electric taxis or 3.5 diesel taxis.

Not that you could get half of a taxi, but you get the point.

Tom spoke to one cabbie who had purchased a medallion for $220,000 back in 2019.

What is a medallion? It’s essentially a plaque that goes on the front of a taxi cab, essentially to certify it as a legitimate taxi service.

This driver splits use of the taxi with his father and often puts in a grueling 15 to 18 hour shift.

Thanks to this, they’re making around $4,000 a week, which equates to $16,000 a month.

After expenses, that’s around $12,000 to $13,000 in profit.

That’s a solid pay-day, but it doesn’t come easily.

“No work targets, no day off, just keep going, going, and going,” Tom summarized.

It’s no wonder then that some cabs rack up ridiculously high mileage.

Timeline of New York taxis