Finance Calculator

Total Cost of Ownership Calculator

The sticker price is just the beginning. Calculate the true all-in cost of owning a car including financing, insurance, fuel, maintenance, and depreciation.

What is the average total cost of ownership for a car in the US?

AAA estimates the average American spends $10,728/year ($894/month) to own and operate a new car. This includes depreciation ($4,000+), insurance ($1,500+), financing, fuel, and maintenance.

How much does car insurance cost per year?

The US national average is about $1,500–2,000/year for full coverage. Rates vary widely by state, age, driving record, and vehicle type. Young drivers and luxury vehicles pay significantly more.

How much should I budget for car maintenance?

A general rule is 1–2% of the car's value per year. A $30,000 car: ~$300–600 in the early years, rising as the car ages. Luxury and European brands typically cost more to maintain.

What is the cheapest car to own long-term?

Toyota and Honda vehicles consistently rank as the lowest total cost of ownership — particularly the Camry, Corolla, Civic, and Accord. They combine strong reliability, cheap parts, and solid resale values.

What costs are included in total cost of ownership?

Five main buckets: depreciation (usually the largest and most overlooked), financing interest, insurance, fuel or electricity, and maintenance and repairs. Registration, taxes, and fees round it out. Depreciation alone often exceeds fuel and maintenance combined, which is why the purchase decision matters more than day-to-day thrift.

How can I lower my total cost of ownership?

Buy a reliable model with strong resale value, keep it well past the loan payoff to spread depreciation over more years, shop your insurance every renewal, stay on top of maintenance to avoid big repairs, and choose a fuel-efficient or electric powertrain if you drive a lot. The biggest lever is simply picking a car that holds its value.