Car Depreciation Calculator
What a car will be worth after a number of years at a depreciation rate you choose or derive from a valuation, and what that costs per year and per mile.
Result
Value after those years: $14,088.11Estimate
At a steady rate you chose. Real values depend on model, mileage, condition and the market.
- Total depreciation
- $23,911.89Estimate
- Depreciation per year, on average
- $4,782.38Estimate
- Yearly rate
- 18%Estimate
https://calcgallery.com/running-costs/car-depreciation-calculator/
Results are arithmetic on the figures you enter. The site stores no vehicle data, fuel prices, mileage rates, depreciation rates or residual values, because they vary by model and place and change over time. Real fuel economy varies with driving, weather and load. Nothing here is a fitment, safety or financial recommendation. Read the full disclaimer
How to use the Car Depreciation Calculator
- Enter the purchase price and how many years you will keep the car.
- Enter a yearly depreciation rate, or a final value for straight line, or a valuation you already have to find the rate it implies.
- Add the distance you drive a year to see depreciation per mile or km.
The formulas
declining balance value = price × (1 − rate)^yearsstraight line value = price − (price − final value) × years ÷ liferate from a value rate = 1 − (value now ÷ price)^(1 ÷ years)Fractions of a year work in every method.
Depreciation per mile
The page spreads the total loss in value over the distance driven while it happened. Set it beside fuel per mile from the fuel cost calculator to see what the car really costs to run.
With your numbers
- $38,000.00 × (1 − 18%)^5 = $14,088.11
Quick reference
At a steady rate you chose. Real values depend on model, mileage, condition and the market.
| Example | Value after those years |
|---|---|
| 38,000 at 18% a year for 5 years | $14,088.11 |
| After 1 year | $31,160.00 |
| Straight line to 6,000 over 10 years | $22,000.00 |
| Rate from 14,088.11 after 5 years | $14,088.11 |
| 25,000 at 15% for 8 years | $6,812.26 |
| 45,000 at 20% for 3 years, 20,000 km a year | €23,040.00 |
Common questions about the Car Depreciation Calculator
- What depreciation rate should I use?
- Your own car's, if you can find it. The page supplies none, because rates vary enormously by make, model, age and market. The best source is the car itself: enter what you paid and what a valuation says it is worth now, and the page works out the yearly rate that connects them.
- Is depreciation really bigger than fuel?
- On most newer cars, yes. A 38,000 car losing 18% a year loses about 23,900 over five years; at 12,000 miles a year that is about 0.40 a mile, against about 0.11 a mile for fuel at 31 mpg and 3.499 a gallon. It is simply less visible, because it is paid when the car is sold.
- Why does the value never reach zero?
- Declining balance takes a share of whatever value is left each year, so it keeps shrinking but never arrives at zero. Real cars behave similarly: an old car that runs is still worth something. Straight line instead falls evenly to a final value you set.
- Does mileage change depreciation?
- Yes, higher mileage usually lowers value, but the page cannot know by how much for your car. It uses mileage only to spread the depreciation per mile or kilometre.