Follow this blog:
RSS

The cost of driving a car rises by 3.4 percent in just a year

By | April 11, 2011, 7:42 AM PDT

Are you contemplating buying a car? If you live in a city with access to public transportation or even a well connected bike system, I’d avoid it.

According to a new study by AAA, the increasing cost of gas, tire prices, and high depreciation on vehicles, has caused the cost of driving to increase by over 3.4 percent - more than $289 -  in just a year. And that’s despite lower maintenance and insurance rates.

The study “Your Driving Costs” found that the average annual cost to own and operate a sedan that drives 15,000 miles annually, rose 1.9 cents per mile to 58.5 cents per mile, or $8,776.

If you drive an SUV, you’re out of luck. Drivers of cars with lower gas mileage saw their average operating costs jump to 74.9 cents per mile for a total of $11,239 annually.

“Both maintenance and insurance costs are down this year compared to last, but other costs are on the rise,” said Cynthia Harris, AAA Northern California spokeswoman, in a statement.

The cost of tires had the largest percentage increase in this year’s study, rising 15.7 percent to an average of 0.96 cents per mile. Fuel costs saw an 8.6 percent increase to an average of 12.34 cents per mile, while average depreciation costs rose 4.9 percent to $3,728 for sedans.

With gas prices approaching an all-time high (the average price of a gallon of self-serve regular is $3.76 currently), those costs are only likely to increase. Fuel costs for the study were based on $2.880 per gallon, so you can only imagine how much that number is going to fluctuate in time.

The good news: if you own a smaller car such as the Ford Focus, Honda Civic, Toyota Corolla (which tend to be typically more fuel-efficient), your car depreciated significantly less than its bigger counterparts.

While driving more fuel-efficient and alternative-fuel cars will help lower costs slightly,  part of the solution is going to have to come from cutting our consumption levels — and reducing our dependence on foreign oil. President Barack Obama pledged in a speech last month that the U.S. would cut its oil imports by a third in the next decade. While that may seem like a lofty goal, it may be necessary.

Seriously, it’s time we started leaving our cars at home and walking, taking public transportation or buying a bike!

For the study (which AAA has been publishing since 1950, when it cost 9 cents a mile to drive a car and gas cost only 27 cents a gallon), AAA incorporated standardized criteria designed to model the average AAA member’s use of a vehicle for personal transportation over five years and 75,000 miles of ownership.

Start your week smarter with our weekly e-mail newsletter. It's your cheat sheet for good ideas. Get it.

Ami Cholia

About Ami Cholia

Ami Cholia was a contributing editor for SmartPlanet in 2011.

Ami Cholia

Ami Cholia

Contributing Editor

Ami Cholia has written for AltTransport, Inhabitat, The Huffington Post and Sunday Mid Day in India. She holds degrees from the University of Texas at Austin and the Columbia University Graduate School of Journalism. She is based in New York.

Follow her on Twitter.

Ami Cholia

Ami Cholia

Ami does not have financial holdings that would influence how or what she covers.

She writes for SmartPlanet and is not an employee of CBS.

If you liked this, don't miss...
10
Comments

Join the conversation!

Follow via:
RSS
+1 Vote
+ -
RE: The cost of driving a car rises by 3.4 percent in just a year
"Seriously, it?s time we started leaving our cars at home and walking, taking public transportation or buying a bike!" says someone who has to be living in a BIG city.

Go to Colstrip Montana and tell people to do either of the above over to the State capital in Helena in the middle of winter.

What works along parts of the coast / river cities is never going to work for the other 85% of the US landmass.
Posted by TAPhilo
12th Apr 2011
+1 Vote
+ -
Wow, driving a car has increased 3.4%?
Please tell me this: Other than most people's income, what
has not increased by 3.4% in the last 12 months?

The rising price of oil has far more to do with the lessening value
of the dollar than anything else. (Thanks QE2! It worked!)

And then this gem: "While driving more fuel-efficient and
alternative-fuel cars will help lower costs slightly, part of the
solution is going to have to come from cutting our consumption
levels ? and reducing our dependence on foreign oil. President
Barack Obama pledged in a speech last month that the U.S.
would cut its oil imports by a third in the next decade. While that
may seem like a lofty goal, it may be necessary."$100-a-barrel oil sounds,
it's still not as expensive as the alternatives that they are
constantly trying to sell us on. As "necessary" as the President
suggests that this is, it's not going to be cheap, and trying to wrap
the idea that it is into a story about how expensive it is to operate
an automobile is just simply fraudulent.
Posted by JohnMcGrew@...
12th Apr 2011
+1 Vote
+ -
RE: The cost of driving a car rises by 3.4 percent in just a year
Oil is a commodity that's traded on a global market. Oil companies are not going to lower their prices because their costs are lower, they'll continue to charge the going rate. There's big benefits to reducing oil imports, but probably not in terms of price at the pump. Oil prices will only go up in the long term because global demand is going up. The way out is to consume less oil ourselves in a way that can be duplicated by the emerging middle class in places like China, India & Brazil.
Posted by hoodedswan
12th Apr 2011
+1 Vote
+ -
TRANSPORTATION THEORY!
This post has got to be one of the biggest piles of sanctimonious elitist intellectual blogger mush to hit the not-so-Smart Planet.

