With gas prices rising to unprecedented levels, many people have been seriously considering an electric vehicle to replace their current gas guzzlers. But how much, if anything, are you really saving? While every car manufacturer has either an electric vehicle on the market, is currently working on one, or has declared its intent to make one, for the purposes of this article, we chose only to focus on the estimated monthly costs of owning a standard Tesla Model 3. The Tesla brand is synonymous with electric vehicles and its Model 3, released in 2017, made owning a Tesla attainable for more Americans. The Model 3 was second only to its slightly larger cousin, the Tesla Model Y, in all electric vehicle sales in 2021.
For a cost comparison, we also looked at the number one selling sedan in the United States, the Toyota Camry, to see what the differences in prices to own and drive each vehicle are like.
Quick Data Points
- At current average energy prices in the US, it only costs about 7% more or $710.64 per year ($59.22/month) to own a Tesla Model 3 vs a similar 2022 Toyota Camry
- Though various figures differ widely by state and individual factors, we've calculated the US average total monthly cost of a Tesla Model 3 to be $904.20/mo while a similar 2022 Toyota Camry costs $844.98/mo to own.
- Fuel cost savings for the Tesla Model 3 do not make up for the increased purchase price and costlier insurance for EVs in some locations, even at current average US gas prices. But in places where gas is expensive and residents drive a lot of miles like Wyoming, New Mexico, Indiana, Utah and Mississippi, a Tesla may actually cost less to own than a Camry even at a $22,000 higher price point. In 16 states, the increase for owning a Model 3 over a Camry is less than $50 a month.
- There is no question that if you pay for a Tesla Model 3 outright with cash, with today's gas prices you could be saving 50% a month in comparison to someone who paid for a Camry in cash.
- Your individual circumstances surrounding the amount of mileage you put on your cars, where you are located and household factors may alter these figures considerably. The numbers chosen for this comparison are based on the average driver in each state.
- Jump to the full comparison chart below
Comparing the Purchase Price of a Tesla Model 3 to a Non-EV Sedan
The 2022 Toyota Camry LE, the budget line of the Camry model, comes in at $25,395 from the manufacturer with a choice of black, white, dark silver, light silver, gray or blue exterior and a gray, black or tan interior and 17" alloy wheels. Add in a $1,025 delivery, processing and handling fee, and the total comes to $26,420.Tesla has an unconventional pricing system, setting their price tag much like you would lobster at the seafood market, where fluctuations happen frequently based on what is happening globally instead of settling on a firm price. The Model 3 base model, as of April 2022, is $46,990 plus a $1,200 destination fee and $250 order fee, bringing it to a total of $48,440. This particular package includes the choice between white and silver paint jobs, 18" wheels, and an all black interior.
Nationally, the average interest rate for a new car loan as of this writing is 3.86%. For a loan of six years with that interest rate and the industry recommended 20% down payment, your monthly payment would be $601 for the Model 3. However, an Edmunds analysis done in 2019 showed that the average down payment was only 11.7%. That puts the car payment for a new Tesla Model 3 at $664. In contrast, the car payment for the Camry with the average down payment of 11.7% is $364.
Insuring a Tesla Model 3 vs Insuring a Traditional Sedan
It may come as a shock that electric vehicles cost more to insure. While they contain expensive high-capacity batteries that might need to be replaced in the event of an accident, they also cost more to buy than their gas engine counterparts. An electric Kia Soul, for example, costs 90% more than its gas equivalent. On average, an electric vehicle will be about 25% more expensive to insure than the same car with a gas engine.
In the case of the Tesla models, where no gasoline counterpart exists, the higher insurance costs are because a Tesla must be repaired at a Tesla-approved shop. That repair shop must train their employees on Tesla vehicles and also buy the equipment needed to fix them, incurring a lot of additional costs.
Of the 25 most popular cars in the United States, the Tesla Model 3 is the most expensive to insure and is about 35% higher than the average cost of car insurance. Insurance rates vary widely due to state legislation and individual circumstances so it’s difficult to nail down an accurate national average for car insurance. For example, our data shows that in states like Louisiana and Michigan, which have the highest averages for car insurance in the country largely due to state laws that have been passed, a driver with no infractions on their driving record can expect to pay nearly $90 a month more than the already high premiums for insurance on a Tesla Model 3. However, Maine consistently has the lowest insurance costs on average in the nation and a Model 3 only increases the bill by less than $30 a month.
For the purposes of this comparison, we will use the figure from insurance.com’s study that corroborates our own findings that the average cost of insurance for a Tesla Model 3 nationwide is $188 per month ($2,257/year). The national average for a Toyota Camry is $139 per month ($1,669/year), a difference of $49 per month.
