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Pricewise, sherut taxi fares are a set price and similar to bus fares. They usually reach their destination faster and tend to be less crowded. Sheruts operate both inter and intra-city routes and can be easily accessed from right outside Tel Aviv Central Bus Station.
By simply raising your hand, you can flag down a sherut and ask the driver to drop you off at any point along the route. You can hand the driver your fare as you get on the taxi, or you can take your seat and pass your money down to the driver. Not to worry-your change will be passed back to you. Note that while sheruts operate on Shabbat (Friday night and Saturday), fares will increase by a few shekels.
For more information on transportation in Israel see this page.
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