The Real Price Tag: 10 Years of Tesla vs Toyota Ownership — Which Actually Wins?

Everyone’s talking about whether going electric is worth the extra upfront cash. With Tesla aggressively pushing cheaper models and Toyota’s EV lineup expanding, we’re seeing a genuine showdown between traditional combustion engines and the EV revolution. But let’s cut through the marketing noise and look at what actually matters: How much are you really going to spend over a decade?

Setting Up the Numbers

Here’s the baseline we’re working with: assume you’re driving 12,000 miles annually (120,000 miles total over 10 years), electricity costs 17.6 cents per kWh, and gasoline averages $3.10 per gallon across the U.S. We’re pulling depreciation and insurance data from the latest AAA driving costs report for 2025, which gives us the most realistic picture of total cost of ownership (TCO).

The Tesla Model 3 Long Range AWD: Electric’s Premium Contender

The 2024 Tesla Model 3 LR AWD consumes about 26 kWh per 100 miles, which means you’ll need roughly 312,000 kWh to cover 120,000 miles over a decade. At current electricity prices, that’s approximately $5,497 in fuel alone — before factoring in charging losses.

Here’s the kicker: AAA’s comprehensive 10-year TCO for the Model 3 LR AWD lands at $55,714, including depreciation, maintenance, insurance, and fuel costs combined. That’s a significant investment, but the numbers might surprise you when stacked against the competition.

Toyota’s Smaller EV Play: The bZ4X FWD

Toyota’s answer to the affordable EV market is the bZ4X FWD, and it’s actually closer in cost than you’d expect. Running 28 kWh per 100 miles, driving 120,000 miles over the decade costs about $5,920 in electricity.

The full 10-year TCO? $56,662 according to AAA — nearly a thousand dollars more than the Tesla. Not exactly a game-changer, but worth noting if you’re weighing these two specifically.

The Sleeper Pick: Toyota Corolla Hybrid

Here’s where traditional gasoline might still have some fight left. The 2025 Toyota Corolla, an icon since 1968, achieves approximately 36 mpg. That translates to $1,033 annually just in fuel costs, or $10,333 over the decade — significantly more expensive than charging an EV at home.

But here’s the surprising part: Corolla’s full 10-year TCO sits at $52,218, actually undercutting both electric options. Why? Lower depreciation rates, cheaper insurance, and traditional maintenance costs that don’t spike as dramatically as EV battery health concerns currently do.

The Bigger Picture Beyond Brand Comparisons

Looking at category-wide trends from AAA’s data: Medium EV sedans average $13,692 per year to own versus $9,956 annually for medium gas sedans (based on 15,000 miles driven). The massive gap? Depreciation. EVs are losing value faster right now — this is the real cost factor most people overlook.

For SUVs, the gap shrinks dramatically. Medium electric SUVs run $12,710 yearly compared to $12,584 for gas alternatives — nearly identical. This suggests EV technology is maturing fastest in the SUV segment.

What This Means for Your Decision

The math reveals something counterintuitive: electrifying isn’t automatically cheaper over a decade, despite fuel savings. Depreciation is still eating EVs’ lunch because the market is volatile and battery tech evolves quickly. The Corolla’s traditional engine actually yields the lowest 10-year cost of the three, though the difference isn’t as dramatic as fuel costs alone would suggest.

If you’re committed to electric, the Model 3’s faster charging speed and Tesla’s charging infrastructure network add real-world value that pure TCO numbers can’t capture. If you want the lowest headline cost, the Corolla remains surprisingly competitive — the old reliable still has economics on its side.

The takeaway? Compare total cost of ownership, not just fuel prices. That’s where the real decision lives.