State |
Cost of Camry Insurance |
Cost of Model 3 Insurance |
Potential Increase |
Alabama |
$133.58 |
$180.34 |
$46.75 |
Alaska |
$114.58 |
$154.69 |
$40.10 |
Arizona |
$151.17 |
$204.08 |
$52.91 |
Arkansas |
$140.25 |
$189.34 |
$49.09 |
California |
$167.33 |
$225.90 |
$58.57 |
Colorado |
$157.50 |
$212.63 |
$55.13 |
Connecticut |
$161.25 |
$217.69 |
$56.44 |
Delaware |
$155.00 |
$209.25 |
$54.25 |
District of Columbia |
$161.33 |
$217.80 |
$56.47 |
Florida |
$220.17 |
$297.23 |
$77.06 |
Georgia |
$147.58 |
$199.24 |
$51.65 |
Hawaii |
$113.50 |
$153.23 |
$39.73 |
Idaho |
$94.25 |
$127.24 |
$32.99 |
Illinois |
$125.92 |
$169.99 |
$44.07 |
Indiana |
$101.83 |
$137.48 |
$35.64 |
Iowa |
$104.08 |
$140.51 |
$36.43 |
Kansas |
$130.42 |
$176.06 |
$45.65 |
Kentucky |
$177.83 |
$240.08 |
$62.24 |
Louisiana |
$251.08 |
$338.96 |
$87.88 |
Maine |
$78.83 |
$106.43 |
$27.59 |
Maryland |
$154.42 |
$208.46 |
$54.05 |
Massachusetts |
$129.42 |
$174.71 |
$45.30 |
Michigan |
$241.58 |
$326.14 |
$84.55 |
Minnesota |
$133.83 |
$180.68 |
$46.84 |
Mississippi |
$142.33 |
$192.15 |
$49.82 |
Missouri |
$150.08 |
$202.61 |
$52.53 |
Montana |
$135.00 |
$182.25 |
$47.25 |
Nebraska |
$118.83 |
$160.43 |
$41.59 |
Nevada |
$187.67 |
$253.35 |
$65.68 |
New Hampshire |
$100.75 |
$136.01 |
$35.26 |
New Jersey |
$151.33 |
$204.30 |
$52.97 |
New Mexico |
$125.17 |
$168.98 |
$43.81 |
New York |
$202.08 |
$272.81 |
$70.73 |
North Carolina |
$104.17 |
$140.63 |
$36.46 |
North Dakota |
$118.58 |
$160.09 |
$41.50 |
Ohio |
$93.67 |
$126.45 |
$32.78 |
Oklahoma |
$145.33 |
$196.20 |
$50.87 |
Oregon |
$125.67 |
$169.65 |
$43.98 |
Pennsylvania |
$118.83 |
$160.43 |
$41.59 |
Rhode Island |
$185.58 |
$250.54 |
$64.95 |
South Carolina |
$135.75 |
$183.26 |
$47.51 |
South Dakota |
$137.50 |
$185.63 |
$48.13 |
Tennessee |
$114.92 |
$155.14 |
$40.22 |
Texas |
$162.83 |
$219.83 |
$56.99 |
Utah |
$118.58 |
$160.09 |
$41.50 |
Vermont |
$101.67 |
$137.25 |
$35.58 |
Virginia |
$101.25 |
$136.69 |
$35.44 |
Washington |
$117.00 |
$157.95 |
$40.95 |
West Virginia |
$126.83 |
$171.23 |
$44.39 |
Wisconsin |
$95.17 |
$128.48 |
$33.31 |
Wyoming |
$130.17 |
$175.73 |
$45.56 |
Charging a Tesla Model 3 vs Fueling a Gas-Powered Camry
One of the biggest drawbacks to an electric vehicle is the need to charge it. While charging stations have been popping up at workplaces and businesses around the country to help you get to your destinations, most owners install a charging station in their garages at home to charge their Teslas.
After the initial set up cost for the equipment and installation of an at-home charging station (between $750 and $1,500 for a straightforward installation), you can expect to pay between $20 (in Louisiana) and $74 (in Hawaii) a month to charge your car at home if you drive the American average of 1,200 miles per month at the Model 3’s expected 272 mile range per charge.
