Car running costs 2023

PLEASE NOTE: Since publication, some GWM Ora vehicles have been recalled due to a software fault that could result in electrocution if the vehicle is incorrectly unplugged while charging. GWM is contacting all affected owners directly. For more information, visit the Australian Government's vehicle recalls website.

Over the course of a year, the amount of money you spend to keep your car on the road can easily run into thousands of dollars, particularly if you’re paying off a car loan with interest rates creeping higher. In addition to ongoing running costs, depreciation means the value of your car will be going down, reducing its value significantly as the months and years roll by.

Before you buy a car, it’s worth considering just what the total costs of owning and running it will be as it can vary significantly depending on what you choose.

To help you uncover the true costs of a car before you buy, RAC’s 2023 Car Running Costs guide provides a breakdown of the weekly, monthly and annual costs associated with owning and operating a car in Western Australia.

We assessed more than 90 popular cars across 11 categories, considering the cost of fuel and servicing, loan repayments, along with the initial purchase price, depreciation, the Compulsory Third Party insurance (CTP) that is part of your car registration and general car insurance premiums.

You can also see how car registration costs are calculated and which cars are cheaper to register by checking our car registration costs breakdown.

Our car running costs calculations are based on a five-year period from new, driving 15,000km per year in private use.

Cheapest cars to fuel

Most of the cheapest cars to ‘fuel’ were in the electric vehicle (EV) category. The Tesla Model 3 RWD was the cheapest, costing a low $51.59 per month to charge. In this year’s survey the second cheapest EV to charge was the Hyundai Ionic 6 with a monthly charging cost of $55.06.

RELATED: Electric SUVs available in Australia 2023 »

Outside of the electric and plug-in hybrid car category, the cheapest car for fuel costs overall was a small car – the Honda Civic e:HEV hybrid with a monthly fuel cost of just $94.08, followed very closely by another Honda hybrid – the Accord VTi-LX at $96.32 per month.

In the popular mid-size SUV category, the best for low fuel costs was the Toyota RAV4 GX Hybrid costing $105.28 per month for fuel.

Among the large SUVs, the Kia Sorento Hybrid AWD was the cheapest on fuel with monthly costs of $129.92.

However, despite being light on fuel, the Kia’s much higher purchase price meant it was the third most expensive car to own and run overall in the large SUV category, with monthly costs of $1,814.35.

Contributing to this were its servicing costs which were the highest of all large SUVs in the survey. All of which is a good reminder of how many other factors play into the total costs of car ownership.

Among the 4X4 utes, the Isuzu D-Max and Mazda BT-50 had the lowest fuel costs at $175 per month.

The biggest fuel guzzler overall, for the fourth year running, was the Nissan Y62 Patrol Ti V8 petrol (in the All Terrain category). It will suck up $347.40 in fuel per month.

Cheapest cars to own and run by category

*Based on tests of model range Jul 2017 – Aug 2023.  **Not currently rated as of Dec 2022.

The impact of depreciation

Depreciation is still the single biggest cost of owning a car, despite it being something drivers don’t often consider because it doesn’t become an issue until it comes time to sell the car.

The vehicles which lost most in depreciation over a five-year period were the LDV eT60 Dual Cab 2WD electric ute, the Nissan Patrol Y62 Ti 4WD Petrol V8, and the Hyundai Ionic 5.

These cars lost a lot in dollar terms because they were among the most expensive to buy. Generally, the more you pay for a vehicle when it’s new, the more dollars you’ll lose in depreciation over the lifetime of the vehicle. That said, the same vehicle may still lose a lower percentage of its initial value than other vehicles, and therefore have lower depreciation in percentage terms.

The Landcruiser 70 Series, which has been in high demand and low supply in recent years, is a good example of this.

Cheapest light car - Kia Picanto S

The Kia Picanto S was the cheapest light car to own and run. With an estimated on-road price of $21,103, after five years its trade-in value will be approximately $9,000. The Picanto’s total standing costs (registration, insurance and CTP) are $115.39 per month.

