How this calculator works
Each car’s cost starts with its price, less any incentive, plus a home charger for the EV. Each year adds energy, maintenance, insurance and, for the EV, any registration surcharge. EV energy is miles × kWh per 100 miles ÷ 100 × a blended price that mixes the home and public charging rates by the share charged at home; hybrid and gas energy is miles ÷ MPG × the gasoline price. Energy prices grow at the rate entered.
The breakeven is the first point at which the cheaper-to-run car’s cumulative cost falls to the other’s, read within the year by straight-line interpolation. Resale is subtracted only at the end, so it changes the totals but not the running-cost breakeven. The breakeven mileage is the number of miles a year at which the EV’s total over the ownership period equals the gas car’s.
Worked example
With the defaults, the EV costs $43,200 upfront with its charger, against $29,000 for the gas car. Its blended electricity price is 85% × $0.18 + 15% × $0.45 = $0.2205 per kWh, so 12,000 miles at 28 kWh per 100 miles costs $740.88 in the first year; the gas car’s fuel at 32 MPG and $4.47 is $1,676.25. With maintenance and insurance, the EV’s first-year running cost is $3,040.88 and the gas car’s $3,926.25.
That $885 a year does not repay a $14,200 head start within 8 years: after resale the EV costs $51,159, the gas car $49,207 and the hybrid $44,958. The hybrid pays back its $4,000 premium over gas in year 5.9. The EV would match gas over 8 years at about 14,900 miles a year.
How to read the result
The breakeven year answers how long the pricier car must be kept for its lower running costs to cover the difference in price; if it is longer than the ownership period, the cheaper car costs less overall. The totals at the end include resale, which can move the answer either way, because a pricier car also loses more in dollar terms.
Mileage and the electricity price move the EV result most. At $0.10 per kWh the EV matches gas at about 12,000 miles a year; at $0.30 it needs about 23,500. Charging only at public chargers at $0.45 per kWh pushes the required mileage to about 85,000 miles a year. A higher gasoline price works the other way: at $5.50 a gallon, about 10,600 miles a year is enough.
Assumptions and sources
- IRS, Credits for new clean vehicles purchased in 2023 or after — the credit is not available for vehicles acquired after Sept. 30, 2025
- U.S. Energy Information Administration, Gasoline and diesel fuel update — U.S. regular gasoline $4.465 per gallon, week of Sept. 28, 2026
- U.S. Energy Information Administration, Electric Power Monthly, Table 5.6.A — U.S. average residential price 18.31 cents per kWh, July 2026
Prices as of October 2026. Purchase prices, efficiencies, maintenance, insurance, resale shares and the public charging price are illustrative defaults, not market data; replace them with quotes for the cars being compared.
Common mistakes
- Counting the federal credit. The IRS says the new clean vehicle credit is not available for vehicles acquired after Sept. 30, 2025; only state or local incentives still apply.
- Using the window-sticker MPGe. Real-world energy use in kWh per 100 miles, including charging losses, is what the electric bill reflects.
- Assuming home charging when it is not available. At public charging prices the EV’s energy cost can exceed the gas car’s; the default case shows the breakeven mileage rising to about 85,000 a year.
- Leaving out the registration surcharge and charger. Both add to the EV’s cost from the first year.
- Treating a hybrid like an EV for maintenance. A hybrid has both an engine and a battery system to maintain.
Frequently Asked Questions
How many miles a year does an EV need to pay off?
It depends on the price gap and energy prices. With these defaults, an EV that costs $13,000 more than a gas car, plus a charger, matches it over 8 years at about 14,900 miles a year; cheaper electricity or pricier gasoline lowers that figure.
Does an EV save money without home charging?
Often not. At the default public charging price of $0.45 per kWh, the EV’s energy cost is close to the gas car’s fuel cost, and its higher price is not paid back at any normal mileage.
Are hybrids cheaper than EVs to own?
With these defaults, yes: the hybrid’s total over 8 years is $44,958 against $51,159 for the EV, because its price premium over gas is smaller and it still cuts fuel use substantially.
How much does electricity cost per mile?
At 28 kWh per 100 miles and the U.S. average residential price of about 18 cents per kWh, home charging costs about 5 cents a mile; at a 45-cent public rate, about 12.6 cents.