Most Electric Vehicles Are Cheaper Off the Lot Than Gas Cars From Day One

New research finds that in most states, new electric vehicles (EVs) are cheaper to own than gasoline-powered vehicles on a monthly basis from the day they are driven off the lot, even if the sticker price is higher. Many studies have shown EVs are cheaper to operate with a lower total cost of ownership than gasoline-powered vehicles over the vehicle’s lifetime, but this research examines monthly costs of owning and financing an EV compared to a gasoline car, since 85 percent of Americans finance their cars. These savings are contingent on extending the existing federal EV tax credit; if EV incentives currently proposed in Congress are included then EVs become cheaper in nearly every instance, opening up ownership for all Americans looking to purchase a new car.