Total five-year cost of owning a vehicle.

A 25,000 car with 1,800 annual fuel, 600 insurance, 400 maintenance and 200 tax, selling for 12,000 after five years, costs about 28,000 over the period — roughly 5,600 a year all-in. That is meaningfully more than just the depreciation, which is what most car comparison tools show.

What the result means

Total cost over five years is the sum of purchase plus all annual costs over the period less the resale value. Per-year cost is that figure divided by five. Use the per-year number to compare cars on a like-for-like basis.

Resale is the biggest single variable. Run sensitivities at high and low resale assumptions to see the range. Higher-quality brands often hold value better, offsetting some of the higher purchase price.

Run it with sensible defaults

Using purchase price of 25,000, annual fuel of 1,800, annual insurance of 600, annual maintenance of 400, the calculation works out to 28,000.00. Nudge the inputs toward your own situation and the output recalculates instantly. The defaults are meant as a starting point, not a recommendation.

The levers in this calculation

The inputs — Purchase Price, Annual Fuel, Annual Insurance, Annual Maintenance, and Annual Road Tax — do not pull with equal force. Frequency and unit price pull the total in different directions. The biggest surprise for most people is how small recurring amounts compound into large annual figures — that's where this calculation earns its keep.

How the math works

Total ownership cost is purchase price plus five years of summed annual running costs less the expected resale value. Per-year cost divides the total by five. The working is transparent — you can verify every step yourself in the formula section below. No black box, no opaque "proprietary model".

Why see the number at all

Small recurring spending is invisible by design — every individual transaction is forgettable. Compounded over years, the total often surprises. Seeing the figure doesn't mean you typically need to cut the spending; it just makes the trade-off conscious.

What this doesn't capture

The tool prices the money; it can't weigh the enjoyment. A coffee habit, gym membership, or streaming bundle might cost what the math says but deliver value that's harder to quantify. Use the number to make the trade-off visible — the decision is yours.