If you’re considering switching to an electric vehicle (EV), you’re not alone. As EVs become more mainstream, many drivers are weighing the pros and cons, especially when it comes to price.
While there are some initial costs, the long-term savings and environmental benefits can make it worthwhile.
Upfront Costs
EVs typically have a higher purchase price than comparable internal combustion engine (ICE) vehicles. However, prices are decreasing as technology improves and competition increases. The average cost of a new EV in 2025 is $59,255 compared to $48,699 for a gas-powered vehicle. Fortunately, government incentives, tax credits and rebates can offset a good portion of this.
You’ll also need to factor in the cost of a home charging setup. It costs around $1,400 for Level 2 charging infrastructure and installation. The total price will depend on your home’s electrical system.
If you can’t install a charger at home because you live in an apartment or lack the existing infrastructure, you’ll need to rely on public charging stations. While there are more charging stations than before, this may add a layer of inconvenience or unpredictability, especially in rural areas.
Long-Term Savings
One of the most significant advantages of switching to an EV is the lower operating costs, thanks to significant fuel savings. The average driver pays around $1,000 less per year charging their EV than they would filling up a gas tank. Plus, electricity prices tend to be more stable than gas prices, making budgeting easier.
Maintenance is another area where EVs outcompete ICE cars. You don’t need to consider oil changes, there are fewer moving parts, and you’ll likely see less wear and tear. While you’ll still need to replace tires and brake pads eventually, the total maintenance costs tend to be lower over the vehicle’s life. Even brakes last longer thanks to regenerative braking systems, which are common in most EVs.
Insurance premiums can be higher for EVs, but this varies by provider and vehicle type. As EVs become more common, these rates gradually level out.
Environmental Benefits
ICE vehicles emit carbon dioxide and other pollutants every time you drive them. These emissions contribute to air pollution, smog, noise pollution and climate change. Transportation is one of the biggest sources of greenhouse gases worldwide, and gas-powered cars are a big part of that.
EVs are considered zero-emission as they produce no local tailpipe or exhaust emissions. Even when accounting for the electricity used to charge them — which may still come from fossil fuels — their overall carbon footprint is significantly lower. As the electric grid gets cleaner with more solar, wind and hydro energy, EVs only get greener.
Battery production has its own environmental impact due to the energy required to extract raw materials like lithium, cobalt and nickel. However, manufacturers are improving battery recycling and exploring more sustainable alternatives.
Hidden Costs and Savings to Consider
While the cost of EV ownership is generally lower over time, it’s important to be aware of a few less obvious factors. Some may add to your total cost, while others could work in your favor depending on your driving habits and location.
- Depreciation: EVs can lose value faster than ICE vehicles, but this shifts as resale markets grow and demand increases.
- Range anxiety: You might need to plan trips more carefully, especially in areas with limited charging infrastructure.
- Charging network memberships: Some public chargers require app access or monthly fees. Still, many offer pay-as-you-go options.
- Software updates: Some automakers offer over-the-air updates, improving vehicle performance without a trip to the dealership.
- Perks: Some places offer free charging, access to HOV lanes, toll discounts and priority parking.
Is It Worth It?
Transitioning to an EV shifts how you approach driving, maintenance and your overall environmental impact. While you’ll likely spend more upfront, EVs offer lower fuel and maintenance costs, government incentives and the peace of mind that comes with driving a cleaner vehicle. Many drivers find that the transition pays off — financially and ethically.
