Compare electric vehicle vs gas vehicle costs including fuel, maintenance, and total cost of ownership.
Updated October 2026
Electric vehicles (EVs) save money primarily through lower fuel costs and reduced maintenance compared to gas-powered cars. Electricity costs roughly $0.04–$0.06 per mile to power an EV, while gasoline costs $0.10–$0.18 per mile for a conventional car — meaning EV drivers save 60–75% on fuel costs over the vehicle's lifetime.1
Beyond fuel savings, EVs have fewer moving parts than internal combustion engine (ICE) vehicles — no oil changes, transmission fluid, timing belts, spark plugs, or exhaust system components. The average EV owner spends $0.06 per mile on maintenance compared to $0.10 per mile for a gas car, saving roughly $4,600 over 100,000 miles. Combined fuel and maintenance savings typically range from $6,000 to $12,000 over a five-year ownership period, depending on local electricity and gas prices, driving habits, and vehicle efficiency.2
The upfront purchase price of EVs has historically been higher than comparable gas vehicles, but this gap is narrowing rapidly. State and utility incentives can still reduce the effective purchase price; the $7,500 federal credit ended for vehicles acquired after September 30, 2025. When total cost of ownership (purchase + fuel + maintenance + insurance) is considered over a 5–10 year period, many EVs are now cheaper than their gas counterparts.
| Annual Miles | Gas Cost (30 MPG, $3.50/gal) | EV Cost (3.5 mi/kWh, $0.14/kWh) | Annual Savings | 5-Year Savings |
|---|---|---|---|---|
| 8,000 | $933 | $320 | $613 | $3,067 |
| 10,000 | $1,167 | $400 | $767 | $3,833 |
| 12,000 | $1,400 | $480 | $920 | $4,600 |
| 15,000 | $1,750 | $600 | $1,150 | $5,750 |
| 20,000 | $2,333 | $800 | $1,533 | $7,667 |
| 25,000 | $2,917 | $1,000 | $1,917 | $9,583 |
Gas price of $3.50/gallon and electricity rate of $0.14/kWh used as national averages. EV efficiency of 3.5 miles per kWh represents a mid-range EV like the Tesla Model 3 or Chevrolet Equinox EV. Your actual costs depend on local energy prices, driving efficiency, and vehicle model.
The true cost comparison between an EV and a gas car includes far more than the sticker price. Total cost of ownership (TCO) accounts for purchase price, financing costs, fuel, maintenance, insurance, depreciation, and incentives over the expected ownership period. When evaluated on a TCO basis over 5–10 years, EVs frequently cost less than comparable gas vehicles despite higher purchase prices.
| Cost Category | Gas Car (5-Year, 12K mi/yr) | EV (5-Year, 12K mi/yr) | EV Advantage |
|---|---|---|---|
| Purchase Price | $32,000 | $40,500 | -$8,500 |
| Fuel / Charging | $7,000 | $2,400 | +$4,600 |
| Maintenance | $5,000 | $2,500 | +$2,500 |
| Insurance | $7,500 | $8,500 | -$1,000 |
| Depreciation | $14,000 | $15,000 | -$1,000 |
| Total 5-Year Cost | $65,500 | $68,900 | -$3,400 |
Illustrative comparison between a mid-size gas sedan and comparable EV. Insurance and depreciation vary significantly by model and region. No federal credit: the $7,500 clean vehicle credit ended for vehicles acquired after September 30, 2025, which turns this example from a $4,100 EV advantage into a $3,400 gas advantage. A state rebate or a bigger fuel-price gap can change the result.
The federal clean vehicle credits (up to $7,500 new, $4,000 used) ended for vehicles acquired after September 30, 2025, under Public Law 119-21. A vehicle under a written binding contract with a payment made by that date can still qualify; anything bought later gets no federal credit. What remains are state, local and utility incentives, which vary widely and change often. IRS: energy credit termination FAQs (FS-2025-05).3
Many states offer additional incentives: rebates ($1,000–$7,500), sales tax exemptions, reduced registration fees, HOV lane access, and free or discounted charging. Several states have offered their own EV credits or rebates, but amounts have been cut or closed in some states. Check your state's current program, as these change frequently and can significantly affect the financial case for an EV.
Where and when you charge dramatically affects EV running costs. Home charging with a Level 2 (240V) charger at the national average residential electricity rate of $0.14/kWh costs roughly $0.04 per mile — by far the cheapest fueling option. Charging during off-peak hours (typically 9 PM – 6 AM) can reduce this further to $0.02–$0.03 per mile in areas with time-of-use electricity rates.
