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Is an EV Cheaper Than a Gas Car Over 5 Years?

Updated · 6 min read

For most drivers, an EV costs less to own over five years than a comparable gas car, mainly because of lower fuel and maintenance costs. But the gap depends heavily on your electricity rate, how much you drive, the incentives you qualify for, and how well the EV holds its resale value. In some cases—especially with higher trims or a bad public-charging habit—a gas car can still come out ahead.

What "total cost of ownership" actually includes

Sticker price is just one line item. To compare an EV and a gas car fairly over five years, add up:

  • Purchase price minus any federal, state, or utility incentives
  • Fuel (electricity) vs. gasoline
  • Routine maintenance and repairs
  • Insurance
  • Depreciation (what it's worth when you sell or trade it in)
  • Financing costs if you're taking a loan

Ignore any one of these and the comparison gets skewed. A cheap-to-fuel EV that depreciates fast can end up costing more than a gas car that holds its value.

Fuel costs: electricity vs. gasoline over 5 years

This is usually where EVs win, but the size of the win varies a lot by where you live and how you charge.

Gas car, 5 years: Assume 12,000–15,000 miles a year, a $3.00–$4.00/gallon range (check current prices at eia.gov), and 30 mpg combined. That's roughly $6,000–$10,000 in gasoline over five years.

EV, 5 years: Home charging on a standard residential rate (commonly 12–25 cents/kWh depending on state and utility) and an EV that uses roughly 30 kWh per 100 miles puts most owners at $2,000–$4,500 over five years for the same mileage. Charging mostly on fast public chargers, which often run 30–50 cents/kWh or more, can erase a lot of that savings.

To get a number based on your own mileage, local electricity rate, and vehicle efficiency, use the EV charging cost calculator instead of relying on national averages.

Quick fuel cost comparison

Gas car (30 mpg) EV, home charging EV, mostly fast charging
Annual mileage 13,000 13,000 13,000
Cost per mile (fuel only) ~$0.11–$0.13 ~$0.04–$0.07 ~$0.10–$0.16
5-year fuel cost ~$7,000–$8,500 ~$2,600–$4,500 ~$6,500–$10,000

These are illustrative ranges, not guarantees—confirm your local gas and electricity prices before budgeting.

Maintenance and repair costs

EVs generally cost less to maintain because they don't need oil changes, have fewer moving parts in the drivetrain, and use regenerative braking, which extends brake pad life. Owners typically report saving on:

  • Oil changes and filters (not needed)
  • Transmission service (most EVs don't have a traditional multi-speed transmission)
  • Exhaust system repairs (no exhaust system)
  • Brake pad replacement (often extended)

Gas cars still tend to have an edge in a few areas:

  • Tire replacement can come sooner on some EVs due to added vehicle weight
  • Specialized EV repairs (battery, motor, high-voltage components) can be expensive out of warranty, and not every shop is equipped to do them
  • Insurance claims on EVs sometimes cost more to repair after a collision, which can affect your premiums

Over five years, many gas-car owners spend $3,000–$5,000 on routine maintenance and repairs (oil changes, brakes, fluids, minor repairs). EV owners often see $1,500–$3,000, but this varies by brand, warranty coverage, and how the car is driven. Check your automaker's maintenance schedule and any extended warranty terms rather than assuming a specific number.

Insurance and depreciation: the parts people forget

Insurance on EVs is often higher than on a comparable gas car, sometimes by a few hundred dollars a year, due to more expensive parts and specialized repair labor. Get quotes for the exact EV and gas model you're considering—averages don't tell you much here.

Depreciation is the biggest wild card. Some EVs have depreciated faster than expected in the first few years, partly due to falling new-EV prices and fast-changing technology (charging speed, range, driver-assist features). A gas car from a brand known for strong resale value can sometimes retain more of its price over five years than an EV that gets outpaced by newer models. Check resale estimates from sources like Kelley Blue Book or Edmunds for the specific models you're comparing, not the EV or gas category as a whole.

How to run your own 5-year comparison

  1. Get the real purchase price. Include destination fees, then subtract any federal tax credit or state rebate you actually qualify for—check the current figures at fueleconomy.gov or your state's energy office, since eligibility rules change.
  2. Estimate your annual mileage. Use your actual commute and driving habits, not a national average.
  3. Calculate fuel costs for both vehicles. Use your utility's actual rate per kWh and current local gas prices. The EV charging cost calculator can do this step for the EV side.
  4. Add estimated maintenance for each vehicle. Check the automaker's maintenance schedule or ask a dealer service department for typical 5-year costs.
  5. Get real insurance quotes for both vehicles from your own insurer.
  6. Look up projected resale value for both models at the 5-year mark.
  7. Add it all up and subtract projected resale value from total costs to get your net cost of ownership.

Doing this with your own numbers, rather than trusting a generic "EVs save $X" headline, is the only way to know which vehicle actually wins for your situation.

When a gas car might still be cheaper over 5 years

  • You drive very few miles per year, so fuel savings never add up to much
  • You don't have home charging and rely mostly on public fast charging
  • You live somewhere with high electricity rates and cheap gasoline
  • You're comparing a loaded, expensive EV trim against a base gas model
  • The specific EV you want has a history of steep depreciation

None of these make gas cars the better choice universally—they just show why "EVs are always cheaper" doesn't hold up in every case.

FAQ

Do EVs really save money over 5 years? Often, yes, mainly on fuel and maintenance. But the total savings depend on your electricity rate, mileage, insurance costs, and how well the specific EV holds its resale value. Run the numbers for your own situation rather than assuming a fixed savings amount.

How much does home charging cost compared to gas? It depends on your utility rate and the EV's efficiency, but many owners pay $0.04–$0.07 per mile charging at home versus $0.11–$0.13 per mile for a 30 mpg gas car at current gas prices. Use the EV charging cost calculator with your own rate for an accurate figure.

Is EV insurance more expensive than gas car insurance? It can be, often due to higher repair costs for EV-specific parts. The gap varies by model and insurer, so get quotes for the exact vehicles you're comparing instead of relying on general estimates.

Does the federal tax credit change the 5-year cost comparison? It can significantly lower the effective purchase price of a qualifying EV, but eligibility depends on the vehicle, its price, your income, and where it's assembled. Check the current rules at fueleconomy.gov or irs.gov before counting on a specific credit amount.