USA Car Rental Under 25 Fee, 2026

Company	Minimum Age	Ages 21-24 Fee	Change from 2023	Vehicle Restrictions
Carla	21 years (18 in NY, MI)	$0 (waived)	N/A	May only rent Economy through Luxury cars
Enterprise	21 years (18 in NY, MI)	$25/day	Unchanged	Economy through Full-size cars
Alamo	21 years (18 in NY, MI)	$25/day	+$5	Economy through Full-size cars
Avis	21 years (18 in NY, MI)	$27/day	-$1	Economy through Full-size cars, minivans, small trucks, intermediate SUVs
Budget	21 years (18 in NY, MI)	$27/day	-$1	Economy through Full-size cars (no specialty vehicles, large SUVs)
Hertz	20 years (18 in NY, MI, AL, NE)	$19-25/day	-$4 to -$10	Economy through SUVs (no Dream, Prestige, Adrenaline collections)
Dollar	20 years (18 in NY, MI)	$29/day	Unchanged	Economy through Luxury cars
Thrifty	20 years (18 in NY, MI)	$27-29/day	Unchanged	Most classes (excluding StyleSeries)
National	21 years (18 in NY, MI)	$25/day	+$4	Restricted vehicle classes
Sixt	21 years (18 in NY, MI)	$25-30/day	Similar range	Economy through Intermediate SUVs and minivans only
Advantage	21 years	$25/day	Unchanged	Economy through Full-size cars
Fox	19 years (18 in NY, MI)	Varies by location	N/A	Varies by location
ACE	21 years (18 in NY, MI)	Varies by location	N/A	Economy through Premium cars

State-Specific Surcharges (2026)

New York State

Company	Ages 21-24	Ages 18-20	Change from 2023
Carla	$0	Varies by supplier	Fee waived
Enterprise	$30.75/day	$64.75/day	+$10.75 / +$7.75
Alamo	$24-25/day	$64.75/day	+$0-5 / +$0.75
Avis	$35/day	$84/day	+$7 / +$20
Budget	$35/day	$84/day	+$7 / +$20
Hertz	$25-35/day	$52/day	Similar range
National	$24.50/day	$64.50/day	+$4.50 / +$0.50
Sixt	$25-35/day	$53/day	N/A

Michigan State

Company	Ages 21-24	Ages 18-20	Change from 2023
Carla	$0	Varies by supplier	Fee waived
Enterprise	$15.75/day	$36.50/day	-$9.25 / -$3.50
Alamo	$20/day	$42/day	Unchanged / +$2
Avis	$28/day	$41/day	Unchanged
Budget	$28/day	$41/day	Unchanged
Hertz	$25-29/day	$52/day	Similar range
National	$19/day	$42/day	-$1 / +$2

Key Changes in 2026

What is Young Driver Fee? (Under 25 Fee)

Young Driver Fee (also called Under 25 fee or Underage fee) is an additional daily fee applied to rentals for drivers ages 20-24. According to the National Highway Traffic Safety Administration, drivers under 25 years old are statistically more likely to be involved in car accidents. This fee compensates rental companies for the extra insurance risk and accident rates associated with younger drivers.

How to Waive Under 25 Fee

1. Book Through Carla Car Rental

The easiest way to avoid under 25 fees is to book through Carla with companies that waive the fee. Look for the "Under 25 Fee Waived" banner when searching for cars. Simply enter your age before searching, select a participating supplier, and the young driver fee will be waived at the counter.

2. AAA Membership + Hertz

3. USAA Membership (Military & Families)

USAA members can get young driver fees waived at participating U.S. locations:

• Hertz: Ages 18-24 (fee waived)
• Avis: Ages 18-24 (fee waived)
• Budget: Ages 18-24 (fee waived)
• Enterprise: Ages 21-24 (fee waived)

Eligible members include active duty, National Guard, reserves, veterans, and their families.

