How Economical is it to Own a Tesla Electric Car?

Since the global COVID-19 pandemic, a majority of the countries of the world are experiencing an economic downfall as the world is slowly moving toward a time of economic instability.

In such critical times, the basic income power of people continues to go down while global fossil fuel prices are reaching an all-time high. As a result, the cost of traveling in the USA as well as internationally has increased significantly.

However, if you plan on investing in a Tesla electric car, you will go some way toward reducing your dependence on oil and gas.

This not only contributes positively to the environment, but it also means that you’ll end up saving more money in the long term as the price of electricity is currently far less than filling up a tank of gas.

Table of Contents

How Much Money Do You Save with a Tesla Electric Car?

Whenever people hear the word Tesla, they usually think of Elon Musk and a futuristic battery-powered automobile that is significantly more expensive than a regular gasoline-powered vehicle.

However, although affording a Tesla electric car’s initial purchase price is not easy for everyone, its fantastic and one-of-a-kind technology certainly can make up for every dollar you spend.

While the running costs of traveling on traditional gasoline-powered vehicles continue to increase at a pace never seen before in history, the running costs of traveling in a Tesla remain highly affordable and relatively stable.

The main reason behind this increasing cost gap is that the per unit price of electricity globally is significantly lower than the price of fossil fuel, and it generally remains stable as well.

This hike in prices is basically due to the non-renewable nature of fossil fuel resources. They are limited and need to be mined out through expensive operations.

On the other hand, electric power can be generated using several sustainable power sources, such as solar, wind, and hydro.

This means that while fossil fuels do have an end in sight, this isn’t the case for renewable sources of energy.

Solar energy, for example, has its use for as long as the sun is around, which should be for at least the next 5 billion years.

As a result, generating and supplying electricity to domestic, commercial, and industrial areas worldwide remains a significantly less costly affair than drilling out and supplying fossil fuel to gas stations.

For a clearer comparison between the two power sources, the table below lists the updated per unit price of electricity versus the per liter price of gasoline in some of the major countries in the world.

Name of the Country	National Average Electricity Prices	National Average Gasoline Prices
USA	0.142 USD per kWh	1.20 USD per liter
Korea	0.100 USD per kWh	1.448 USD per liter
France	0.127 USD per kWh	1.764 USD per liter
Germany	0.357 USD per kWh	2.039 USD per liter
Qatar	0.032 USD per kWh	0.577 USD per liter
Japan	$0.191 USD per kWh	1.242 USD per liter
India	$0.109 USD per kWh	1.366 USD per liter

As demonstrated in the table above, the per liter dollar price of gasoline is always significantly higher than the per kWh price of electricity in most, if not all countries.

Hence, owning a Tesla electric car will always allow the owner to enjoy reduced traveling costs while also freeing up some of their income power to afford the other necessities, such as education, food, rent, healthcare, etc.

So, how much do you exactly save on gasoline by driving around in a Tesla?

To evaluate the actual price difference, let us compare a 2021 Tesla Standard Range Model 3 compact sedan to a similar-sized Hyundai Elantra.

We will also compare the Long Range Model S luxury sedan to the similar-sized Audi A7.

Tesla Standard Range Model 2 Versus Similar Gasoline-Powered Hyundai Elantra

To establish a proper comparison, we will first mention that a gasoline-powered vehicle comes with a combustion engine and relies on the burning of fossil fuel to make the car move forward.

On the other hand, a Tesla electric car (and all other electric cars) has an electric engine that has a lithium-ion battery and electric motor.

The lithium-ion battery is responsible for storing the electric charge in the form of chemical energy. At the same time, the motor plays its part by discharging the battery of its stored chemical energy to convert it into kinetic energy and heat.

The size, wattage, or charge storing capacity of the Tesla Standard Range Model 3 electric car’s lithium-ion battery is 50 kWh. Hence, to fully charge the Model 3 EV, the owner incurs a total cost of 7.65 USD in the USA.

According to this rate, the Tesla Model 3 EV requires 0.03 USD to cover a mile and 2.91 USD to travel 100 miles.

Moreover, since there are multiple ways to charge a Tesla, such as a home charging station, a free charging station, or a DC public EV charging station, the cost of recharging a Tesla Model 3 can drop further.

On the contrary, the Hyundai Elantra sedan has a 12.4-gallon capacity. Considering the high price of gasoline in the USA, the total price of fully filling up a Hyundai Elantra will be around 50 USD.

Hence, the Hyundai Elantra will require 10.92 USD to travel 100 miles, and the average annual running costs of owning this car will roughly be around 1650 USD.

Moreover, since you have to drive to your nearest gas station to fill up your Elantra, there’s no way to further reduce the costs of running your car.

According to the information provided above, the driver of an electric car will save 42.38 USD while recharging their car and 8.01 USD to travel a distance of 100 miles.

This obviously depends on the model you’re driving, but you get the point.

Tesla Long Range Model S Versus Gasoline-Powered Audi A7

The Tesla Model S electric is a luxury sedan and is one of the most highly sought-after Tesla EVs in the world.

