Method
How to calculate estimated cost per mile or kilometre
The calculator keeps major cost categories separate, then divides their annual total by distance traveled.
FORMULACost per distance unit = total annual vehicle cost ÷ annual distance
Worked example
Cost-per-mile calculator example
$9,600 in annual cost across 12,000 miles equals $0.80 per mile.
Change one assumption at a time to see what drives the result. The output is an estimate, not a quote, forecast or recommendation.
FAQ
Cost-per-mile calculator FAQ
Should the car payment be included?
Use interest and fees plus depreciation rather than counting full principal and depreciation together.
Can this calculate mileage reimbursement?
It estimates personal cost; reimbursement rules and tax treatment vary by jurisdiction.
Why does driving less sometimes raise cost per mile?
Fixed costs such as insurance and depreciation are spread across fewer miles.