Drive
Electrified vehicles top four of eight categories in RAC's annual survey, which tested the affordability of 85 popular cars, including the cost of fuel, electricity, licencing and servicing.
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Finding the right car for your budget and needs is a balancing act. There is the up-front purchase price to consider, but what about the ongoing costs, such as finance, fuel, servicing and depreciation?
With petrol prices volatile this year and the cost of living high, the question of a vehicle’s financial impact over time is increasingly important.
That’s where RAC’s 2026 Car Running Costs guide can help.
Each year, we analyse the cost of keeping a variety of different cars on the road, to arrive at a list of the cheapest cars to own and run in WA, in a variety of categories.
Over a 12-month period, what you spend to keep your car on the road can creep into thousands of dollars, particularly if you are paying off a loan as interest rates continue going up.
In additional to ongoing running costs, depreciation means the value of your car will be going down, reducing what it is worth significantly over the course of months and years.
Before you buy a car, it is worth going beyond the upfront outlay to consider what the total cost of owning and running it will be, because it can vary significantly depending on what you choose.
To help you uncover the true costs of a car before you buy, the RAC’s 2026 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 85 popular cars across eight 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.
Our Car Running Costs calculations are based on a five-year period from new, driving 15,000km per year in private use. For more details about the assumptions underlying these results, see the Calculations Criteria sections further down.
A full list of results from all vehicles is also available in PDF format here: 
Most of the cheapest cars to “fuel” were in the electric vehicle (EV) category.
This year, the top three are all from Tesla, with the medium sized sedan, the Model 3, the most affordable at $54.05 to charge per month.
It is followed by two models from the large SUV category: the Model Y wagon at $57.79 and the larger all-wheel-drive Model Y L, at $59.45.
The Kia EV4 Air sedan ties for third place at $59.45 as well.
There are plenty of fully electric battery EVs (BEVs), plug-in electric hybrids (PHEVs) and hybrid cars on the list this year, but among the non-electrified cars, the lightest on fuel is the Kia K4 S, at $136.26.
But while the Kia K4 is relatively light on fuel for a petrol vehicle, when compared to the fully electric MG4 Urban Essence, the MG was less than half the cost to “fuel”, at $60.70 per month.
In the popular mid-size SUV category, the best for low “fuel” costs was also an EV – BYD’s Atto 3 Essential (standard range) at $65.27, followed by another EV, the Geely EX5 Complete (extended range) at $66.52.
Among the large SUVs, after the Tesla Model Y and Model Y L mentioned earlier, the third cheapest model to “fuel” per month is also an EV, this time a plug-in hybrid – the BYD Sealion 8, at $65.61. Calculating “fuelling” for hybrids encompasses both charging and petrol costs.
Among the 4WD utes, Toyota’s Hilux SR5 battery EV was the cheapest to “fuel” at 102.69. It came in ahead of last year’s winner, the plug-in hybrid BYD Shark 6 at $108.88.
Consistent over recent years, the biggest fuel guzzler overall was the Nissan Patrol Ti (in the large 4WD category). It will set you back $349.65 in fuel per month.
Category | Make and model | Cost per week | ANCAP safety rating |
|---|---|---|---|
Small passenger car | BYD Atto 1 Essential | $204.82 | 5 stars |
Small SUV | MG ZS VIBE | $203.31 | 5 stars |
Medium sized car | BYD Seal 6 Essential | $262.62 | 5 stars |
Medium SUV | BYD Sealion 5 Essential | $255.24 | 3 stars |
Large SUV | BYD Sealion 8 Dynamic | $369.99 | Unrated* |
Large 4WD | Ford Everest Active | $376.04 | 5 stars |
2WD Ute | Ford Ranger XL | $296.20 | 5 stars |
4WD Ute | LDV T60 Max Plus |
*New to the Australian market and not yet tested. **Not rated as of Jan 2025, pre-2025 models had 5 star ratings.
Depreciation is still the single biggest cost of owning a car, despite it being something drivers don’t often consider at the point of purchase because it doesn’t crystallise until it comes time to sell.
Generally, the more you pay for a vehicle when it’s new, the more dollars you’ll lose in depreciation over its lifetime. That said, some vehicles lose a lower percentage of their initial value than others and therefore have lower depreciation in percentage terms.
Overall, the car with the lowest depreciation was the Kia Tasman X-Pro 4WD, which held almost 60 per cent of its $64,990 purchase price after five years, with a resale value of $38,600.
Among the mid-size SUVs, the Zeekr 7X was the standout, retaining 57.26 per cent of its initial purchase price of $48,900 to be worth $28,000 five years on.
Among small passenger cars, the Kia K4 S retained more than 55 per cent of its $33,490 purchase price five years later, while in the small SUV category, the lowest depreciation was in the Mazda CX-3 Evolve.
In the large SUV category, the Kia Sorento hybrid depreciated the least, with a purchase price of $62,490 and a resale value after five years of $34,800.
It made headlines this year as Australia’s cheapest EV in terms of purchase price, and now BYD’s Atto 1 is confirmed as also cheap to run.