4. U.S. Government Employees

Government employees (military and civilian) on official business can rent at age 18 without paying the young driver fee. You must present official orders at the rental location.

5. Corporate or University Programs

Many employers and universities negotiate corporate rates that waive or reduce underage fees. Check with your company's travel department or university transportation office.

Best Companies for Each Age Group

Best for 18-Year-Olds

Renting at 18 is only possible in specific situations:

• New York or Michigan residents: All major companies rent to 18+, but with high fees ($36-84/day depending on company)
• U.S. Military or Government: Can rent at 18 on official business without extra fees
• Alabama and Nebraska: Some companies rent at 19

Best for 19-Year-Olds

• Fox Rent a Car: Rents to 19-year-olds nationwide
• New York, Michigan, Alabama, Nebraska: Most major companies available

Best for 20-Year-Olds

• Hertz: $19-25/day fee (can be waived with AAA membership)
• Dollar: $29/day fee
• Thrifty: $27-29/day fee

Best for 21-24 Year-Olds

• Carla: $0 with participating suppliers (best option!)
• Hertz with AAA: $0 (requires AAA membership)
• Enterprise with USAA: $0 (requires USAA membership)
• Hertz (without AAA): $19-25/day (lowest among major companies)
• Alamo/Enterprise: $25/day

Vehicle Restrictions for Under 25 Renters

Most rental companies restrict the types of vehicles you can rent if you're under 25:

These restrictions vary by company and location. Always check the specific rental terms when booking.

Tips for Renting Under Age 25

1. Enter your age upfront: Always input your age when searching online so the total price includes any surcharges.
2. Compare total costs: A lower base rate plus high underage fees might cost more than a higher rate with no fees.
3. Check membership benefits: AAA, USAA, corporate accounts, or university programs can save hundreds of dollars.
4. Bring a credit card: Many locations require a credit card (not debit) for under-25 renters.
5. Book early: Some locations have limited inventory for young renters.
6. Read the fine print: Verify vehicle restrictions and any additional requirements at your specific location.
7. Consider alternative locations: Airport locations often charge higher fees than neighborhood offices.

Required Documents

When picking up your rental, you'll need:

• Valid driver's license (must be in good standing for at least 1 year)
• Credit or debit card in your own name (many locations require credit for under-25)
• Proof of insurance (if using personal coverage)
• Membership cards (AAA, USAA, etc.) if claiming waivers

State-by-State Minimum Ages

State(s)	Minimum Age	Notes
New York	18 years	State law requires companies to rent to 18+, but fees are very high ($36-84/day)
Michigan	18 years	State law requires companies to rent to 18+, fees $15-52/day depending on age
Alabama, Nebraska	19 years	State law sets minimum at 19
All other states	20-21 years	Hertz, Dollar, Thrifty rent at 20; most others require 21

Frequently Asked Questions

Can I rent a car at 18?

Yes, but only in specific situations: (1) You're in New York or Michigan, (2) You're U.S. military or government on official business, or (3) Your vehicle is being repaired and insurance covers a rental.

Do all companies charge under 25 fees?

Almost all major companies charge these fees. The main ways to avoid them are: booking through Carla with participating suppliers, using AAA membership at Hertz, or qualifying for USAA benefits.

Can the fee be higher than the rental rate?

Yes. In New York, an 18-year-old could pay $84/day in underage fees on top of a $30/day car rental, making the total $114/day. Always check the total price, not just the base rate.

Will fees be waived if I turn 25 during my rental?

No. Your age at pickup determines the fee for the entire rental period. If you turn 25 during a 7-day rental, you still pay the young driver fee for all 7 days. To avoid this, schedule your pickup on or after your 25th birthday.

Are fees the same at all locations?

No. Fees vary by state, city, and even specific rental location. Airport locations typically charge more than neighborhood offices. Always verify the exact fee during booking.

Never Pay Under 25 Fee Again!