To fuel the Picanto, you’ll be paying $129.92 per month. Regular servicing averages out to $35.67 per month and $6.33 for tyres. Principal and interest loan repayments will be $417.77 per month.

Adding both standing costs and running costs together, the total cost of owing and keeping the Kia Picanto on the road are $705.08 per month, or $162.71 per week.

Runners up:

• MG3 Core - $722.10 total p/month ($166.64 p/week)
• Kia Rio S - $803.70 p/month ($185.47 p/week)

Cheapest small car - Toyota Corolla Ascent Sport Hatch

The Toyota Corolla Ascent Sport Hatch was the cheapest small car to own and run. Its estimated on-road price is $31,749 and after five years, its trade-in value will be approximately $17,300. The Corolla Ascent’s total standing costs (registration, insurance and CTP) are $138.30 per month.

Looking at running costs for the Corolla Ascent, fuel will set you back $134.40 per month, servicing works out to $24.67 per month, tyres are $9.93 per month, and monthly principal and interest loan repayments are $628.52.

Overall, the total cost to own and run the Corolla Ascent will be $935.82 per month, or $215.96 per week.

Runners up:

• Hyundai i30 hatch - $949.97 p/month ($219.22 p/week)
• Kia Cerato S - $956.11 p/month ($220.64 p/week)

Cheapest medium car - Toyota Camry Ascent Hybrid

The Toyota Camry Ascent Hybrid is the cheapest mid-size car to own and run. Its estimated on-road price is $36,991 and after five years depreciation will bring its value down to $23,900. Overall, its total standing costs (registration, insurance and CTP) will be $148.75 per month.

Fuel will cost you $113.39 per month, servicing will be $25.50 per month, tyres $12.60, and $732.30 per month for principal and interest loan repayments.

Combining standing costs and running cost, the total cost of owning and running the Camry Ascent are $1032.53 per month, or $238.28 per week.

Runners up:

• Toyota Camry Ascent - $1062.28 p/month ($245.14 p/week)
• Mazda 6 G25 Sport - $1130.23 p/month ($260.82 p/week)

Cheapest people mover - Kia Carnival S

The Kia Carnival S is the cheapest people mover to own and run. With an estimated on-road price of $52,121 and a trade-in value after five years of $23,000, its total standing costs (registration, insurance and CTP) come to $207.39 per month.

You'll be paying around $215.04 per month for fuel, $47.10 for servicing per month, $23.67 on tyres and $1031.82 in principal and interest loan repayments per month.

Overall, it will cost $1,525.02 to own and run the Kia Carnival per month, or $351.93 per week.

Runner up:

• Hyundai Staria - $ 1,562.88 p/month ($360.66 p/week)

Cheapest electric car - GWM Ora

PLEASE NOTE: Since publication, some GWM Ora vehicles have been recalled due to a software fault that could result in electrocution if the vehicle is incorrectly unplugged while charging. GWM is contacting all affected owners directly. For more information, visit the Australian Government's vehicle recalls website.

The cheapest electric car to own and run is the GWM Ora. The Ora has an estimated on-road price of $38,215 and a trade-in value of $24,800 after five years. The Ora’s total standing costs (registration, insurance and CTP) are $ 154.33 per month.

Charging costs will be $56.21 per month, servicing is a low $12.50 per month, tyres are $17 per month and principal and interest loan repayments are $730.86 per month.

Combined standing and running costs are $970.90 per month, or $224.05 per week.

Runners up:

• MG ZS Excite - $ 1,029.05 p/month ($237.66 p/week)
• BYD Atto 3 Hatch - $ 1,161.17 p/month ($267.96 p/week)

Cheapest small SUV - Hyundai Venue

The cheapest small SUV to own and run is the Hyundai Venue. It has an estimated on-road price of $27,459.46 and a trade-in value after five years of $11,800. Its standing costs (registration, insurance and CTP) come to $146.73 per month.

Fuel will cost $161.28 per month, servicing is $30.17 per month, tyres $9.27, and monthly principal and interest loan repayments $543.60.

