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Is an EV Worth It? Calculator
Enter your driving habits and local energy prices to find out if switching to an electric vehicle makes financial sense. We'll calculate your break-even, lifetime savings, and a Worth It Score from 0–100.
Sources & Methodology
- DOE Alternative Fuels Data Center Vehicle Cost Calculator, total cost of ownership comparison for EVs vs. gas vehicles
- EIA State Electricity Profiles, average residential electricity rates by state used to calculate per-mile charging costs
- IRS Clean Vehicle Tax Credits, confirmation that federal EV credits ended for vehicles acquired after September 30, 2025
- AAA Fuel Prices, national average gas price used in gas vehicle cost comparisons
By Sean Baldwin · Last reviewed July 2026
The Verdict
Worth it if: your break-even period is 5 years or less, you drive more than 15,000 miles a year, and you can charge at home overnight.
Not worth it if: your break-even period runs past 10 years or you drive under 8,000 miles a year, low mileage erases most of the fuel savings that make an EV pay off.
Break-even threshold: a break-even under 5 years is a strong buy signal; past 10 years, the math rarely beats keeping a comparable gas vehicle.
Frequently Asked Questions
How long does it take for an EV to pay for itself in fuel savings?
The average EV break-even period from fuel savings alone is 4–8 years, depending on your gas price, electricity rate, and miles driven. High-mileage drivers in high gas-price areas see the shortest payback periods.
How much do EVs save on maintenance?
EVs save an average of $800–$1,200 per year compared to gas cars because they have no oil changes, fewer brake jobs (regenerative braking), no transmission service, and fewer moving parts overall. Over 10 years, that's $8,000–$12,000 in savings.
What is the federal EV tax credit in 2026?
There is no federal EV tax credit in 2026. The $7,500 credit for new EVs and the $4,000 credit for used EVs ended for vehicles acquired after September 30, 2025. In its place, buyers financing a new US-assembled vehicle can deduct up to $10,000 per year in car loan interest through 2028, with income phaseouts starting at $100,000 for single filers and $200,000 for joint filers. Several states still offer their own EV incentives.
Is an EV worth it if I don't drive much?
If you drive fewer than 8,000–10,000 miles per year, an EV is harder to justify on fuel savings alone. Your break-even period extends significantly. However, if you hold the car long-term, maintenance savings and potential resale value can still make it worthwhile.
Do EVs hold their value?
EV depreciation has historically been higher than gas cars, though this is improving as the market matures. Tesla models have held value better than most. With the federal tax credit gone for 2026 purchases, resale value matters more than ever in the total cost math.
How to calculate the real break-even on an EV
The EV break-even calculation compares total cost of ownership between an EV and its equivalent gas vehicle over your expected holding period. The key variables are: (1) purchase price premium, EVs typically cost $3,000–$10,000 more than comparable gas cars before incentives; (2) fuel savings, the average EV costs $500–$700/year to charge vs. $1,800–$2,800/year to fuel a comparable gas car at current prices; (3) maintenance savings, EVs average $800–$1,200/year less in maintenance (no oil changes, fewer brake jobs, simpler drivetrain); and (4) incentives, the federal EV credit ended September 30, 2025, so state and local programs plus the new car loan interest deduction (up to $10,000/year for US-assembled vehicles) now carry the math. At current prices, many high-mileage EV buyers break even in 4–7 years compared to the equivalent gas vehicle, with substantial savings in years 7–15 of ownership.
Why your electricity rate matters more than the national average
EV operating costs depend entirely on your local electricity rate and how you charge. The national average is about 16 cents/kWh, but rates range from 10 cents (parts of the South and Midwest) to 35+ cents (California, Hawaii, New England). Charging at home overnight on a standard Level 2 charger costs $0.03–$0.05 per mile at average rates, far below gas costs. But charging exclusively at DC fast charging stations ($0.30–$0.50/kWh) narrows the gap significantly and can approach gas car operating costs. The economics are strongest for drivers who can charge at home overnight, commute regularly (high annual mileage), and live in states with moderate electricity rates. Apartment dwellers who rely on public charging infrastructure are the hardest case for EV financial savings.
The federal EV tax credit is gone: what replaced it in 2026
The $7,500 federal credit for new EVs and the $4,000 used EV credit ended for vehicles acquired after September 30, 2025, eliminated by legislation passed in July 2025. The one exception: buyers who signed a binding purchase contract and made a payment by that date can still claim it, even if delivery slipped into 2026. What replaced it is a car loan interest deduction, up to $10,000 per year in interest on loans for new vehicles with final assembly in the US, available through 2028. It phases out above $100,000 of income for single filers and $200,000 for joint filers, and it is worth roughly $1,000 to $3,000 in actual tax savings for most buyers, far less than the old credit. Many states still run their own EV rebates and incentives, so check your state energy office before assuming the math.
EV depreciation: the factor most buyers overlook
EVs have historically depreciated faster than equivalent gas vehicles, partly due to rapid technology changes making older models feel outdated, partly due to declining battery costs making new EVs cheaper over time, and partly due to range anxiety in the used market. A $45,000 EV might be worth $22,000–$25,000 after 5 years, versus $28,000–$32,000 for a comparable gas car. Tesla models have held value better than most other EVs, and the market is improving as EV adoption becomes mainstream. The depreciation gap matters most if you plan to sell or trade in within 5 years. If you plan to keep the vehicle 10+ years and drive it to high mileage, depreciation is less relevant and the fuel and maintenance savings dominate the calculation.
Related Calculators
How We Calculate Your Score
The Worth It Score starts at 50 and adjusts based on five factors: annual fuel savings, tax credits and incentives, break-even timeline, annual mileage, and net vehicle cost. High fuel savings and a short break-even period drive the score up; low mileage or a very long payback period bring it down.
- · Base score: 50
- · Annual fuel savings: over $1,500/yr adds 15 points; over $800/yr adds 8 points
- · Tax credits and incentives: $7,500+ adds 10 points
- · Break-even: 5 years or less adds 15 points; 7 years or less adds 8 points; over 10 years subtracts 15 points
- · Annual miles: over 15,000 miles adds 10 points; under 8,000 miles subtracts 10 points
- · Net EV cost: under $25,000 after incentives adds 10 points
Score does not factor in depreciation, which has historically been faster for EVs than comparable gas vehicles. If you plan to sell or trade within 5 years, factor in resale value separately.
Cite this calculator: Worth It Calculators, "Is an Electric Vehicle Actually Worth It for You? Real Savings (2026)," worthitcalculators.com/ev-worth-it/ (updated July 2026).