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In 2025, around 1.5 million electric vehicles were sold in the USA. This year, most predictions show sales down, but still over one million.
If you are interested in buying an EV for yourself, there are several things you’ll need to budget for. Showroom price, of course, is one major cost. However, you also need to think about other associated expenditure, such as charging, loan repayments, insurance, servicing and depreciation.
Crucially, while some of these expenses may be lower than those of a gas car, others will very much depend on where and how you drive. That is why it is imperative to budget for the long-term cost of an electric vehicle.
What Are Some Immediate Costs of Buying an Electric Vehicle?
According to Kelley Blue Book, the average transaction price for a brand new electric vehicle in the U.S. is around $56,100, according to July data. But that is just the start of it.
Depending on where you live, you’ll also need to factor other immediate costs into the equation, beyond the drive-away price, such as registration (between $20 and $ 1,000), state or local taxes (potentially around 7.25%) and dealer charges (possibly as much as $4,000).
What Are The Ongoing Costs of Owning an EV?
Alongside your immediate costs, there will be ongoing expenses that you’ll need to cover. The most obvious of them is charging your vehicle.
If you have a charging unit at home, this can be anywhere from $8 to $16 for a full charge. However, you can expect to pay between $15 and $35 at a public fast-charging station.
Additionally, if you needed finance to pay for the vehicle, in particular, bad credit car finance, then you will have weekly repayments to make over the entire loan term. The amount varies by lender and loan term length, but you’ll need to be aware of what the amount is.
What Are The Maintenance Costs of Electric Vehicles?
One of the key benefits of owning an electric vehicle is that you will incur fewer maintenance costs than you otherwise would for gas and diesel cars. This is because EVs have fewer moving components and therefore do not require engine oil changes, spark plugs or exhaust repairs.
That said, you will still need to budget for:
- Tires
- Brake fluid
- Suspension work
- Air-conditioning maintenance
- Occasional repairs
As a general rule, EV tires may wear more quickly due to factors such as vehicle weight and instant torque. Depending on the make and model you’ve purchased, the average cost of tires can range from $150 to $300 a piece.
Should You Budget for Battery Replacement?
Modern electric vehicle batteries typically last between 10 and 15 years, or 100,000 and 200,000 miles. They tend to suffer a gradual loss of performance and driving range toward the end of their life (approximately 1.5% to 2.3% of capacity per annum).
You don’t necessarily need to budget for a battery replacement. However, it is worth reading your battery warranty to familiarize yourself with its conditions and having a battery check completed on a periodic basis, especially in the unfortunate event of a crash.
