Electric vs Gas Car Calculator: Total Cost Compared

The EV costs more up front and less every year after

The EV is $38,000.00 against $28,000.00 for the gas car — but the $7,500.00 federal credit brings the EV’s net price to $30,500.00, only $2,500.00 more than the gas car. Then the running costs take over: gas costs $1,400.00 a year in fuel, the EV costs $548.57 a year in electricity. With maintenance and insurance, the gas car runs $3,600.00 a year and the EV $2,548.57 — a saving of $1,051.43 a year. Over 5 years the gas car totals $46,000.00 and the EV $43,242.86 — EV wins by $2,757.14. The break-even year is 2.38.

Check the identities: EV net = EV price − credit; gas fuel/yr = miles / mpg × $/gal; EV electricity/yr = miles / mi/kWh × $/kWh; yearly running = fuel/electricity + maintenance + insurance; gas total = gas price + years × gas yearly; EV total = EV net + years × EV yearly; break-even = (EV net − gas price) / (gas yearly − EV yearly). At the defaults the per-mile fuel cost is $0.12 for gas and $0.05 for the EV (exact 0.1167 / 0.0457), and the per-mile all-in cost is $0.30 for gas and $0.21 for the EV. At the break-even value the two totals are EQUAL (a tie). Rounding convention: totals are computed from unrounded values, so rounded parts may differ by a cent from their rounded sum.

The worked example, line by line

Setup: EV $38,000.00, gas car $28,000.00, credit $7,500.00, 12,000 mi/yr, 5 years, gas $3.50/gal, 30 mpg, $0.16/kWh, 3.5 mi/kWh, gas maintenance $800.00/yr, EV maintenance $400.00/yr, gas insurance $1,400.00/yr, EV insurance $1,600.00/yr.

Line 1 — the EV net price. $38,000.00 − $7,500.00 = $30,500.00.

Line 2 — the yearly fuel and electricity. Gas: 12,000 / 30 × $3.50 = $1,400.00. EV: 12,000 / 3.5 × $0.16 = $548.57.

Line 3 — the yearly running costs. Gas: $1,400.00 + $800.00 + $1,400.00 = $3,600.00. EV: $548.57 + $400.00 + $1,600.00 = $2,548.57.

Line 4 — the totals. Gas: $28,000.00 + 5 × $3,600.00 = $46,000.00. EV: $30,500.00 + 5 × $2,548.57 = $43,242.86. EV wins by $2,757.14.

Line 5 — the break-even. ($30,500.00 − $28,000.00) / ($3,600.00 − $2,548.57) = 2.38 years.

Reverse: the gas price where the 5-year totals tie is $2.12/gal (exact $2.1214); at $2.12 the gas total is $43,240.00 — GAS wins by $2.86 — and at the exact $2.1214 the gap is $0.00, the tie. The EV price where the 5-year totals tie is $40,757.14 (exact $40,757.1429); the EV net is $33,257.14 and the EV total is $46,000.00 — the tie. The first year the EV wins is year 3 (EV wins by $654.29; gas $38,800.00, EV $38,145.71); at year 2 the gas car still wins by $397.14. The miles per year where the 5-year totals tie is 4,228 mi/yr (exact 4,228.19); at 4,228 the gas total is $41,466.33 and the EV total is $41,466.40 — a $0.07 gap; below the tie, at 4,000 mi/yr, GAS wins by $80.95. The electricity price where the 5-year totals tie is $0.32/kWh (exact $0.3208); at $0.32 the EV total is $45,985.71 — EV wins by $14.29 — and at the exact $0.3208 the gap is $0.00, the tie. The years for the EV to win by $5,000 is 7.13 years (exact 7.1332); at year 7 EV wins by $4,860.00, at year 8 EV wins by $5,911.43.

Every branch, checked

No credit: Gas $46,000.00, EV $50,742.86 — GAS wins by $4,742.86. Gas/yr $3,600.00, EV/yr $2,548.57. Without the $7,500.00 credit the EV’s net price is $38,000.00 and the EV total is $50,742.86 — GAS wins by $4,742.86.

20,000 mi/yr: Gas $50,666.67, EV $45,071.43 — EV wins by $5,595.24. Gas/yr $4,533.33, EV/yr $2,914.29. Driving more favours the EV: the gas total is $50,666.67 and the EV total is $45,071.43 — EV wins by $5,595.24.