Public Level 2 charging typically costs $0.20–$0.40/kWh ($0.06–$0.11/mile), while DC fast charging costs $0.30–$0.60/kWh ($0.09–$0.17/mile). At DC fast charging prices, fuel savings over gasoline narrow considerably — a driver who relies exclusively on expensive public fast charging may see limited cost advantage over a fuel-efficient gas car. The ideal setup is a home Level 2 charger ($500–$2,000 installed; the federal charger credit ended June 30, 2026) for daily charging, using public fast chargers only for road trips.
For homeowners with solar panels, EV charging costs approach zero. A solar array sized to cover both home electricity and EV charging provides maximum savings and effectively eliminates fuel costs for transportation and home energy simultaneously. This solar-plus-EV combination offers the strongest long-term financial case for electrification, with combined savings potentially exceeding $3,000–$5,000 annually compared to paying utility rates and gasoline.
The financial case for an EV is strongest for drivers who meet several criteria: high annual mileage (12,000+ miles/year), access to home charging, residence in a state with high gas prices and/or EV incentives, and plans to keep the vehicle for at least 5 years. For these drivers, total cost of ownership is almost certainly lower with an EV.
Conversely, the case weakens for drivers with very low annual mileage (under 6,000 miles), no access to home or workplace charging, or short planned ownership periods where higher depreciation and insurance costs may not be offset by fuel savings. Apartment dwellers who rely exclusively on public fast charging may find the fuel cost advantage significantly diminished, though workplace charging programs are expanding rapidly in many metro areas.
For drivers on the fence, this calculator helps quantify the exact savings based on your personal driving profile, local energy prices, and vehicle options. The numbers often surprise people — many discover that the break-even point comes much earlier than expected, especially when federal and state incentives are factored in.
EVs require substantially less maintenance because they eliminate most of the wear components found in gas vehicles. There is no engine oil to change, no transmission fluid, no spark plugs, no timing chain, no exhaust or emissions system, and no fuel injection components. The primary maintenance items for an EV are tire rotation, cabin air filter replacement, brake fluid changes, and windshield washer fluid — all low-cost, infrequent services.
Brake pad life is also extended dramatically in EVs thanks to regenerative braking, which uses the electric motor to slow the vehicle and recapture energy. Many EV owners report brake pads lasting 100,000–200,000 miles, compared to 30,000–70,000 miles for gas vehicles. Battery degradation is the primary long-term concern, but modern EV batteries are designed to retain 70–80% capacity over 200,000 miles, and manufacturers warrant batteries for 8 years or 100,000 miles minimum.4
EV insurance premiums tend to be 10–25% higher than comparable gas vehicles, primarily due to higher repair costs from specialized components (battery packs, electric drive units) and fewer qualified repair shops. A damaged battery pack can cost $5,000–$15,000 to replace, and even minor body damage may require specialized EV-trained technicians. However, these higher premiums are typically more than offset by fuel and maintenance savings.
Shopping around for EV-friendly insurers can reduce the premium gap. Some companies offer EV-specific discounts, and low-mileage discounts benefit EV owners who charge at home and drive shorter commutes. Usage-based insurance programs that track actual driving behavior can also provide savings for safe drivers, regardless of vehicle type.
EV depreciation has improved significantly as the used EV market matures. Early EVs depreciated rapidly due to concerns about battery life and limited model availability, but current-generation EVs with longer ranges and proven battery durability hold value much better. Tesla models, in particular, have shown strong resale values — often retaining 60–70% of their original value after three years, comparable to popular gas vehicles.
The end of the $4,000 federal used-EV credit (for purchases after September 30, 2025) removed one support for used EV prices. As charging infrastructure expands and consumer confidence grows, EV depreciation rates are expected to continue converging with gas vehicle norms. Buyers concerned about depreciation should consider popular models with strong brand recognition and large battery capacities, as these tend to depreciate least.
→ Charge at home during off-peak hours. Many utilities offer EV-specific time-of-use rates with overnight electricity as low as $0.05–$0.08/kWh. A programmable Level 2 charger can automatically start charging during the cheapest hours, maximizing savings.
→ Maximize regenerative braking. Use one-pedal driving mode when available. Regenerative braking recaptures energy during deceleration, extending range by 10–20% in city driving and dramatically extending brake pad life.
→ Compare total cost, not sticker price. A $40,000 EV may cost less over 5 years than a $30,000 gas car when fuel, maintenance, and incentives are factored in. Always evaluate on a total cost of ownership basis.
→ Consider solar charging. If you own a home and plan to keep an EV long-term, adding solar panels to cover charging costs can reduce your per-mile cost to near zero, compounding savings over the life of both investments.
See also: EV Charging Cost · Solar Panel Calculator · Car Payment Calculator · Auto Loan Calculator