The Atto 1 Essential has an estimated on-road cost of $26,88.10 and is expected to retain a little over 47 per cent of that at the five-year mark, with a trade-in value of approximately $12,700.
To fuel the Atto 1, you’ll be paying $64.44 per month. Regular servicing averages out to $30.38 per month.
Adding both standing costs and running costs together, the total cost of owing and keeping the Atto 1 on the road are $887.55 per month or $10,650.57 annually.
MG MG4 Urban EV Essence: $958.96 per month ($11,507.53 annually)
Toyota Corolla Ascent hybrid $1,062.50 per month ($12,750.05 annually)
The MG ZS Vibe is the cheapest small SUV to own and run, by a very slim margin over the second-placed Chery Tiggo 4.
The MG’s estimated on-road price is $24,351 and after five years depreciation, its resale value sits at $8,900.
Fuel will cost you $149.66 per month, and servicing costs will be $38.23 per month.
The total cost of owning and running MG ZS Vibe is $880.99 per month, or $10,571.91 annual cost.
Chery Tiggo 4 Urban: $881.05 per month ($10,572.67 annually)
GWM Haval Jolion Premium: $965.70 per month ($11,588.41 annually)
The cheapest medium-sized passenger car is the BYD Seal 6 Essential plug-in hybrid. It has an estimated on-road price of $38,701.95 and a trade-in value after five years of $16,300.
Fuel (including charging and petrol) will cost $85 per month, and there are $32.13 per month in servicing costs.
Together, the total standing costs and running costs come to $1,138 per month, or $13,656.04 per year.
Toyota Camry Ascent hybrid: $1,268.57 per month ($15,222.81 annually)
Skoda Octavia Select mild hybrid: $1,311 per month ($15,732.02 annually)
In this popular category, the cheapest medium-size SUV to own and run is the BYD Sealion 5 Essential, a plug-in hybrid electric vehicle. It has an estimated on-road price of $37,565.17 and a trade-in value after five years of $16,500.
Fuel will cost $82.39 per month, with servicing costs at $32.13 per month.
Together, the total standing costs and running costs come to $1,106.02 per month, or $13,272.27 over a year.
MG HS Excite: $1,143.28 per month ($13,719.39 annually)
GWM Haval H6 Lux: $1,162.18 per month ($13,946.18 annually)
The BYD Sealion 8 Dynamic, a plug-in hybrid, is the cheapest large SUV to own and run. Its estimated on-road price is $62,919.25 and its trade-in value after five years is $29,100.
You can expect to pay $65.61 per month to fuel and charge it and $32.13 per month in servicing costs.
Total standing and running costs per month are $1,603.28 or $19,239.36 annually.
Kia Sorento S hybrid: $1,699.43 per month ($20,393.16 annually)
Tesla Model Y Premium: $1,709.09 per month ($20,509.04 annually)
The Ford Everest Active is the cheapest large 4WD to own and run. Its estimated on-road price is $60,000 and its trade-in value after five years is $30,500.
You can expect to pay $180.94 per month in fuel and $35.27 per month in servicing costs.
Total standing and running costs per month are $1,629.50 or $19,553.98 annually.
Isuzu MU-X LS-M: $1,697.89 per month ($20,374.67 annually)
GWM Tank 500 Lux hybrid: $2,018.99 per month ($24,227.86 annually)
The cheapest light commercial 2WD to own and run is the Ford Range XL. The ute’s estimated on-road price is $42,000 and its trade-in value after five years is $21,900.
Fuel costs are $173.30 per month, and servicing is $35.27 per month.
Overall, to own and run this ute you'll pay $1,283.53 per month, or $15,402.41 annually.
Mitsubishi Triton GLX: $1,336.70 per month ($16,040.44 annually)
Kia Tasman S: $1,354.32 per month ($16,251.87 annually)
The cheapest light commercial 4WD to own and run is the LDV T60 Max Plus dual cab ute. Its estimated on-road price is $52,095 and its trade-in value after five years is $18,000.
Expect to pay $201.33 in fuel and $45.26 for servicing per month.
Combined standing costs and running costs come to $1,507.33 per month, or $18,088.01 over a year.
GWM Cannon XSR: $1,516.29 per month ($18,195.53 annually)
BYD Shark 6 Premium plug-in hybrid: $1,659.09 per month ($19,909.04 annually)
Download the complete breakdown of Western Australia's cheapest cars to own and run.
This schedule is a guide to the average cost of owning and operating vehicles for private purposes.
It is based on typical vehicles in various sizes available in Australia and provides an indication of the likely areas of regular out-of-pocket expenses.
The costs of purchasing, owning and operating a car are shown in several formats:
Manufacturer's list price
On-road price
Total comprehensive insurance, registration and compulsory third-party insurance costs in dollars per month
Total running costs in dollars per month and per week
Total annual cost in dollars
Residual value after five years
Calculations have been made for an annual distance of 15,000km and are based on buying a new vehicle and operating it for five years.
Ownership costs are estimated using values for 2026.
Private ownership.
