How to use this calculator
Enter the price you paid for the vehicle and its age when you bought it (0 for new). Set the current vehicle age or the age you plan to keep it until. Select the vehicle tier that best matches yours.
The calculator shows your estimated current value, total depreciation in dollars and percentage, monthly cost of depreciation, and a year by year table showing value decline over the ownership period.
Frequently asked questions
How much does a new car depreciate in year one?
About 20% for standard vehicles, 25% or more for luxury cars, and 15% for trucks and SUVs. This single year loss is the largest annual depreciation hit a vehicle will ever take.
Do trucks hold their value better?
Yes. Trucks and SUVs typically retain 55% to 65% of their value after 5 years due to strong demand, work utility, and longer usable lifespans.
What vehicles depreciate the fastest?
Luxury sedans and early generation electric vehicles depreciate fastest, often losing 50% to 60% within 5 years as newer models with better features enter the market.
Is buying used always better for depreciation?
Financially yes. A 2 to 3 year old vehicle has already absorbed 35% to 45% of its depreciation while still having most of its useful life ahead. The sweet spot for value is typically 2 to 4 years old.
How accurate are depreciation estimates?
These are averages based on industry data. Actual depreciation varies by make, model, mileage, condition, color, and local market demand. Use these as planning guidelines rather than precise valuations.