Car Cost of Ownership Calculator
The total cost of owning a car over the years you keep it, per year, per month and per km or mile: depreciation, fuel, insurance, maintenance, tax, parking and loan interest.
Result…
How it's calculated
Depreciation = purchase price − resale value Fuel per year = distance × L/100 km ÷ 100 × price per litre, or distance ÷ (km/L or mpg) × price per litre or gallon Running = (insurance + maintenance + tax + parking) × years Interest = interest paid on the loan during the years owned Total = depreciation + fuel and energy × years + running + interest Cost per km or mile = total ÷ (distance per year × years) 1 mile = 1.609344 km; 1 US gallon = 3.785411784 L; 1 UK gallon = 4.54609 L
The true cost of a car is much more than its price or the monthly payment. This adds up depreciation (what you pay less what you sell it for), fuel worked out from your distance and fuel economy, charging for an electric car, insurance, maintenance and tyres, tax and registration, parking and tolls, and the interest on any loan during the years you own it. It gives the total, the cost per year and month, and the cost per kilometre and per mile, so you can compare cars or check what a trip really costs. Enter distance in km or miles and economy as L/100 km, km per litre, or mpg in US or UK gallons; the conversions use the exact definitions of the mile and the two gallons.
Your numbers, step by step
About the Car Cost of Ownership calculator
This car cost of ownership calculator adds up what a car really costs over the years you keep it, not just its price or the monthly payment. It counts depreciation (the price less what you sell it for), fuel from your yearly distance, fuel economy and fuel price, charging for an electric car, insurance, maintenance and tyres, tax and registration, parking and tolls, and the interest on any loan during those years. You get the total, the cost per year and per month, and the cost per kilometre and per mile. Distance works in km or miles, and economy in litres per 100 km, km per litre, or mpg in US or UK gallons, using the exact unit definitions in the NIST Guide to the SI. To estimate the resale value, try the car depreciation calculator.
How to use it
- Choose the “Units”, then enter the “Years you keep it”, the “Purchase price” and the “Value when you sell”.
- Enter the “Distance driven per year”, how the “Fuel economy” is given, the economy itself and the “Fuel price”.
- Add the yearly “Insurance”, “Maintenance, repairs and tyres”, “Tax and registration” and “Parking, tolls and washing”, plus any “Charging or other energy per year”.
- If you borrow, enter the “Amount borrowed”, “Loan interest rate” and “Loan term”, then read the total and the cost per km or mile.
Worked example
A car bought for 30,000 and sold for 15,000 after 5 years loses 15,000 to depreciation. Driving 15,000 km a year at 7 L/100 km uses 1,050 litres a year; at 1.60 a litre that is 1,680 a year, or 8,400 over 5 years. Insurance, maintenance, tax and parking of 2,900 a year add 14,500, and a 20,000 loan at 7% over 60 months costs 3,761.44 in interest. The total is 41,661.44: 8,332.29 a year, 694.36 a month, about 0.56 per km or 0.89 per mile.
Updated
Questions people ask
How do I calculate the total cost of owning a car?
Add the depreciation (what you pay less what you sell it for), the fuel for your distance, and the yearly insurance, maintenance, tax and parking times the years you keep it, plus the interest on any loan. Divide by the distance driven for a cost per km or mile.
Why aren't the loan repayments counted in full?
The part of each payment that repays the amount borrowed pays for the car itself, and that is already counted through the price and resale value. Only the interest is an extra cost of borrowing.
How do I convert mpg to litres per 100 km?
Divide 100 by the mpg, then multiply by the litres in a gallon and divide by 1.609344 km in a mile. A US gallon is 3.785411784 litres and a UK gallon 4.54609 litres, so 34 US mpg is about 6.9 L/100 km. The fuel economy calculator does it for you.
What is the biggest cost of owning a car?
For many newer cars it is depreciation rather than fuel, but it depends on the car, how far you drive and local prices. Enter your own numbers and read the breakdown in the chart.
What does this car cost estimate leave out?
It uses today's prices for every year, with no inflation, no price changes and no return the money could have earned elsewhere. Insurance, tax and fuel prices depend on where you live, so check quotes before you buy.