What Car Ownership Really Costs Over 5 Years

Car ownership in the U.S. over 5 years costs more than the sticker—purchase/loan, depreciation, fuel, insurance, and maintenance add up. Here's what car ownership really costs over 5 years.

TL;DR Real 5-year cost = purchase/loan + depreciation + fuel + insurance + maintenance/repairs + fees. For many cars, total cost is 2x the sticker or more. Use autopremo.com total cost of ownership to see 5-year cost for any car.

What Car Ownership Really Costs Over 5 Years

• Purchase/loan — what you paid (or total of payments). If you finance, include interest. Use autopremo.com payment calculator to see total interest.
• Depreciation — loss in value from purchase to year 5. Often 40–60% of purchase price for many cars. Use autopremo.com depreciation calculator.
• Fuel — 5 years × annual miles ÷ MPG × price per gallon. Use autopremo.com total cost.
• Insurance — 5 years × annual premium. Get a quote for the exact vehicle.
• Maintenance/repairs — $500–$1,500+/year for typical car; $2,500–$7,500+ over 5 years. Use autopremo.com total cost.
• Fees — registration, taxes (if not included in purchase). Amortize over 5 years.

See full 5-year cost at autopremo.com.

Example (Ballpark)

$32,000 car, 20% down, 6% for 60 months. 12,000 miles/year, 28 MPG, $3.50/gal. Insurance $1,500/year. Maintenance $1,000/year. Approx 5-year total: ~$35,000 (loan) + ~$16,000 (depreciation) + ~$7,500 (fuel) + ~$7,500 (insurance) + ~$5,000 (maintenance) = ~$71,000 over 5 years. Sticker was $32,000—real cost is more than double. Use autopremo.com for your exact scenario.

Get your 5-year cost at autopremo.com.

Bottom Line

Car ownership over 5 years costs more than the sticker—purchase/loan, depreciation, fuel, insurance, and maintenance add up. Use autopremo.com to see what car ownership really costs over 5 years so you don't overcommit.