Car Cost

Car Cost Calculator

Compare how you pay for a car, whether new or used is worth it, EV against petrol/diesel, and E10 against RON 91 — all over the same ownership horizon. Nothing you type here leaves your browser — your inputs are saved to this browser only, so they're still here next time you visit.

Your car & comparison settings

Shared by every option below, so the comparison stays over the same car and the same ownership horizon — the classic way these comparisons go wrong is comparing different horizons side by side.

$45,000.00

$60,000.00 — income tax approx. $8,788.00/year

What your spare cash otherwise earns or saves — same rate used for every option below.[1]

Uses Australia's incremental tax brackets, not a flat rate — please check ato.gov.au/rates for current thresholds.[2]

$900.00

$1,200.00

$500.00

$280.00

Average yearly cost — e.g. replacement cost ÷ years between changes.

$15,000.00

Energy cost per year $1,995.00
Total running costs per year $4,875.00
Total running costs over 5 years $24,375.00
Less expected resale value $15,000.00
Net impact on every option's total cost below $9,375.00

Every option shares the same ownership horizon above. "Total cost" excludes the vehicle price itself where it's borrowed money repaid dollar-for-dollar, but includes upfront cash and its opportunity cost.[6]

Notes

  1. Used to work out what paying cash upfront (or a deposit) really costs you, since that money stops earning or saving from the day you spend it — so paying cash is never silently treated as free.
  2. The Medicare Levy isn't included, matching how most novated lease quotes price the pre-tax saving. The novated lease's tax saving is priced by comparing your income tax before and after the pre-tax deduction, so an amount large enough to cross a bracket boundary is still costed correctly.
  3. Ask your lease provider for their quoted residual. This is the ATO's legal minimum for a bona fide lease at this term — example only, always check current ATO guidance.
  4. The statutory formula rate works out the taxable value of the car. The FBT rate is applied to that grossed-up taxable value if FBT were payable. The gross-up rate applies when the employer can claim a GST credit on the lease — the usual case. The defaults shown are current settings — check ato.gov.au if unsure.
  5. A post-tax contribution equal to the FBT taxable value brings FBT payable to $0 — see ato.gov.au/law/view/document?DocID=SAV/FBTGEMP/00003#2.11. You can't contribute more toward the car than it actually costs, though — at a long term or low rate, the packaged amount can fall below the FBT taxable value, and ECM can then only offset part of it. When that happens, the FBT rate and gross-up rate above drive a real, unavoidable cost on the uncovered part, shown below and included in your total.
  6. Pay in full, dealer finance and the bank/CU loan assume monthly repayments; the novated lease uses whichever payment frequency you chose above. "Total cost" excludes the vehicle price itself where it's borrowed money repaid dollar-for-dollar (financing is only as costly as its interest and fees), but includes any cash you hand over upfront (full price, deposit) plus what that cash would otherwise have earned or saved — this is the piece online comparisons usually get wrong. The novated lease figure is the only one measured after tax, since salary packaging changes take-home pay directly. Estimates only, not financial advice — always check your own quotes, and current ATO thresholds at ato.gov.au before relying on any FBT-exemption assumption above.