Electric vs. gas car: compare total cost with your local rates
Compare electric and gasoline vehicle costs using purchase price, charging and fuel rates, efficiency, maintenance, insurance, depreciation, and resale value.
Prepared from the sources listed below and checked against the published CarCost methodology. CarCost is independent of dealers, lenders, insurers, manufacturers, and vehicle marketplaces.
Energy is only one line of the full vehicle ownership-cost formula; depreciation and insurance can be larger than the fuel difference.
Use energy consumption, not MPGe, in the cash calculation
For a gasoline vehicle, annual fuel cost is miles driven divided by MPG, multiplied by the local price per gallon. For an EV, use annual miles multiplied by kWh per 100 miles, divided by 100, then multiplied by the actual electricity rate.
If you rely on public charging, use the blended price you expect to pay rather than a residential utility average. Include time-of-use rates and charging losses when they materially affect the estimate.
Maintenance is only one part of ownership cost
Battery-electric vehicles have fewer routine engine-related services and federal energy research has found lower scheduled maintenance requirements. Tires, insurance, collision repairs, registration, and manufacturer-specific service still matter and should be estimated separately.
Depreciation can dominate fuel savings
A few thousand dollars of annual fuel savings can be outweighed by a large difference in purchase price or resale value. Test more than one EV residual assumption because technology, incentives, used demand, battery condition, and manufacturer pricing can move resale markets quickly.
Add home charging only when it is actually needed
A charger, electrical-panel upgrade, permitting, or installation may be part of the acquisition cost. If the equipment will serve multiple future vehicles, you may choose to spread that cost across a longer period—but document the assumption rather than hiding it.
Test three mileage and energy-price cases
Run a low-mileage case, your expected case, and a high-mileage case. Then test current and adverse energy prices. This shows the break-even conditions instead of producing one fragile answer based on today's pump or utility rate.
Compare the two choices side by side.
Change every assumption, including vehicle model year, trade-in value, loan length, operating cost, depreciation, and whether the cash-flow difference would actually be invested.
Open this comparison in CarCost →Sources and further reading
CarCost uses primary consumer and government guidance where available. Linked sources support the concepts in this guide; your actual offer and local rules control your transaction.