Car Depreciation per Mile Calculator

Car depreciation per mile calculator measures hidden cost of driving. 30,000 car, 8,000 resale value after 150,000 lifetime miles = 22,000 total depreciation = 0.147/mile. Combined with fuel and maintenance, true cost-per-mile is 0.40-0.60 (typical). Most drivers underestimate by 70%.

Example: 30,000 new car. Sell at 8,000 after 10 years (150,000 miles). Total depreciation 22,000. Per-mile depreciation 0.147. Plus fuel 0.13/mile, maintenance 0.10/mile, insurance 0.05/mile, tax/MOT 0.02/mile. True total cost: 0.45/mile. Same trip: 50 miles costs 22.50 actual vs 6.50 perceived (fuel only).

Depreciation curves: New cars lose 15-25% in year 1, 50% by year 3, 70% by year 5, 85% by year 10. 30k new = 4,500 lost driving off forecourt. Used cars (3+ years old) depreciate slower (10-15%/year). Best value: 2-3 year old cars - newest year of biggest depreciation done. Lifetime miles: economy cars 150-200k, mid-range 200-250k, luxury/EV 200-300k. Track depreciation per mile to evaluate true driving cost vs alternatives.

Quick example

With purchase price of 30,000 and expected resale value of 8,000 (plus expected lifetime miles of 150,000), the result is 0.15. Change any figure and watch the output shift — it's often more useful to see the pattern than to memorise the formula.

Which inputs matter most

You enter Purchase Price, Expected Resale Value, and Expected Lifetime Miles. Not every input has equal weight. Adjusting one input at a time toward extreme values shows which ones move the result most.

What's happening under the hood

Depreciation per mile = (purchase price - resale value) / lifetime miles. The formula is listed in full below. If the number looks off, you can retrace the calculation by hand — that's the point of showing the working.

Why see the number at all

Small recurring spending is invisible by design — every individual transaction is forgettable. Compounded over years, the total often surprises. Seeing the figure doesn't mean you typically need to cut the spending; it just makes the trade-off conscious.

What this doesn't capture

The tool prices the money; it can't weigh the enjoyment. A coffee habit, gym membership, or streaming bundle might cost what the math says but deliver value that's harder to quantify. Use the number to make the trade-off visible — the decision is yours.