When people think of new technology and high-performance vehicles, they automatically assume it comes with a high price tag. Electric cars are changing that perception. Electric cars nearly always have a lower cost of ownership, meaning they are less expensive to own and operate than gas-powered cars. While the initial purchase price can be higher for an EV compared to gas-powered vehicles in the same class, tax incentives and rebates (local, state, and up to $7,500 for federal) can lower the price of electric cars.
In many cases, electric cars are less expensive to own than gas-powered cars. While initial purchase price tends to be slightly higher, it is important to consider rebates, savings on fuel and maintenance, insurance discounts, and tax incentives. Below, you’ll find purchase incentive information from both federal and campaign state jurisdictions:
|Jurisdiction||New Cars and Leases||Used Cars|
|Federal||Up to $7,500 in tax credits for eligible new car purchases||N/A|
|New Jersey||Up to $4,000 in tax credits for new car purchases and leases||N/A|
|New York||Up to a $2,000 rebate off purchase of a new EV||N/A|
|Connecticut||Up to a $4,250 rebate off the purchase of a new BEV or a rebate up to $2,250 off the purchase of a PHEV||Up to a $3,000 rebate off the purchase or lease of a used BEV, or a rebate up to $1,125 off purchase or lease of a used PHEV for income qualified individuals|
|Rhode Island||Up to a $2,500 rebate towards the purchase of lease of a new BEV or a rebate up to $1,500 off the purchase of a new PHEV. Additional income qualified rebates up to $2,000 are available||N/A|
|Massachusetts||Up to a $2,500 rebate towards the purchase or lease of a new BEV or $1,500 towards the purchase or lease of a new PHEV||N/A|
|New Hampshire||NHEC will award a rebate up to $1,000 to eligible NHEC members who purchase or lease a new or used BEV or PHEV||N/A|
What incentives are there for EVs?
How much do EVs cost in comparison to gas-powered vehicles?
Cost to Operate
All-electric EVs have far fewer parts than gas-powered cars, meaning you’ll have less parts to maintain over its lifespan and fewer parts that can break.
With a battery electric vehicle, you no longer have to worry about oil changes, engine air filters, timing belts, spark plugs and other components that need maintenance and repair in gas-powered cars. Fewer maintenance needs are one reason why EVs have lower total costs of ownership (TCO) than gas powered cars.
Additionally, the price of electricity is much more stable and is often cheaper than gas, potentially saving you close to $1,000 per year on “fuel.”
How much does it cost to charge at home compared to the cost of gasoline?
What types of maintenance do EVs require?
- Charging for electric cars is much cheaper than gasoline. For all-electric vehicles with average battery sizes, owners can expect to pay between $13.20 and $22 to recharge a fully depleted battery at home, giving you a driving range of 200 to 300 miles or more. The cost of electricity is steady and predictable, meaning no need to worry about fluctuating gas prices.
Drivers don’t typically need to replace the engines or transmissions in their cars. Likewise, electric car drivers don’t typically replace their batteries. Most car manufacturers offer warranties on their batteries for 8 to 10 years.
- Federal law requires all EV batteries to be under warranty for at least 8 years or 100,000 miles. Consumer Reports estimates that on average, well-cared for EV batteries can last 200,000 miles.
Get the Facts About Electric Cars
Simplify your routine with an electric car that recharges while you recharge, and with driving ranges that fit your lifestyle.
Get information on incentives to purchase electric cars and the savings from reduced operating costs.
Learn more about the technological innovations “under the hood.”
See how smart choices now can make a better future.
The Fun Factor
Go electric for vehicle performance that makes the drive to work almost as much fun as the drive home.