For those who live in large apartment buildings and condo communities without dedicated charging stations, charging your vehicle at home might not be a possibility. Many public third-party chargers are subject to fees from the property owner and there is no set cost. Estimates range from $.30 – $.60/kWh and it can take hours to charge your Tesla at a Level 2 connection. However, many workplaces will let you plug in for free during the work day. For those who are taking a road trip in their Tesla, Supercharger stations have been placed along heavily trafficked routes all over the country. In 15 minutes, you can be charged and ready to go, but you will pay about $.28/kWh ($16.80 for a Model 3) for the convenience. If you are prone to leaving the beaten path while on road trips, especially through rural areas, you will want to plan it out carefully to avoid being left on the side of the road with a dead battery and a hefty tow fee.
For the Toyota Camry, a 15.8 gallon tank of gas will run you just under $59 to fill in Georgia at the nation’s lowest average gas prices of $3.72 per gallon as of this writing. In California, that jumps to nearly $90 at $5.69 per gallon. However, you can get 600 highway miles on one tank, more than double the Model 3’s range on one charge. For the 1,200 miles the average American drives a month, a driver can expect to budget close to $315 a month in gas for their Toyota Camry.
| State | Cost Per kWH (April 2022) Average Per Gal. (April 2022) |
Cost Per Charge (60 kWh) Cost to Fill (15.8 g) |
Cost Per Month (1200 miles) |
| Alabama | $0.0984 | $5.90 | $26.05 |
| $3.84 | $60.59 | $291.27 | |
| Alaska | $0.1982 | $11.89 | $52.46 |
| $4.65 | $73.52 | $353.39 | |
| Arizona | $0.1044 | $6.26 | $27.64 |
| $4.56 | $72.02 | $346.18 | |
| Arkansas | $0.0832 | $4.99 | $22.02 |
| $3.75 | $59.19 | $284.51 | |
| California | $0.1800 | $10.80 | $47.65 |
| $5.69 | $89.82 | $431.77 | |
| Colorado | $0.1027 | $6.16 | $27.19 |
| $4.02 | $63.55 | $305.47 | |
| Connecticut | $0.1913 | $11.48 | $50.64 |
| $3.98 | $62.92 | $302.43 | |
| Delaware | $0.1024 | $6.14 | $27.11 |
| $4.00 | $63.17 | $303.65 | |
| District of Columbia | $0.1190 | $7.14 | $31.50 |
| $4.37 | $69.05 | $331.90 | |
| Florida | $0.1006 | $6.04 | $26.63 |
| $4.11 | $64.94 | $312.15 | |
| Georgia | $0.0993 | $5.96 | $26.29 |
| $3.72 | $58.78 | $282.53 | |
| Hawaii | $0.2755 | $16.53 | $72.93 |
| $5.24 | $82.79 | $397.97 | |
| Idaho | $0.0799 | $4.79 | $21.15 |
| $4.44 | $70.09 | $336.91 | |
| Illinois | $0.0975 | $5.85 | $25.81 |
| $4.41 | $69.63 | $334.71 | |
| Indiana | $0.0992 | $5.95 | $26.26 |
| $3.92 | $61.95 | $297.80 | |
| Iowa | $0.0897 | $5.38 | $23.74 |
| $3.87 | $61.07 | $293.54 | |
| Kansas | $0.1038 | $6.23 | $27.48 |
| $3.78 | $59.71 | $287.01 | |
| Kentucky | $0.0858 | $5.15 | $22.71 |
| $3.81 | $60.20 | $289.37 | |
| Louisiana | $0.0751 | $4.51 | $19.88 |
| $3.86 | $61.04 | $293.39 | |
| Maine | $0.1354 | $8.12 | $35.84 |
| $4.13 | $65.18 | $313.29 | |
| Maryland | $0.1115 | $6.69 | $29.51 |
| $4.05 | $63.94 | $307.37 | |
| Massachusetts | $0.1819 | $10.91 | $48.15 |
| $4.13 | $65.25 | $313.67 | |
| Michigan | $0.1221 | $7.33 | $32.32 |
| $3.93 | $62.13 | $298.63 | |
| Minnesota | $0.1057 | $6.34 | $27.98 |
| $3.89 | $61.41 | $295.22 | |
| Mississippi | $0.0913 | $5.48 | $24.17 |
| $3.79 | $59.82 | $287.54 | |
| Missouri | $0.0964 | $5.78 | $25.52 |
| $3.76 | $59.38 | $285.42 | |
| Montana | $0.0913 | $5.48 | $24.17 |
| $4.09 | $64.59 | $310.48 | |
| Nebraska | $0.0897 | $5.38 | $23.74 |
| $3.89 | $61.51 | $295.67 | |
| Nevada | $0.0833 | $5.00 | $22.05 |
| $5.08 | $80.25 | $385.75 | |
| New Hampshire | $0.1663 | $9.98 | $44.02 |
