Annual Car Cost Calculator
Find out exactly what your car costs per year — insurance, fuel, maintenance, repairs, and depreciation, all in one number. No asterisks.
Estimates based on national averages and AAA cost data. Actual costs vary by region, driving habits, and vehicle condition.
How the calculator works
The Annual Car Cost Calculator builds a full-year ownership estimate from six cost categories. You provide your vehicle, how many miles you drive per year, and a few details about your situation — the calculator does the rest.
- Insurance — estimated from national averages for your vehicle class and age, adjusted for your driver profile
- Fuel or energy — miles driven × estimated MPG × current average fuel price for your fuel type
- Maintenance — scheduled service costs (oil changes, filters, tyres, brakes) based on your mileage and vehicle age
- Repairs — unplanned repair estimates based on historical failure rates for vehicles of similar age and class
- Depreciation — annual value loss calculated from standard depreciation curves adjusted for condition and mileage
- Registration and fees — average annual registration costs by vehicle class
Assumptions and data sources
The estimates rely on US national averages. They are designed to give an accurate order-of-magnitude figure, not a line-by-line accounting of your specific bills.
- Insurance premiums use class-level averages from IIHS loss data; they do not account for your driving record, ZIP code, or specific coverage selections
- Fuel prices reflect the current US national average; actual costs vary by region and driving conditions
- Maintenance intervals follow manufacturer-recommended schedules at average shop labor rates
- Depreciation curves are based on typical private-sale market data; your vehicle's actual resale value depends on local demand and condition
- Repair estimates are statistical averages — some owners spend far less, some far more
Limitations
The calculator is a benchmarking tool, not a budget replacement. It will not capture:
- The effect of a specific accident history or modified coverage on your insurance premium
- Regional fuel price variations, toll costs, or parking
- EV charging infrastructure costs or utility rate differences
- Major one-off repairs (transmission replacement, collision damage) — those appear in the repair estimate as a probability, not a certainty
- Financing costs beyond the built-in 60-month loan estimate at a typical rate
What to do with the result
The total figure is most useful as a comparison baseline. Run it for the car you own, then run it for any car you're considering buying — the difference in annual cost is often more informative than the sticker price difference.
If the depreciation line is larger than you expected, that's typically a sign that you're holding a vehicle at the steepest part of its value drop. If the repair estimate stands out, consider whether that aligns with your experience — vehicles that have already passed the typical high-repair age bracket often stabilise.
For a buying decision, the cost-per-mile figure at the bottom of the result is a clean single number to compare across different vehicles regardless of their size or purchase price.
Frequently asked questions
Why is depreciation sometimes the biggest line item?
For vehicles in the first five years of their life, depreciation typically outweighs all operating costs combined. A new mid-size SUV can lose $4,000–$7,000 in value in a single year. This is why the cost-per-mile figure looks so different for a paid-off ten-year-old car versus a new one — even if the new car has lower fuel and repair costs, the depreciation gap often more than compensates.
How accurate is the fuel estimate?
For mixed-use highway and city driving, typically within 10–15%. If you do predominantly city driving or sustained highway commuting, your actual fuel costs will diverge from the estimate. You can improve accuracy by adjusting your annual mileage to reflect your real driving pattern.
Does the calculator account for lease vs. own?
The calculator estimates ownership costs. If you are leasing, the depreciation and financing lines will not map directly to your lease payment structure. Use the total as a comparison benchmark rather than a match to your monthly statement.
My actual costs are much lower — what am I missing?
The most common reason is DIY maintenance. If you change your own oil and do your own tyre rotations, your maintenance line will be significantly below the estimate, which uses standard shop labor rates. The calculator assumes all work is done at a shop.