Used EV vs New ICE Comparison

How Used EV vs New ICE Comparison works

This tool calculates the total cost of ownership for two competing vehicle choices: a used electric vehicle and a new internal combustion engine car. It adds the upfront purchase price to the product of annual running costs and the number of years owned, producing a total for each vehicle. The calculator then subtracts the used EV total from the new ICE total to show which option costs less over the holding period and by how much.

The formula

Total cost for each vehicle follows the same structure:

Total Cost = Purchase Price + (Annual Running Cost × Holding Period)

The comparison is then:
Savings (or deficit) = (New ICE Total) − (Used EV Total)

Where annual running cost includes electricity or fuel, servicing, insurance, road tax, and any other recurring expenses. A positive result indicates the used EV costs less; a negative result means the new ICE is cheaper over the period.

Where this method is most accurate

The calculation produces reliable totals when annual running costs remain consistent across the holding period and the purchase prices reflect true out-the-door costs. It assumes no mid-ownership repairs, battery degradation costs, or major changes in electricity or fuel prices. Vehicles with stable depreciation curves and predictable maintenance schedules yield the most accurate projections. Holding periods of 3–7 years typically align well with this linear model.

What this tool does not do

The calculator does not model depreciation, resale value, or end-of-period equity. It treats annual running costs as constant and does not account for inflation, interest on financing, or the time value of money. Battery replacement, major component failures, and changes in energy tariffs or fuel duty are not included. It does not assess vehicle suitability, charging infrastructure availability, or driving range adequacy. Tax incentives, grants, and jurisdiction-specific rebates are excluded from the inputs and formula.

Disclaimer

This tool is for educational and informational purposes only. It does not constitute vehicle purchase advice, financial advice, or a recommendation to buy or lease any particular car. Results depend entirely on the accuracy of user-supplied inputs. Real-world ownership costs vary with driving habits, maintenance history, energy prices, and local conditions. No calculation can predict future expenses with certainty. Always verify figures independently before making a purchasing decision.