| $4.04 | $63.86 | $306.99 | |
| New Jersey | $0.1363 | $8.18 | $36.08 |
| $4.09 | $64.69 | $310.94 | |
| New Mexico | $0.0933 | $5.60 | $24.70 |
| $4.12 | $65.05 | $312.68 | |
| New York | $0.1487 | $8.92 | $39.36 |
| $4.23 | $66.82 | $321.19 | |
| North Carolina | $0.0943 | $5.66 | $24.96 |
| $3.84 | $60.59 | $291.27 | |
| North Dakota | $0.0853 | $5.12 | $22.58 |
| $3.90 | $61.65 | $296.35 | |
| Ohio | $0.0944 | $5.66 | $24.99 |
| $3.76 | $59.44 | $285.72 | |
| Oklahoma | $0.0763 | $4.58 | $20.20 |
| $3.79 | $59.82 | $287.54 | |
| Oregon | $0.0882 | $5.29 | $23.35 |
| $4.66 | $73.69 | $354.23 | |
| Pennsylvania | $0.0970 | $5.82 | $25.68 |
| $4.21 | $66.50 | $319.67 | |
| Rhode Island | $0.1854 | $11.12 | $49.08 |
| $4.09 | $64.64 | $310.71 | |
| South Carolina | $0.0990 | $5.94 | $26.21 |
| $3.80 | $59.98 | $288.30 | |
| South Dakota | $0.1006 | $6.04 | $26.63 |
| $3.96 | $62.58 | $300.84 | |
| Tennessee | $0.0952 | $5.71 | $25.20 |
| $3.86 | $60.96 | $293.01 | |
| Texas | $0.0836 | $5.02 | $22.13 |
| $3.78 | $59.72 | $287.09 | |
| Utah | $0.0827 | $4.96 | $21.89 |
| $4.51 | $71.27 | $342.61 | |
| Vermont | $0.1633 | $9.80 | $43.23 |
| $4.12 | $65.10 | $312.91 | |
| Virginia | $0.0916 | $5.50 | $24.25 |
| $3.96 | $62.57 | $300.76 | |
| Washington | $0.0833 | $5.00 | $22.05 |
| $4.69 | $74.02 | $355.82 | |
| West Virginia | $0.0875 | $5.25 | $23.16 |
| $3.95 | $62.35 | $299.70 | |
| Wisconsin | $0.1082 | $6.49 | $28.64 |
| $3.86 | $60.91 | $292.78 | |
| Wyoming | $0.0827 | $4.96 | $21.89 |
| $4.13 | $65.18 | $313.29 | |
| U.S. Average | $0.1059 | $6.35 | $28.03 |
| $4.12 | $65.08 | $312.81 |
Comparing Maintenance Costs of a Tesla Model 3
Since electric vehicles don’t have the same wear and tear on their engines that gas powered vehicles do, maintenance costs for a Model 3 are lower than that of the Toyota Camry. While there are not a lot of maintenance costs for a Model 3 in terms of fluids to check or belts to replace, when something goes wrong or there is a repair to be made, those expenses tend to be a lot more costly, driving up the average maintenance and repair costs. For example, if you need to replace the battery pack of a Model 3, you could be looking at close to $16,000 for that one job. Tesla claims the Model 3 battery is designed to last 300k-500k miles–about 21 to 35 years at 14,000 miles a year–so most likely you would only need to replace the battery pack in the event of a major collision that did damage to the existing pack. It is estimated it will cost a Model 3 owner $3,587 in maintenance and repair costs over the first 10 years of the car’s life. However, since Tesla has only been making Model 3's for five years, it's not yet known what issues, if any, will crop up in the first 10 years. Toyota Camrys, on the other hand, are common cars using common parts and have been around for 40 years. While overall maintenance costs, like fluid checks and oil changes, add up over time, the Camry's 10 year maintenance and repair estimated costs of $4,203 are well vetted and tend to only be slightly higher over the long haul than that of a Model 3. If you were to budget this out, you would be spending $24 a month ($290/year) in maintenance costs for a Model 3 versus $29 a month ($350/year) for a Toyota Camry.
Monthly Cost of Owning an Electric Vehicle vs a Comparable Sedan
When comparing the average cost of owning a Tesla Model 3 to a Toyota Camry the end line is relatively close. It costs about $900 a month to drive a Model 3 and just under $850 a month for a Camry, a difference of only about 7% or $710.64 per year ($59.22/month), which may come as a surprise to those who’ve been focused primarily on an electric vehicle’s fuel savings.
