Gas vs. Electric: Which One Is Actually Cheaper for YOU?

If you’ve been wincing at the pump lately, you’re not alone. Gas prices move up and down, and when they jump, it’s natural to wonder:

“Would an electric car actually save me money… or would it just be a new headache?”

Here’s the honest answer for adults 55+:

EVs are usually cheaper to drive day-to-day.
But whether they’re cheaper to own depends on a few very specific factors—especially how you charge and how long you keep the car.

Let’s break it down in a way that’s actually useful.

Cost per mile

Forget the debates. The cleanest comparison is:

Gas cost per mile = gas price ÷ your MPG

Example:

AAA’s 2025 “Your Driving Costs” report estimated fuel cost around 13 cents per mile for an average new vehicle at then-current fuel prices.  

EV cost per mile = electricity price per kWh ÷ miles per kWh

A common real-world efficiency number is roughly 3 miles per kWh (varies by model, weather, speed, and driving style).

Kelley Blue Book cites U.S. household electricity around 17.65¢ per kWh (Feb 2026) from EIA data.  

Example:

AAA’s EV Charging Prices page shows a U.S. average of about $0.40 per kWh for commercial/public charging.  

Example:

That’s the big “aha”:

Let’s use 12,000 miles/year (a common baseline).

Estimated difference: about $960/year
That’s real money—especially on a fixed income.

At that point, the fuel savings can shrink a lot.

If you answer these honestly, you’ll know which direction fits you.

If you can charge at home most of the time, EV math usually looks good.
If you can’t, and you’d rely on public chargers, the savings may shrink.

Quick rule:

AAA’s public charging average (~$0.40/kWh) is the key reason.  

If you drive a lot (daily errands, caregiving, commuting), you feel the savings faster.

If you drive very little, the “fuel savings” may not be big enough to justify a higher purchase price, insurance differences, or learning a new charging routine.

Many people drive fewer miles in retirement—so the best answer depends on your lifestyle.

Electricity rates vary widely by state and utility. KBB’s U.S. average is useful, but your local bill matters more.  

Simple check:
Look at your electric bill and find your price per kWh.
Then do:
kWh price ÷ 3 = EV cost per mile (rough estimate)

If you keep cars a long time, EV ownership can become more attractive because operating costs are often lower.

And yes—maintenance can be part of that.

NRDC notes EVs generally have lower maintenance because they don’t need oil changes and have fewer moving parts; they cite EV maintenance/repair costs running about 40% lower than comparable gas vehicles.  

But (and this matters):
Tires can wear faster on some EVs because they’re heavier. So maintenance isn’t “zero”—it’s just different.

A gas car can still be the better fit if:

An EV often becomes a strong choice if:

Here’s the cleanest way to decide without guessing:

Gas cost per mile = gas price ÷ MPG
EV cost per mile = kWh price ÷ 3 (rough estimate)

(Gas cost per mile – EV cost per mile) × miles/year = yearly difference

If the yearly difference is only $150–$250, the decision is mostly about convenience and preference.
If it’s $800–$1,200, it’s worth a serious look.

Electric cars are often cheaper to run, especially if you charge at home.
But they’re not automatically cheaper for everyone—especially if you’d rely on public charging or you don’t drive many miles.

So don’t ask, “Is an EV cheaper?”
Ask:

Those four answers will tell you the truth.

With care,

Mike Bridges

Founder, The O55 Report