5-Year Car Cost of Ownership Calculator
The price on the tag is only the start. Compare two cars on what they will really cost you over five years, including depreciation, fuel, insurance, servicing and loan interest, and see which one works out cheaper. All the pre-filled numbers are examples, so edit them to match your quotes.
5-year cost comparison
Car B costs ₹ 40,000 less over 5 years
Car A: ₹ 10,15,000 · Car B: ₹ 9,75,000 · about ₹ 667 a month
All prices and costs pre-filled below are example values, edit them to match your quotes. They are not official figures.
Car A
Car B
Where the money goes over 5 years
- Depreciation (price − resale)
- Loan interest
- Fuel / electricity
- Insurance
- Servicing & maintenance
| Cost over 5 years | Car A | Car B |
|---|---|---|
| Depreciation (price − resale) | ₹ 4,50,000 | ₹ 7,00,000 |
| Loan interest | ₹ 0 | ₹ 0 |
| Fuel / electricity | ₹ 4,00,000 | ₹ 80,000 |
| Insurance | ₹ 1,25,000 | ₹ 1,75,000 |
| Servicing & maintenance | ₹ 40,000 | ₹ 20,000 |
| Total cost | ₹ 10,15,000 | ₹ 9,75,000 |
| Per month | ₹ 16,917 | ₹ 16,250 |
| Per km | ₹ 16.92 | ₹ 16.25 |
| Resale value after 5 years (assumed) | ₹ 4,50,000 | ₹ 7,00,000 |
How it's calculated
5-year cost = depreciation + loan interest + fuel + insurance + servicing & maintenance.
Depreciation = on-road price − resale value after 5 years, where resale value = price × resale %.
Fuel = (fuel price ÷ mileage) × km driven per month × 12 × 5.
Insurance and servicing = yearly amount × 5.
Loan interest (if selected) = the interest part of your EMIs during the first 5 years, using the standard reducing-balance EMI formula on the loan amount (price − down payment).
Cost per month = 5-year cost ÷ 60, and cost per km = 5-year cost ÷ total km in 5 years.
Prices are assumed constant for the 5 years, and all pre-filled values are examples. The result is an estimate, not financial advice.
Frequently asked questions
What is the total cost of owning a car?
It is everything you spend on a car over the years you own it, not just the purchase price. That includes depreciation (how much value the car loses), fuel or electricity, insurance, servicing and maintenance, and loan interest if you borrowed to buy it.
Why can a cheaper car cost more over 5 years?
A lower price does not always mean lower running costs. A car with poor mileage, higher servicing bills or faster depreciation can cost more over time than a pricier car that is cheaper to run. Comparing the full 5-year cost shows the real difference.
How is depreciation calculated here?
Depreciation is the on-road price minus the resale value you expect after 5 years. The resale value is entered as a percentage of the price. The 50% pre-filled here is only an example, and real resale values differ by model, condition, fuel type and market.
Is an electric car cheaper to own than a petrol or diesel car?
It can be, because electricity per km usually costs less than fuel and servicing is often lower. But electric cars often cost more to buy and their resale values are less certain. Enter your own prices, charging cost and expected resale value to see the result for your case.
How is loan interest counted?
If you tick the loan option, the calculator adds the interest you would pay during the first 5 years. The loan principal is not added again because it is already part of the car's price. Taking a loan therefore raises the 5-year cost by the interest only.
What is not included in this comparison?
Prices are assumed to stay constant for 5 years. Fuel price rises, insurance changes, repairs outside normal servicing, tyres and battery replacement, parking, tolls, fines and taxes are not included unless you add them to the servicing and maintenance figure. Treat the result as an estimate.
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