In AAA’s 2026 medium-sedan comparison, the selected gasoline models cost less to own over the study period than the selected electric models—even with gasoline prices elevated. AAA estimated annual costs of $10,582 for gas medium sedans and $13,662 for electric medium sedans, a $3,080 gap. That is a result for AAA’s models and assumptions, not a rule for every driver: lower charging costs did not offset higher depreciation, financing and fees in this category.
Why cheaper charging does not guarantee a cheaper car
Fuel or electricity is only one part of the ownership bill. AAA’s Your Driving Costs (YDC) calculator counts six categories: depreciation, financing, fuel, insurance, fees and maintenance. Its estimates assume the vehicle is financed, owned and driven for five years, then traded in. Depreciation—the loss in value over that period—can outweigh savings at the pump or charger.
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In AAA’s 2026 comparison, EV charging costs were 66%–70% lower than gasoline fuel costs across the categories studied. Yet AAA says higher depreciation, fees and finance costs pushed the EV medium-sedan total above the gas total. It reported that the EV medium sedans in this comparison depreciated about twice as much as their gas-powered counterparts. These findings concern AAA’s selected vehicles; they do not establish how a different pair of models will compare.
What the 2026 AAA figures include
AAA’s 2026 study used a gasoline benchmark of $4.152 per gallon and a home-electricity benchmark of 18.0 cents per kilowatt-hour. AAA said those study-period benchmarks were respectively 31.8% and 7.8% higher than in 2025. They are inputs to the study, not a live quote for a particular location or a guarantee of what you will pay. AAA said higher gasoline prices improved EVs’ relative affordability, but energy cost alone did not determine the least expensive vehicle to own.
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| AAA 2026 medium-sedan comparison | Gas | Electric |
|---|---|---|
| Estimated annual ownership cost | $10,582 | $13,662 |
| Difference | Gas models were $3,080 less per year in this comparison | |
The figures are AAA’s estimates for its selected medium sedans under the study’s assumptions. They are not a forecast for an individual buyer. Separately, AAA reported an overall 2026 average of $12,863 per year to own and operate a new vehicle; that figure covers its broader vehicle study and is not the EV-versus-gas medium-sedan result.
AAA’s 2025 comparison showed the same trade-off
The previous year’s figures also paired lower EV fuel costs with higher total costs in the categories below. AAA described the category figures as averages for top-selling 2025 models it selected; they should not be read as a comparison of every EV with every gasoline vehicle.
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| AAA 2025 category | EV annual fuel cost | Gas annual fuel cost | EV total annual cost | Gas total annual cost |
|---|---|---|---|---|
| Medium sedan | $728.75 | $1,669 | $13,692 | $9,956 |
| Compact SUV | $739 | $1,714 | $11,191 | $10,279 |
For that 2025 study, AAA averaged five top-selling models in each of nine vehicle categories and calculated costs over five years and 75,000 miles. Its EV charging input was 16.7 cents per kilowatt-hour, and its gasoline fuel calculation used a 12-month average of $3.151 per gallon. AAA’s $11,577 annual average new-car cost, or 77 cents per mile at 15,000 miles a year, was an overall study figure—not a personal budget estimate.
When your own result could be different
A driver’s break-even point depends on the vehicles being compared and on personal costs that can differ from AAA’s assumptions. Higher annual mileage can make lower energy costs more consequential; local electricity and gasoline prices affect the comparison too. Purchase price and incentives, resale value, financing, insurance, taxes and fees, maintenance, and the length of ownership also matter. Charging location and any installation expense can change the EV side of the calculation.
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AAA’s 2026 regional release says hybrids were consistently lower-cost than gas models in the comparison categories it covered. That is another reason to compare specific vehicles and locations rather than assume the choice is limited to a fully electric car or a conventional gas car. The release’s statement is not a guarantee that every hybrid will cost less than every gas model.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.How to make a useful personal comparison
- Choose genuinely comparable vehicles. Match category, size and equipment as closely as possible, and use the actual purchase prices and incentives available to you.
- Set your expected use. Compare the annual mileage and ownership period you expect, rather than relying only on a broad average.
- Use local energy costs and a realistic charging mix. AAA’s YDC calculator lets users adjust state, annual mileage, city/highway driving mix, vehicle and energy prices. The study’s electricity and gasoline benchmarks are not substitutes for your local rates.
- Include the costs that vary by buyer. Get actual financing and insurance quotes, and account for fees, expected resale value and maintenance rather than treating fuel savings as the whole calculation.
- Count charging setup only if it applies. Home charging equipment may add expense, but not every EV owner needs a separate charger. AAA describes Level 1 charging from a standard 120-volt outlet as an option, though it is relatively slow. If you expect to install equipment, confirm compatibility and installation requirements and include the actual cost in your comparison.
AAA’s calculator is a starting estimate, not a substitute for buyer-specific quotes. AAA recommends seeking financing pre-approval and negotiating the purchase price, finance rate and trade-in value separately; actual offers depend on the buyer and transaction.
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