The cost of financing a vehicle with a five-year car loan using RAC Finance
The tables provide costings for 85 vehicles. Most models are chosen from the top selling vehicles in each class.
The costings are indicative only for comparison purposes, and not necessarily an indicator of actual costs.
All costs used in these calculations were current at the time of compilation.
We have assumed 100 per cent of the total cost (including statutory and other on-road costs) of the new vehicles has been financed.
The loan through RAC Finance is secured, has a five-year term with monthly repayments and an assumed market-competitive comparison interest rate based on the value of the loan of between 8.42 per cent and 11.7 per cent.
This also takes account of fees and charges to establish and maintain the loan. The theoretical start date of the loan is 1 June, 2026. The loan is fully repaid at the end of the five-year period.
RAC Finance details shown are indicative only; actual rates, terms, conditions and fees may vary.
The residual values shown are sourced for each model from reputable pricing and vehicle data guides. The difference between this and the initial purchase price is the amount lost to depreciation during the costing period.
List prices or manufacturers’ national on-going drive away price offers, where applicable, were current at the time of compilation.
The estimated on-road price includes average dealer delivery fees as surveyed by us for each brand, plus registration and other statutory fees and charges.
The cost of registering a vehicle in Western Australia for a year as at 1 July 2026 includes:
Vehicle licensing fee calculated at $29.76 per 100kg of vehicle mass.
Compulsory third-party injury insurance premium of $520.50 for passenger cars and $483.75 for goods vehicles.
Recording fee of $9.70.
Number plates (standard): $32.
Comprehensive yearly insurance costs have been determined using RAC Motor Insurance premiums as follows:
Private use.
Age 30 years.
Garaged in the Perth suburb of Morley, postcode 6062.
Loan finance.
RAC Standard Roadside Assistance membership at $128 per annum.
Fuel costs are based on the average of Perth metropolitan area and regional WA pricing over the period 1 July 2025 to 30 June 2026, based on FuelWatch data published by the State Government.
The electricity price used is based on the Synergy Home Plan (A1) tariff, representing standard home charging. EV charging from public stations may be more costly.
ULP | 178.7 c/l |
PULP | 194.25 c/l |
Diesel | 203.88 c/l |
Electricity | 33.3 cents per kilowatt/hour |
Fuel consumption data was based on the Australian Design Rule 81/01 standard fuel consumption test.
For the electric vehicles, the domestic electricity tariff 11 of 32.4 cents/kWh has been used along with the official energy consumption as provided by the manufacturer.
The Western Australian Zero Emission Vehicle (ZEV) rebate of $3,500 ended on May 10, 2025 and was therefore not applied to the 2026 vehicle costings.
In the case of plug-in hybrid vehicles which combine electric and petrol engine technologies, the domestic electricity tariff and appropriate petrol costs and official fuel consumption have been used.
We assume a replacement set of four tyres will be required during the calculation period.
Replacement costs include fitting and balancing in conjunction with replacing the four tyres. Costs are at retail pricing.
Tyre selection is based on the most suitable replacement for the original equipment branded tyre or a tyre of equivalent specification of a different brand suitable for the vehicle.
Maintenance costs include dealer servicing according to the manufacturer’s schedule.
Where a manufacturer offers capped price servicing, this has been factored into our costings.
With certain makes and models, we use their service inclusive program which is a one-off payment that covers servicing for an elected period of time.
Where a manufacturer’s capped price servicing arrangements expire earlier than our five-year calculation period, servicing reverts to normal servicing schedule at appropriate rates.
A replacement 12-volt battery and fitting are included in the costing period for most vehicles.
In 2022, the Federal Government amended legislation to provide a discount on Fringe Benefits Tax (FBT) for electric and plug-in hybrid vehicles purchased from 1 July 2022, with the discount for the latter group applying until 1 April 2025.
The discount now applies only to electric vehicles priced below the threshold for the Federal Government’s Luxury Car Tax (in 2026-27, this is $91,661for fuel-efficient vehicles).
This has made the option of employees obtaining an electric vehicle though a salary packaging arrangement more financially attractive, because they don’t have to make FBT contributions when they lease eligible vehicles.
For those considering taking advantage of these arrangements soon, here are important changes to the FBT exemption on EVs which are scheduled to take place in 2027 and beyond.
The Australian Tax Office states that these changes comprise:
The existing electric car discount will continue in full until the end of March 2027.
Between 1 April 2027 and 1 April 2029, the following transitional arrangements are in place:
All electric cars costing $75,000 or less will continue to be eligible for a 100 per cent discount on FBT, implemented through a 0 per cent rate in the FBT statutory formula.
Electric cars costing more than $75,000 but below the
luxury car tax (LCT) threshold
will receive a 25 per cent discount on their payable
implemented through a 15 per cent FBT statutory formula rate.
From 1 April 2029 onwards, all electric cars below the LCT will receive the 25 per cent discount on their payable FBT.
Existing leases won't be impacted by these changes. While the fringe benefits tax exemption on eligible electric cars can save consumers thousands, it is important to ensure you make the most appropriate car purchasing arrangements for your financial situation.
Unrated** |