Cost Per Mile Calculator

What every mile you drive really costs.

How to use this calculator

Enter annual miles, MPG, gas price, annual depreciation and insurance-plus-maintenance, then press Calculate. Cost per mile, annual cost and fuel portion are shown.

Worked example

Drive 12,000 miles a year in a 25 MPG car at $3.50 a gallon and fuel costs about $1,680. Add $3,000 of depreciation, $1,200 of insurance and $800 of maintenance, and total annual cost is around $6,680 - about 56 cents a mile. That is what your car truly costs to run.

What the result means

Cost per mile turns a car's scattered annual costs into one comparable figure. It is the honest number for deciding whether a commute is worth it, how much car you can afford, or whether an EV or transit alternative saves you money.

Depreciation dominates

• New cars lose the most value in the first three years - often 40-50%.
• Fuel is usually the smallest of the big three; depreciation and insurance typically outweigh it.
• Keeping a paid-off car longer spreads its remaining depreciation over more miles.

Frequently asked questions

Should I include the purchase price?

Yes, through depreciation - the annual loss in value, not the sticker price. Including the full price double counts what you can resell the car for.

For an honest comparison, include every recurring cost: registration, tolls, parking and the occasional repair that always comes. Drivers who track the real per-mile number are routinely surprised that a "cheap on gas" car is expensive overall once depreciation and insurance are counted.