"Every major US supplier charges a daily young driver fee for renters under 25, and most European destinations do too. The amount, the minimum age, and the waiver options vary significantly by brand and country — this covers both."
You have AAA, USAA, a corporate account, or you're booking with Fox if you're 19–24
Comparing only the base rate — the daily fee stacks on top and adds $175 or more to a week-long rental
The advertised rate is rarely what a driver under 25 actually pays. Every major car rental company adds a daily young driver surcharge on top of the base rate — and it applies automatically, from the moment your age goes into the booking form. On a seven-day rental, the difference between the cheapest and most expensive supplier surcharge is over $100 before you've touched the base rate.
The fee goes by several names depending on the brand: underage driver fee, age differential charge, youthful renter surcharge. It's the same charge. This article maps what each major US supplier publishes, where the fee is higher than usual, the legitimate ways to get it reduced or eliminated entirely, and how European destinations handle it differently.
What every supplier charges
Most major brands cluster around $25/day for drivers aged 21–24. The differences that matter are the minimum rental age, the daily rate, and whether any waiver path exists. The table is sorted by minimum age — useful if you're 19 or 20 and your options are narrower.
| Supplier | Daily fee | Min. age | Waiver available? | Notes |
|---|---|---|---|---|
| Fox | $22/day | 19 | No waiver | Lowest min. age of any major brand. Under-21 rate is $25.99/day. No membership or loyalty waiver. |
| Hertz | $19/day | 20 | Members only | AAA members (ages 20-24) and USAA members (ages 18-24) get the fee waived. Gold Plus Rewards may also qualify. |
| Dollar | $25-$35/day | 20 | No waiver | Rate varies by location and age. No published membership waiver. Sister brand to Thrifty. |
| Thrifty | $25-$29/day | 20 | No waiver | Also called Underage Driver's Fee or Age Differential Charge. No published membership waiver. Sister brand to Dollar. |
| Avis | ~$20/day | 21 | Members only | Among the lower published averages. USAA members ages 21-24 get the fee waived. |
| Alamo | ~$25/day | 21 | Members only | USAA members (ages 21-24) and military or government on official orders get the fee waived. |
| Enterprise | ~$25/day | 21 | Members only | USAA members (ages 21-24) qualify. Many insurance replacement rentals also exempt. |
| National | ~$25/day | 21 | Members only | Military and government on official orders exempt. Some corporate accounts also waive the fee. |
| Budget | $27/day | 21 | Members only | Credit card required -- no debit cards for young renters. USAA members ages 21-24 qualify for waiver. |
| Sixt | $25-$37/day | 21 | No waiver | Fee applies even on government rentals -- the only major brand where this is the case. No membership waiver. |
Daily fee column shows rates for drivers aged 21-24 at standard US locations. New York and Michigan surcharges are significantly higher for 18-20 year-olds. Sources: published supplier rental policies and T&Cs, accessed July 2026.
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Worth noting if you're 18–20 and picking up in New York or Michigan: unlike most US states, both require suppliers to rent to drivers from age 18 — but that access comes at a cost. Surcharges for that age bracket run $40–$65/day on top of the base rate, compared to the $20–$37/day shown in the table for 21–24 year-olds. If that applies to you, treat the table rates as a floor, not the number you'll actually pay.
How to get the young driver fee waived
The fee is mandatory for most renters, but several legitimate paths exist to eliminate it. None of them require anything complicated — just advance planning.
AAA membership
Hertz waives the young driver fee for AAA members aged 20–24. An AAA Classic membership runs $38–$74/year depending on region. On a week-long rental at $25/day, that's $175 in saved fees — the membership pays for itself on a single trip. The waiver applies at US and Canada Hertz locations when the AAA rate or discount code is used at booking.
USAA membership
The most broadly applicable waiver. USAA membership is available to active duty, National Guard, reserve military, veterans, and their eligible family members. With USAA, the young driver fee is waived at Hertz for ages 18–24, and at Avis, Budget, Enterprise, and Alamo for ages 21–24. That's five major brands — more flexibility than any other single program.
Corporate and government accounts
Many employers negotiate corporate discount numbers (CDPs) with rental companies that include young driver fee waivers. If your company has a corporate account, check whether the waiver is included before booking personally. US government employees and active-duty military on official orders are typically exempt at most major suppliers — Sixt is the notable exception, applying the surcharge even on government rentals.
Insurance replacement rentals
If you're renting because your own vehicle is being repaired after an accident, your insurer may have negotiated a young driver fee waiver with the rental supplier as part of their fleet agreement. Enterprise is the most common supplier for insurance replacements, and this waiver is frequently included. Check with your insurer before pickup.
Loyalty programs
Hertz Gold Plus Rewards members can get the young driver fee waived in certain circumstances — the grad promotion is a documented example, and some CDP codes tied to the program include the waiver. It's not a blanket benefit of enrollment, but worth checking the rate code when booking if you're already a member.
Renting under 25 in Europe
European young driver fees follow different rules than US ones. The age threshold is often 26 rather than 25 at many local suppliers. The fee is typically quoted in euros per day, runs €10–€25 depending on country and supplier, and is sometimes bundled inside an insurance package rather than listed as a separate line item — which makes it easy to miss until you're at the counter.