Together, the total standing costs and running costs come to $891.05 per month, or $205.63 per week.

Runners up:

• Mazda CX3 Neo Sport - $952.14 p/month ($219.73 p/week)
• Mitsubishi ASX GS - $973.49 p/month ($224.56 p/week)

Cheapest medium SUV - Honda CRV Vi

The Honda CRV Vi is the cheapest medium SUV to own and run. Its estimated on-road price is $35,900 and its trade-in value after five years is $17,500. The CRV’s total standing costs (registration, insurance and CTP) are $151.23.

You can expect to pay $170.24 for fuel per month, $32.57 per month in servicing, $15.27 per month towards tyres, and principal and interest repayments on a loan will be $710.69 per month.

Total standing and running costs per month are $1,080 or $249.23 per week.

Runners up:

• Toyota RAV4 GX - $1,122.31 p/month ($258.99 p/week)
• Mazda CX5 G20 Maxx - $1,126.88 p/month ($260.05 p/week)

Cheapest large SUV - Subaru Outback AWD Petrol

The cheapest large SUV to own and run is the Subaru Outback. The Outback’s estimated on-road price is $47,314 and its trade-in value after five years is $24,000. Total standing costs (registration, insurance and CTP) are $187.49 per month.

Fuel costs are $163.52 per month, servicing costs are $64.81 per month, $15.57 for tyres, and monthly principal and interest repayments on a loan are $963.66.

Altogether, you'll be paying $1,368.16 to own and run this car per month, or $315.73 per week.

Runners up:

• Mitsubishi Pajero Sport GLX - $1,433.60 p/month ($330.83 p/week)
• Mazda CX9 Sport Turbo Petrol - $1,481.85 p/month ($341.97 p/week)

Cheapest all terrain SUV - Mitsubishi Pajero Sport GLX Diesel

The cheapest all terrain SUV to own and run is the Mitsubishi Pajero Sport GLX. Its estimated on-road price is $54,494, with a trade-in value of $28,500 after five years. Total standing costs (registration, insurance and CTP) come to $189.95 per month.

Fuel will set you back around $202.90 per month, servicing is $51.92 per month and $21 for tyres, plus $1,078.81 for monthly principal and interest repayments on a loan.

The total cost of owning and running the Pajero Sport comes to $1,544.58 per month, or $356.44 per week.

Runners up:

• Isuzu MU-X 4x4 LS-M - $1,652.43 p/month ($381.33 p/week)
• Ford Everest Ambiente 4WD - $1,721.01 p/month ($397.16 p/week)

Cheapest 2WD ute - Isuzu D-Max SX

The cheapest 2WD ute to own and run is the Isuzu D-Max SX . The D-Max’s estimated on-road price is $46,399 and its trade-in value after five years is $17,700. Total standing costs (registration, insurance and CTP) come to $186.70 per month.

Fuel costs are around $169.93 per month, servicing is $41.90 per month, tyres $21 and principal and interest loan repayments $918.55 per month.

Overall, to own and run this ute you'll be paying $1,338.08 per month, or $308.79 per week.

Runners up:

• Mitsubishi Triton GLX - $1,349.16 p/month ($311.35 p/week)
• Mazda BT-50 XS - $1,374.23 p/month ($317.13 p/week)

Cheapest 4WD ute - GWM Cannon L

The cheapest 4WD ute to own and run is the GWM Cannon L (GWM was previously known as Great Wall Motors). Its estimated on-road price is $42,490 and its trade-in value after five years is $19,100. Total standing costs (registration, insurance and CTP) come to $193.72 per month.

Expect to pay $238.41 in fuel per month, $49.67 in servicing per month, $21 for tyres, and monthly principal and interest loan repayments of $841.15.

Combined standing costs and running costs come to $1,343.94 per month, or $310.14 per week.

Runners up:

• Mitsubishi Triton GLX - $1,438.87 p/month ($332.05 p/week)
• Isuzu D-Max - $1,514.22 p/month ($349.44 p/week)