Since this EV is designed to be more luxurious than a Model 3, its battery has a massive 100 kWh charge storing capacity.

To fully charge this massive and impressive battery-powered beast, the owner will have to incur a cost of 15.29 USD.

Keeping this rate in mind, the Tesla Model S EV requires 0.13 USD to cover a mile and 13 USD to travel 100 miles, with 85% engine efficiency.

On the contrary, the Audi A7 is an equally impressive luxurious gasoline-powered sedan with a massive 14-gallon tank.

Due to the large tank capacity, the total price of fully refueling an Audi A7 will be around 69 USD. Hence, the Audi A7 will require 12.3 USD to travel 100 miles.

According to the information provided above, a Tesla owner in the USA will save 53.71 USD if they recharge their car to its max capacity.

This is in stark contrast to the owner of a gasoline-powered vehicle, who will have to shell out considerably more money to refuel their vehicle.

This isn’t even taking to account the fact that gas-powered vehicles are far less efficient than their electric counterparts. This means that you lose more money when driving a traditional vehicle.

Hence, from both comparisons, it is clear that the running costs of owning a Tesla electric car are always significantly lower than the running costs of similar-sized gasoline-powered vehicles.

However, you don’t just save money on your refueling costs. There are tips and tricks that can help you save money as you drive your Tesla. Read on to know what they are.

How to Save Money When Driving a Tesla

As explained in detail above, the running costs of a Tesla electric will always be lower than the cost of gasoline-powered vehicles.

Moreover, the costs of maintaining and running a gasoline-powered car will continue to go up as fossil fuel resources deplete.

Another fantastic benefit of owning a Tesla electric car is that there are many more ways for you to further reduce the EV’s running costs to save more money.

The three main ways to further reduce the running costs of your Tesla electric car are as follows:

Carefully Selecting Your Charging Source

Unlike a gasoline-powered vehicle that can only be refueled at the gas station, there are multiple ways to charge your Tesla electric car.

If you carefully select your Tesla electric car’s charging source, you will be able to considerably reduce your EV’s running costs.

To do this, follow the tips mentioned below:

Try to charge your Tesla electric car at your home instead of using the Fast DC public EV charging station as often as you can.
Though charging your electric car at home will be much slower than charging it at a public EV station, it’ll cost less to do so.
The best way to reduce the annual recharging costs is to plug your Tesla electric car into your home-charging station at night and only use the public EV charging station in case of an emergency.
If your regional per unit price of electricity is too high, you can always reduce it by investing in solar panels for your home.
Since you have the option to use solar energy to charge your Tesla electric car, your annual and average running costs will drop.
However, before you proceed with investing in solar panels for your home, it is important to analyze whether your location gets sufficient sunlight exposure. If not, investing in solar energy won’t benefit you.
In order to encourage more people to shift to electric vehicles, many EV power station companies have installed solar-power EV charging stations that are completely free to use.
Hence, by locating such a station close to your home or office, you can drastically reduce and even eliminate your average and annual running costs.
Moreover, Tesla has played a massive role in encouraging people to shift to their EVs by installing thousands of Tesla destination stations in the USA.
These stations are completely free-to-use for all Tesla electric car owners.
You can find these stations at many popular roadsides, outside hotels, malls, amusement parks, and in the parking area of many busy tourist attractions.
If you are traveling around the country in your Tesla, it’s very likely that you’ll be able to find one of these stations to charge your Tesla for free.

Driving Your Tesla EV Correctly

If you drive your Tesla electric car a certain way, you will be able to increase its overall efficiency.

By doing this, you’ll be able to increase your EV’s top speed and range. As a result, you will save more money by reducing your EV’s running costs.

In order to do this, follow the driving tips listed below:

Try to maintain a stable speed. It can be tempting to floor it when you’re in a Tesla but know that you’re using more of the battery when you do so. As such, you’ll need to charge a lot more frequently this way.
Refrain from driving at high speeds and try to find the speed that offers you maximum energy efficiency.
Refrain from hitting your electric car’s brakes frequently, and do not make too many short trips.
Check the air pressure of your Tesla electric car’s tires to ensure they are sufficiently inflated. By doing so, you will reduce the stress on the EV’s battery and will be able to increase the motor’s energy efficiency.
Try to drive on flatter and smoother routes whenever possible.
Always fully charge your Tesla electric car before leaving home.

Maintaining the Quality of the Different Parts of Your Tesla Electric Car

Ensure that the battery health remains high and that you do not delay repairs. To do so, you can check its average and expected traveling range.
Ensure that the tires are in good running condition, and replace the tires that are old, worn-out, and sticky.
Reduce the total weight of your Tesla electric car by refraining from loading excessive luggage, such as heavy mountain bikes, onto it.

Final Thoughts

In today’s economically unstable times of fossil fuel inflation, owning a Tesla electric car is a luxury like no other.

Not only does it help you reduce and contain your carbon footprint, but it also helps considerably reduce your annual and average transportation costs.