If you were to buy your Tesla or Camry with cash and have no car payment, it would be about $240.20 a month to drive a Model 3 versus $480.98 a month to drive a Toyota Camry at today’s gas prices, a 50% savings. At gas prices from a year ago, a Model 3 would still save you nearly 38%.
2022 Tesla Model 3 |
2022 Toyota Camry LE |
|
Purchase Price |
$48,440.00 |
$26,420.00 |
US Avg. Down Payment (11.7%) |
$5,667.48 |
$3,091.14 |
Monthly Car Payment |
$664.00 |
$364.00 |
Insurance Per Month |
$188.00 |
$139.00 |
US Avg. Fuel Usage Per Month |
$28.03 |
$312.81 |
Maintenance Costs |
$24.17 |
$29.17 |
Total Monthly Cost |
$904.20/month |
$844.98/month |
There are, however, a few states where owning a Tesla Model 3 over a Toyota Camry would actually be cheaper, even if you have a car payment. In Wyoming, for example, the average driver clocks over 2000 miles a month, 67% more than the national average of 1200 miles. With a low electricity rate and an average gasoline price, Tesla owners in Wyoming could potentially see a savings of $146 a month by buying a Model 3.
States that Potentially Save Money Driving a Tesla Model 3
| State | Monthly Miles | kWh Cost
Fuel Cost |
Insurance | Car Payment | Maintenance | Total | Difference |
| Wyoming | 2006 | $36.59 | $175.73 | $664–Model 3
$364–Camry U.S. avg down of 11.7% |
$24–Model 3
$29–Camry |
$900.32 | $146.50 |
| $523.65 | $130.17 | $1,046.82 | |||||
| New Mexico | 1596 | $32.86 | $168.98 | $889.83 | $44.31 | ||
| $415.98 | $125.17 | $934.14 | |||||
| Mississippi | 1664 | $33.51 | $192.15 | $913.66 | $20.36 | ||
| $398.69 | $142.33 | $934.02 | |||||
| Indiana | 1502 | $32.87 | $137.48 | $858.34 | $9.23 | ||
| $372.74 | $101.83 | $867.58 | |||||
| Utah | 1293 | $23.59 | $160.09 | $871.68 | $9.07 | ||
| $369.16 | $118.58 | $880.74 |
In contrast, residents of Washington, D.C. drive the least amount of miles a month in the country and could see an increase of $205 a month to drive a Tesla over a Camry.
The Most Expensive States for a Tesla Model 3
| State | Monthly Miles | kWh Cost
Fuel Cost |
Insurance | Car Payment | Maintenance | Total | Difference |
| District of Columbia | 584 | $15.34 | $217.80 | $664–Model 3
$364–Camry U.S. avg down of 11.7% |
$24–Model 3
$29–Camry |
$921.14 | $205.17 |
| $161.64 | $161.33 | $715.97 | |||||
| Rhode Island | 830 | $33.95 | $250.54 | $972.49 | $178.97 | ||
| $214.93 | $185.58 | $793.51 | |||||
| New York | 847 | $27.79 | $272.81 | $988.60 | $166.75 | ||
| $226.77 | $202.08 | $821.86 | |||||
| Connecticut | 1010 | $42.61 | $217.69 | $948.30 | $139.56 | ||
| $254.48 | $161.25 | $808.73 | |||||
| New Hampshire | 964 | $35.37 | $136.01 | $859.38 | $118.98 | ||
| $246.66 | $100.75 | $740.41 |
There are 16 states that see an increase of $50 or less a month at current gas prices and the average miles driven in that state.
State |
Increase in Costs in Driving a Model 3 vs. Camry |
Maine |
$48.71 |
South Dakota |
$47.19 |
Wisconsin |
$45.05 |
North Carolina |
$34.21 |
Arkansas |
$30.13 |
Montana |
$26.51 |
Georgia |
$20.40 |
California |
$19.48 |
Oklahoma |
$17.27 |
West Virginia |
$15.31 |
Alabama |
$13.60 |
Missouri |
$13.25 |
Idaho |
$11.85 |
Minnesota |
$9.49 |
Nevada |
$6.69 |
North Dakota |
$0.54 |
There are many reasons other than saving money on gasoline that have fueled the expansion of electric vehicles on U.S. roadways. Environmental impacts have led the charge for automobile makers to look at alternative ways to power vehicles. However, as of the end of 2021, less than 1% of the cars on the road in the U.S. were electric vehicles. As states introduce legislation to phase out gas powered vehicles in favor of electric ones and manufacturing costs decrease, reducing the retail prices of electric vehicles, we will be seeing more and more of these cars on our roads and hopefully they'll be more affordable for more of the general population.