Ownership · Cost per mile
Count every cost.
Divide by real use.
Combine depreciation and annual operating costs to see what each mile and month really costs.
Estimated ownership cost
$0.77 / miAnnual cost$9,200
Monthly average$767
Exclude purchase principal to avoid double-counting when depreciation is included. Parking, tolls, and business tax treatment are not modeled.Annual ownership cost ÷ annual miles.
Depreciation is usually a major cost even though it is not a monthly bill. Estimate it as beginning vehicle value minus ending value for the year, and do not also count purchase principal.