Cost of Ownership Calculator
See the real cost of any car beyond the sticker price. Enter purchase price and driving details to get 5-year total cost including depreciation, fuel, insurance, maintenance, and financing.
How to use Cost of Ownership Calculator
The car cost of ownership calculator totals every expense of owning a vehicle over 1–5 years: depreciation, financing interest, fuel, insurance, maintenance, registration and tyres. It converts to a cost-per-mile figure and compares two vehicles so you can see which is truly cheaper beyond the sticker price.
- Enter the vehicle purchase price and expected resale value at your horizon.
- Add your loan details for financing cost.
- Enter annual mileage, fuel economy and fuel price.
- Add estimated annual insurance, maintenance and registration costs.
- Review total cost, cost per mile and a comparison against a second vehicle.
Your data never leaves your device — 100% private processing.
Depreciation — the hidden largest cost
A new car loses roughly 15–20% of its value in year one and 50–60% over five years. This invisible cost is often larger than all other ownership costs combined. Buying a two- to three-year-old vehicle with low mileage captures the steepest depreciation phase in the previous owner's cost, not yours — and typically still qualifies for remaining warranty.
| Year | Value remaining | Annual depreciation loss |
|---|---|---|
| Year 1 | ~80% of MSRP | ~20% |
| Year 2 | ~68% of MSRP | ~12% |
| Year 3 | ~58% of MSRP | ~10% |
| Year 5 | ~40% of MSRP | ~9%/yr |
| Year 7 | ~28% of MSRP | ~6%/yr |
IRS mileage rate and cost-per-mile context
The IRS standard mileage rate (2024: $0.67/mile) is set to cover all ownership costs — depreciation, fuel, insurance and maintenance. It serves as a useful benchmark: if your actual cost-per-mile calculation is near $0.67, your costs are in line with the national average. Fuel-efficient economy cars often come in $0.40–$0.50/mile; trucks and luxury vehicles exceed $0.80/mile.
Glossary
- Depreciation
- The loss of vehicle value over time; the largest ownership cost for most drivers.
- Cost per mile
- Total annual ownership cost divided by annual mileage.
- Resale value
- The car's projected market value at the end of your ownership period.
- Total cost of ownership
- Sum of all costs to own and operate a vehicle over a defined period.
Related reading
Frequently Asked Questions
Get weekly tool tips & updates
New tools, power-user tips, and productivity hacks — delivered free every Friday.
No spam, ever. Unsubscribe with one click.
Why use Cost of Ownership Calculator?
- Covers all major auto loan and leasing calculations
- Fuel cost comparisons with real MPG/L/100km data
- Instant results with no spreadsheet required
- Supports both metric and imperial units
Common use cases
- Calculate monthly payments on a car loan
- Compare the total cost of owning vs leasing
- Estimate annual fuel costs for a vehicle
- Calculate depreciation over 5 years
- Find out true cost of ownership including insurance
Related Auto & Vehicle
Car Lease vs Buy Calculator
Compare car leasing vs buying to find the true total cost. Enter purchase price, lease terms, down payment, and loan details to see which option saves more
Fuel Cost / Trip Cost Calculator
Calculate fuel cost for any trip. Enter distance, MPG, and gas price to get total fuel cost. Compare two vehicles and see annual fuel spending.
Loan Calculator
Calculate your loan monthly payment, total interest, and payoff. Compare rates and terms instantly with this free online personal loan calculator.
Car Affordability Calculator
Calculate how much car you can afford based on income, debt, and down payment. Uses the 20% rule and DTI method. Free car affordability calculator.
Car Lease Calculator
Calculate monthly car lease payment, total lease cost, and effective APR. Enter MSRP, cap cost, residual value, and money factor. Free lease calculator.
MPG / Fuel Economy Calculator
Calculate your car's MPG (miles per gallon) or L/100km fuel economy. Enter miles driven and gallons used — or convert between MPG, L/100km, and km/L.
Explore all Auto & Vehicle.