How Much It Really Costs To Own a Tesla vs. a Toyota Over 10 Years
Written by
Nicholas Morine
Edited by
Angela Corry
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With Tesla pushing hard into the more affordable vehicle market in attempt to counteract the end of the federal EV tax credit, as Electrek detailed, the question of whether it’s actually more affordable to drop a bit more on a Tesla than more traditional vehicle brands (such as, for example Honda or Toyota) comes to the fore.
Pitting Toyota versus Tesla has never seem more ripe a comparison as EVs compete against traditional internal combustion engines (ICE) and hybrid models, and the primary question most have in mind is: How much does it actually cost to run both for a decade? Let’s take a look at the numbers.
Baseline Cost Assumptions and Annual Driving Ranges
To set the standard, we’ll assume that drivers are racking up 12,000 miles a year (or 120,000 miles over the course of the decade), that electricity will cost 17.6 cents per kWh (per the EIA), and that gasoline will cost a U.S. average of $3.10 a gallon (according to the same source). Depreciation and insurance numbers are drawn from the latest AAA Your Driving Costs report for 2025.
2024 Tesla Model 3 Long Range AWD
Concerning the Tesla Model 3 LR AWD, the stated fuel economy measures out to 26 kWh per 100 miles of range, meaning that a total of 312,000 kWh would be necessary over 10 years of use. At today’s energy costs, that comes out to about $5,497, not accounting for any loss of energy during the charging process.
AAA figures the 10-year total cost of operation (TCO), inclusive of the gas figures above in addition to depreciation, maintenance and insurance, at $55,714 for the Tesla Model 3 LR AWD.
2024 Toyota bZ4X FWD
Toyota’s smaller EV SUV might be a little more expensive to operate than it’s closest Tesla competitor, but not by much. With an average fuel economy of 28 kWh per 100 miles of operation, the cost to drive this Japanese import 120,000 miles over a decade evens out to about $5,920.
AAA’s numbers point to a 10-year TCO of $56,662 for the Toyota bZ4X, slightly higher than the Tesla alternative.
2025 Toyota Corolla
The Toyota Corolla is perhaps one of the most iconic ICE vehicles to hit the roads since its U.S. debut in 1968, but can it hold its own against the newcomer EVs in terms of operating costs?
With an average mileage pegged at 36 mpg by Edmunds, gas is definitely going to outpace electricity in terms of fuel costs — the Corolla is estimated to cost drivers $1,033 per year, or $10,333 over a decade, at the pump.
However: AAA’s fact sheet figures can be used to determine a decade-spanning TCO of $52,218 for the 2025 Corolla, coming in slightly under the EV alternatives.
For a more broad-based snapshot based on categories rather than brands, consider figures from AAA. They suggest that it costs $13,692 per year to own a medium EV sedan versus $9,956 per year to own a medium ICE sedan, based on 15,000 miles driven. The largest portion of discrepancy is the very steep depreciation curve for EVs at this point in time.
On SUVs, the numbers are much closer — $12,710 per year for an electric medium SUV, and $12,584 per year for a medium ICE SUV. The above AAA figures include depreciation, insurance, fuel, maintenance, financing charges, and licensing, registration and taxes.
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