Car Ownership Cost Calculator
The purchase price is just the beginning. See the true annual cost of owning a car.
True annual cost:
True monthly cost:
Depreciation per year:
Resale value after ownership:
Where your annual car cost goes
How to use this calculator
Enter the purchase price, annual depreciation, yearly insurance, fuel, maintenance and registration costs, plus how long you'll own it, then press Calculate. True annual and monthly costs are shown with a cost-breakdown chart.
What the result means
The true cost combines depreciation with running costs — most people only count the monthly payment and underestimate the real number by thousands. Resale value shows what the car is still worth at the end.
What the total cost of ownership includes
This tool adds up the running costs that people forget: depreciation, insurance, fuel, maintenance and repairs, and registration and taxes. Each is entered as an annual figure, and the calculator sums them to a yearly and monthly total that reflects what the car really costs to keep.
Which inputs matter most
- Depreciation is usually the largest line - a new car loses thousands per year early on.
- Fuel depends on miles driven and efficiency, so your actual usage, not the sticker, decides it.
- Maintenance grows as the car ages; budget realistically rather than assuming zero.
Worked example
A $32,000 car with 15% depreciation, $1,600 insurance, $1,800 fuel, $900 maintenance and $300 registration costs about $11,000 a year, or roughly $915 a month - a far more useful number than the loan payment alone when you compare cars.
Comparing two cars honestly
Fill in the same usage for each candidate (same miles, same fuel price). The car with the lower all-in number is the cheaper one to own, even if its sticker price is higher - which is often how EVs and hybrids win.
Frequently asked questions
Why is depreciation the biggest cost?
A new car loses 15-20% of its value in year one alone. Over five years, depreciation often exceeds fuel.
How can I lower ownership cost?
Buy used, keep cars longer, and choose reliable models with good fuel economy.
Why does my monthly loan payment not match this total?
Because the loan is financing, not a cost of ownership. Ownership costs (depreciation, insurance, fuel, upkeep) happen whether you pay cash or borrow.