Inflation is rising everywhere. I wish it was 3.9%! Our government is pumping a currency bubble full of worthless Fed cash. We are borrowing that worthless cash against government bonds that further fuel inflation. We've a government that thinks an energy policy that astronomically increases the cost of carbon energy is cool and green.

The vast majority of us who have to live and work in the real world don't have a choice. We would not last a week if we had to walk, ride a bike or wait around for imaginary public transportation. We have to get to work. That takes a car or truck and when the cost of our transportation goes up 30%, we are screwed. Period. No damn windmill, battery cars or bio methane is going to get us to work, pump that concrete, restock the store shelves, respond to the medical emergency, or get that overnight package delivered.

Try delivering a load of roof trusses on the Metro. Tell the guy whose construction equipment operating costs have nearly doubled this year that he should give his crew bicycles, shovels, wheelbarrows and buckets.

But don't worry your little head about us as you pedal on over to Starbucks to grab a latte between your blog posts.

-------------------------------------

( IBM: ARE YOUR THERE? Why do you continue to associate one of the finest companies on the Planet, rich in tradition, innovation and scientific discipline with this ideological sophomoric pseudo science? Please find some great minds worthy of your support)
Posted by cd3rd
12th Apr 2011
+1 Vote
+ -
Why do they do it @cc3rd?
Because "green" is the current ticket to the mass of corporate
welfare dollars. Propaganda sites such as this are supported
because for the whole economic/political engine to function,
public support must be maintained to keep the feedback loop
healthy.

Today, many American corporations pay little to no taxes
because of the success they've had in engineering the tax code
in the name of "green". Much of the money saved goes back to
feed the politicians and pr campaigns that support the loop. The
money spend pays really good dividends. The "churnalists" who
propagate the message do it because like so many others in
today's economy, they're just happy to have a job.
Posted by JohnMcGrew@...
13th Apr 2011
+1 Vote
+ -
RE: The cost of driving a car rises by 3.4 percent in just a year
How old is that picture? 1.29 for regular - it had to be pre-Dubya. The bigger question is why drive, walk, ride to work. There is a huge population of working America that only need PC, Internet access, and a phone to work.
Posted by fdaugherty
13th Apr 2011
+1 Vote
+ -
RE: The cost of driving a car rises by 3.4 percent in just a year
The oil companies will keep pumping oil, because it is used for far more products than we realize. We gripe about fuel prices, but the price we pay for every purchase has increased, due to transportation costs. People need to realize the benefits of synthetic lubricants. All synthetics are better than petroleum based lubricants. But when you buy synthetic oils made by these oil companies, your still contributing to their bottom dollar. Why not buy from a company that has never drilled or bought 1 barrel of oil. A company that has been the leader in synthetic lubricants, since 1972. A company that guarentees their oil will last for 25,000 miles between oil changes. I have been using AMSOIL lubricants in my cars since 1978, changing my oil filter every 5,000 miles and the oil every 25,000 miles. If 30% of people would start using synthetic oil, we could greatly reduce the amount of oil we need to import. In test after test AMSOIL has proven to be the best. Check them out at AMSOIL.com or at LubraGreen.com. If you want to purchase at dealer cost, you'll need the special code 166252. Start saving yourself money today.
Posted by hoosier1
13th Apr 2011
+2 Votes
+ -
RE: The cost of driving a car rises by 3.4 percent in just a year
What's the worry about? We will run out of oil in a short time no matter what we do, and then we will have to fid another way to rape the planet- and the consumers.
Want a real way to conserve gas? Stop idling for twenty minutes while you're waiting for your kids to finish at sports practice, don't leave your vehicle running while you fill it or run in for some groceries. And make government service worker shut of the engine while at a call.
Posted by guywayne
17th Apr 2011
+1 Vote
+ -
RE: The cost of driving a car rises by 3.4 percent in just a year
There is a natural corrective market force at work. As prices rise, people will find alternatives. No need for (more) government intervention.... especially since government intervention is helping to drive up the costs of drivng a car (pun inteneded).
Posted by bb_apptix
18th Apr 2011
+1 Vote
+ -
Natural Corrective Market Forces work at both ends.
They oil naysayers pontificate on the future $500/barrel oil. This
simply will not happen. (unless our government and the Fed
continue to inflate our currency; a distinct possibility) Remember
that the sellers of oil have something to loose as well. If oil
becomes totally unaffordable and we stop buying it, entire
economies elsewhere in the world will collapse. They can't afford
$500 oil any more than we can.

If you think the Middle East is unstable now, wait until the
petroldollars stop rolling in...
Posted by JohnMcGrew@...
19th Apr 2011
Join the conversation
Formatting +
BB Codes - Note: HTML is not supported in forums
  • [b] Bold [/b]
  • [i] Italic [/i]
  • [u] Underline [/u]
  • [s] Strikethrough [/s]
  • [q] "Quote" [/q]
  • [ol][*] 1. Ordered List [/ol]
  • [ul][*] · Unordered List [/ul]
  • [pre] Preformat [/pre]
  • [quote] "Blockquote" [/quote]

Join the SmartPlanet community and join the conversation! Signing up is fast and free. Don't wait -- we want to hear your opinion!