Has anyone done a rigorous analysis of costs of operating two used vehicles?
This is my grosso modo (SWAG) take on my Suburban and Leaf:
Initial cost of Suburban - $40,000
Current value of Suburban - $20,000
Initial cost of Leaf - $10,000
Annual maintenance/insurance costs - 3% of initial cost/yr
"Depreciation" - use 50,000 miles life to zero value => Current Value/50,000 = $/miles (OK this is VERY simple)
Electrical costs - 10 cents/KWH; 4 miles/KWH
Gas costs - $2/gal average; 18 MPG
Miles per year = 10,000
Leaf = 26 cents/mile = $2600/year
Suburban = 63 cents/mile = $6300/year
- The leaf costs are likely higher for most people because insurance seems relatively expensive for the Leaf, however, I have liability ONLY for my Leaf.
- Maintenance costs (% of costs) are likely higher for the Suburban than the Leaf, however I did use the new cost of the Suburban and the purchase cost of the Leaf.
- "Depreciation" can be calculated rigorously based on actual miles, age of vehicle and condition, but KISS, used current values and expected miles to essentially zero value to give a cents/mile. This IS the largest cost driver.
- Tax situation will change results (what else is new?).
- Did I forget a major expense that would significantly effect the relative amounts (about 2 times the cost/mile for the Suburban)?
- The point being (for me at least) is that annual savings are significantly greater than simply comparing "fuel" costs. I need both vehicles as my business requires heavy hauling at times. In fact, purchasing the Leaf has allowed me to postpone purchasing a new Suburban for 2-3 years - at a significant savings! It appears for my case that every mile I put on the Leaf, I save around 30 cents.
Welcome anyone's experience or pointers on a better comparison method!
2012 Leaf SL; 46,000 miles. Battery replaced November 1st, 2016.