An electric car is worth it if you drive a fair amount, can charge at home or at work, and plan to keep the car for several years. If you can’t charge easily or you drive very little, the higher sticker price can outweigh what you save. Here is how to run the numbers for your own situation.
Where EVs save money
Fuel. Charging at home is usually cheaper than buying gasoline for the same distance. For many drivers, the energy cost per mile ends up at a fraction of what a comparable gas car spends. Your own result depends on your local electricity rate and gas prices, so check your utility bill before trusting any average.
Maintenance. An EV has no oil changes, spark plugs or timing belts. A U.S. Department of Energy study, cited by InsideHook, put maintenance at 6.1 cents per mile for an EV versus 10.1 cents for a gas car. Over 200,000 miles, that is about $12,200 versus $20,200, a gap of roughly $8,000. The study is from 2021, so treat the exact figures as a guide rather than a promise.
Where EVs cost more
The purchase price is the main hurdle. Tax credits and local incentives can change the math, but rules differ by state and change over time, so confirm what applies to the car you want before you sign.
Resale value is the other unknown. A common rule of thumb is to keep an EV for at least three to four years so the savings can offset depreciation. The longer you keep it, the more the fuel and maintenance savings add up.
A quick way to decide
- Estimate your yearly miles. The more you drive, the faster the savings pile up. Short, rare trips save little.
- Check where you can charge. A garage or driveway with an outlet is the best case. Plugging into a standard household outlet works but is slow. Renters and apartment dwellers should ask about charging at the building or at work.
- Find your electricity rate. Look at the price per kWh on your bill, and ask your utility whether it offers a cheaper overnight rate.
- Compare it to your current car. Add up gas, maintenance and insurance for both, then weigh the difference against the purchase price.
- Think about how long you’ll keep it. Plan on several years to let the savings catch up with the higher price.
- Look at your road trips. If you often drive long distances through areas with few fast chargers, plan stops or consider a hybrid.
When an EV may not be worth it
- You can’t charge at home or at work, and rely only on public stations.
- You drive very few miles, so fuel savings stay small.
- You regularly take long trips through places with sparse fast charging.
- You plan to sell within a couple of years and worry about depreciation.
In those cases, a hybrid or an efficient gas car may be the better fit. Our report on gas cars falling below 50% of global sales shows where the market is heading, but that doesn’t mean every buyer should switch today.
If you plan to use your phone on the dashboard, note that Android Auto is ending support for Android 9 and 10.
Frequently asked questions
Do electric cars need oil changes?
No. An EV has no combustion engine, so there is no engine oil, spark plugs or timing belt. Maintenance focuses on tires, brakes, suspension and checks of the electrical system.
Is it cheaper to charge an EV at home?
Usually, yes. Home charging tends to cost less than gasoline for the same distance, though the exact savings depend on your electricity rate and local gas prices.
How many years should I keep an EV?
A common rule of thumb is three to four years, so the savings have time to offset depreciation. Your situation may differ, so run your own numbers.
Can an EV be my only car?
It can, if you charge at home or at work and rarely take long trips through areas with few chargers. People who drive long distances often keep a second car as backup.
