By Nathalie Voit
The average annual cost of maintaining a new vehicle soared past $10,000 in 2022, AAA said in a news release posted on Aug. 11.
According to the latest data from the transportation analytics firm, consumers are shelling out an estimated $10,728 a year to own and operate a new car. This translates to a record $894 a month on vehicle-related expenses like gasoline and basic repair and maintenance costs.
Annual ownership costs had risen dramatically since last year when the average yearly cost of new automobile ownership totaled $9,666, or $805.50 per month.
Much of the increase in 2022 can be traced to inflation in the energy index. Gasoline prices, for instance, have risen 44% over the year, according to the latest Consumer Price Index report from the Department of Labor.
Sky-high prices at the pump have significantly skewed the true costs of new car ownership.
“Consumers are paying more attention when purchasing a new vehicle since everything is more expensive right now,” AAA’s Director of Automotive Engineering Greg Brannon said in the release. “With the recent increase in fuel prices, more and more people want to know the true costs of owning a car beyond their monthly payment.”
AAA evaluated nine ranges of vehicles and compared their values across six expense categories: fuel, maintenance/repair/tire costs, insurance, license/registration/taxes, depreciation, and finance charges to determine this year’s average annual price tag.
Fuel costs were derived based on a weighted average of the first five months of 2022. AAA said the average price of a regular gallon of gasoline during that time was $3.99, or 17.99 cents per mile.
Click here to view the full release.