In Italy, young driver surcharges are standard across both international brands and local suppliers, and ZTL zone restrictions add another layer of cost risk for under-25 travellers unfamiliar with the road rules. In Croatia, rates vary more between suppliers than in most Western European markets — confirm the surcharge for your age bracket at booking. In Ireland, the fee is almost universal and applies to the primary driver only, not automatically to additional drivers over 25. France typically runs €20–€25/day for under-25 drivers, with local suppliers often charging more than international brands.
The key difference from the US: there's no equivalent of AAA or USAA in European markets. Membership waivers don't transfer. Corporate CDPs sometimes do — check whether your company's number applies to European locations before assuming it doesn't.
For destination-specific age requirements and what the rental market looks like on the ground, our destination guides cover each country in detail.
What the fee actually costs on a week-long rental
The daily surcharge is easy to underestimate wherever you're renting. A $20–$25/day fee looks modest next to a base rate — until you multiply it. Seven days adds $140–$175 before a single optional extra. Ten days, $200–$250. The number compounds quietly, and it compounds the same way whether you're picking up at a US airport or a European one.
The more consequential point is what it does to comparisons. A supplier with a lower base rate but a higher surcharge can easily end up more expensive than one that looked pricier at first glance. The only figure worth comparing across suppliers is the all-in daily total — base rate plus surcharge — not either number alone.
The verdict
If you haven't booked yet: Build the young driver fee into every price comparison before you choose a supplier. Fox has the lowest published flat rate ($22/day) and the lowest minimum age (19) — worth including in your comparison even if the brand is unfamiliar. If you have AAA, book with Hertz; the waiver covers the full fee. If you have USAA, you have five brands to choose from. For everyone else, compare the all-in daily total across suppliers at your airport, not the base rate alone.
If you're already booked: Confirm the young driver fee is included in your reservation total, not held back for the counter. Check whether your employer has a corporate account with the supplier — some CDPs waive the fee if the number is applied before pickup. If you're picking up in New York or Michigan and you're under 21, verify the exact daily surcharge with the supplier directly before you arrive.
If you've returned the car and the fee appeared unexpectedly: Check your original booking confirmation to see whether it was disclosed at reservation. If it was, it's contractually valid. If it wasn't shown during booking, contact the supplier in writing with your confirmation and rental agreement. For third-party bookings, start with the booking platform. If the charge is unresolved after one week, your credit card issuer is the next step.
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- The young driver fee stacks on top of the base rate and any optional add-ons — compare the all-in daily total, not just the advertised price.
- If you are under 21 and renting in New York or Michigan, expect daily surcharges of $40–$65 on top of the rental rate, depending on supplier.
- Sixt charges the young driver fee even on government rental accounts — the only major brand that does.
- An additional driver under 25 triggers their own young driver fee on top of the standard additional driver fee. Both apply simultaneously.
- Fox's under-21 surcharge ($25.99/day) is separate from and higher than their standard under-25 rate ($22/day) — check which applies to your age.
- Nu Car Rental's young driver policy varies by location — confirm the fee at your specific pickup point during booking.
Frequently asked questions
What is the young driver fee on a car rental?
It's a daily surcharge added to the base rental rate for drivers under 25. Suppliers charge it because statistical accident rates are higher for young drivers. It's mandatory — you can't decline it at the counter — but it can be waived through AAA, USAA, corporate accounts, or certain loyalty programs.
Which rental company has the lowest young driver fee?
Hertz publishes $19/day, which is the lowest flat rate among major brands — and that fee is waived entirely for AAA members. Fox charges $22/day at all corporate locations. Avis averages around $20/day but varies by location. The cheapest total depends on your base rate, rental length, and whether you qualify for a waiver.
Can I get the young driver fee waived?
Yes, depending on your situation. AAA membership waives the fee at Hertz for drivers aged 20–24. USAA membership waives it at Hertz (ages 18–24), Avis, Budget, Enterprise, and Alamo (ages 21–24). Active-duty military and government employees on official orders are typically exempt at most suppliers. Some corporate accounts also waive the fee.
Does the young driver fee apply to additional drivers under 25?
Yes. If the primary renter is 25 or older but adds a driver under 25, the young driver fee applies to the additional driver on top of the standard additional driver fee. Both charges apply simultaneously.
I'm 20 — which companies will rent to me?
Fox (minimum age 19), Hertz, Dollar, and Thrifty all rent to 20-year-olds at most US locations. Enterprise, Alamo, National, Avis, Budget, and Sixt require a minimum age of 21 at most locations. In New York and Michigan, state law requires all major suppliers to rent to drivers aged 18 and older, though the daily surcharge is significantly higher for 18–20 year-olds — the rent at 18 guide covers the full breakdown.
Does the young driver fee apply when renting in Europe?
Yes, and in many European countries it's structured differently — often higher per day, sometimes applying up to age 26, and occasionally bundled into an insurance package rather than shown as a separate line item. Italy, France, and Croatia typically charge €10–€25 per day for drivers under 25 or 26. Always check the local rental conditions for your specific pickup country.