6,000 mi/yr: Gas $42,500.00, EV $41,871.43 — EV wins by $628.57. Gas/yr $2,900.00, EV/yr $2,274.29. Driving less shrinks the EV’s advantage to $628.57 — EV wins by $628.57.

Gas $5.00/gal: Gas $49,000.00, EV $43,242.86 — EV wins by $5,757.14. Gas/yr $4,200.00, EV/yr $2,548.57. Dear gas lifts the gas total to $49,000.00 — EV wins by $5,757.14.

10 years: Gas $64,000.00, EV $55,985.71 — EV wins by $8,014.29. Gas/yr $3,600.00, EV/yr $2,548.57. Keeping the car twice as long doubles the EV’s advantage: gas $64,000.00, EV $55,985.71 — EV wins by $8,014.29.

EV $45,000: Gas $46,000.00, EV $50,242.86 — GAS wins by $4,242.86. Gas/yr $3,600.00, EV/yr $2,548.57. A dearer EV pushes the EV total to $50,242.86 — GAS wins by $4,242.86.

Gas 40 mpg: Gas $44,250.00, EV $43,242.86 — EV wins by $1,007.14. Gas/yr $3,250.00, EV/yr $2,548.57. A frugal gas car cuts the gas total to $44,250.00 — EV wins by $1,007.14.

What the defaults assume

The model assumes no resale value, no financing cost, no home-charger installation cost, and no state incentives beyond the $7,500 federal credit. It assumes the electricity price is a home-charging average — public fast charging costs more — and that gas and electricity prices are today’s assumptions, so the break-even year moves with them. It assumes the EV’s $400/yr maintenance and the gas car’s $800/yr, and the $1,600/yr EV insurance against $1,400/yr for gas. At 0 miles a year the gas total is $39,000.00 and the EV total is $40,500.00 — GAS wins by $1,500.00 (a car that never moves never recoups the EV premium). Over 1 year the gas total is $31,600.00 and the EV total is $33,048.57 — GAS wins by $1,448.57. With no credit and a $45,000 EV the EV total is $57,742.86 — GAS wins by $11,742.86. Rounding convention: totals are computed from unrounded values, so rounded parts may differ by a cent from their rounded sum; the reverses are nearest-value solutions, and the exact unrounded figures ($2.1214/gal, $40,757.1429, 4,228.19 mi/yr, $0.3208/kWh, 7.1332 years) are stated wherever the rounded figures appear.

Output · formula · meaning

Who uses this

• The commuter driving 20,000 miles a year: they learn the EV wins by $5,595.24 — and they check the 6,000-mile branch ($628.57) to see how much the mileage matters.
• The buyer who cannot claim the credit: they learn the gas car wins by $4,742.86 without it — and they check the $45,000 EV branch ($4,242.86) to see the worst case.
• The driver keeping the car 10 years: they learn the EV wins by $8,014.29 — and they check the break-even (2.38 years) to see how early it turns.
• The driver paying $5.00 a gallon: they learn the EV wins by $5,757.14 — and they check the $0.32/kWh reverse ($45,985.71) to see what electricity price would flip it.

Accuracy & limitations

The math is first-principles total cost of ownership: EV net = EV price − credit; gas fuel/yr = miles / mpg × $/gal; EV electricity/yr = miles / mi/kWh × $/kWh; yearly running = fuel/electricity + maintenance + insurance; gas total = gas price + years × gas yearly; EV total = EV net + years × EV yearly; break-even = (EV net − gas price) / (gas yearly − EV yearly). The 4-decimal exact is shown where the rounding matters: the gas price for the tie is $2.1214/gal (shown as $2.12/gal); the electricity price for the tie is $0.3208/kWh (shown as $0.32/kWh); the years for the EV to win by $5,000 is 7.1332 years (shown as 7.13 years). What the model cannot do is price YOUR car: it leaves out resale value, financing, the home charger, and state incentives, and it assumes today’s gas and electricity prices hold for the whole ownership period — a battery replacement, a big repair, or a price spike would move the answer. For the loan that pays for the car, see the car loan payoff calculator; for cash vs financing, see the cash vs finance car comparison; for new vs used, see the new vs used car comparison; and for the buy-new-vs-used choice, see buy new vs used car. This is a calculator, not financial advice.