How Much Will Your Electric Bill Go Up With an Electric Car?
Understand how an electric car impacts your home's electricity bill. Learn to estimate charging costs and compare them to gas expenses.
Electric vehicles (EVs) are increasingly appearing on roads, as many consider shifting from gasoline-powered cars. A common financial question for prospective EV owners revolves around the impact charging will have on their household electricity bill. Understanding this potential increase is a primary consideration for individuals evaluating the transition to an electric vehicle. This article aims to clarify how EV charging influences electricity consumption and associated costs, providing insights for those exploring electric transportation.
Factors Influencing Charging Costs
Several key variables directly affect how much an electric vehicle adds to a household’s electricity bill. The energy efficiency of the EV itself is a primary factor, measured in miles per kilowatt-hour (miles/kWh). A more efficient EV will consume less electricity to travel the same distance, directly translating to lower charging costs. For instance, the average electric car consumes around 0.35 kWh per mile.
The total mileage driven each day or month also significantly impacts charging expenses. Driving more miles necessitates more frequent or longer charging sessions, thereby increasing electricity consumption. The average American drives approximately 37 miles per day, totaling about 1,133 miles per month. This daily and monthly usage directly dictates the amount of electricity needed to keep an EV powered.
Another influential factor is the local residential electricity rate, which is the cost per kilowatt-hour (kWh) charged by the utility provider. This rate varies significantly across different regions, with the average residential electricity rate in the U.S. being around 17.47 cents per kWh as of August 2025. A higher electricity rate means a higher cost for each unit of energy consumed for charging.
Finally, the proportion of charging done at home versus at public stations also plays a role. Public charging often involves different pricing models, so maximizing home charging can help manage overall fueling expenses.
Estimating Your Monthly Charging Expense
Calculating the estimated monthly increase to your electricity bill from charging an electric vehicle at home involves a straightforward process based on your driving habits and local electricity costs. This calculation begins with determining your vehicle’s energy consumption over a typical month. You will need your EV’s efficiency rating, such as 0.35 kWh per mile.
Next, ascertain your average monthly mileage. Multiply your monthly mileage by your EV’s energy consumption per mile to find the total kilowatt-hours needed per month. For instance, if you drive 1,133 miles per month and your EV uses 0.35 kWh per mile, you would consume approximately 396.55 kWh (1,133 miles 0.35 kWh/mile) each month for charging.
The final step involves multiplying this total monthly kWh consumption by your residential electricity rate. For example, at 17.47 cents per kWh, your estimated monthly charging expense would be around $69.28 (396.55 kWh $0.1747/kWh). This figure represents the direct increase to your electricity bill solely from charging your electric vehicle.
Actual costs can fluctuate based on variations in driving distance, EV efficiency, and electricity rates. However, this method offers a reliable baseline for understanding the financial impact of home EV charging.
Understanding Electricity Rate Structures
Residential electricity rate structures can significantly influence the actual cost of charging an electric vehicle at home. Beyond a simple flat rate per kilowatt-hour, many utility providers employ more complex billing methods. Understanding these structures helps manage charging expenses.
One common structure is Time-of-Use (TOU) rates, where the price of electricity varies depending on the time of day, day of the week, and sometimes the season. Electricity is typically more expensive during “peak” hours when demand is high, such as weekday afternoons and evenings, and cheaper during “off-peak” hours, like overnight or weekends. Charging an EV during off-peak periods under a TOU plan can substantially reduce costs compared to charging during peak times, even for the same amount of electricity consumed.
Another prevalent structure is tiered rates. Under a tiered system, the price per kilowatt-hour increases as your total electricity consumption rises within a billing cycle. For example, the first block of kWh consumed is billed at the lowest rate, with subsequent blocks incurring higher rates. Since EV charging adds a substantial amount of consumption to a household’s usage, it can push a home into higher, more expensive tiers, increasing the overall average cost per kWh.
Comparing Electric Vehicle Charging to Gasoline Costs
Comparing the cost of fueling an electric vehicle with that of a gasoline-powered car often highlights potential savings for EV owners. The average cost of gasoline in the U.S. hovers around $3.15 per gallon. A conventional gasoline vehicle with an average fuel economy of 25 miles per gallon (MPG) would consume approximately 45.32 gallons of fuel to travel 1,133 miles in a month (1,133 miles / 25 MPG).
At $3.15 per gallon, the monthly gasoline cost for this vehicle would be approximately $142.76 (45.32 gallons $3.15/gallon). In contrast, as calculated previously, charging an average EV for the same distance (1,133 miles) at home could cost around $69.28 per month, assuming an efficiency of 0.35 kWh per mile and an electricity rate of 17.47 cents per kWh.
This comparison indicates that the monthly cost of powering an electric vehicle at home can be significantly lower than fueling a comparable gasoline vehicle. This difference highlights potential savings for EV drivers. These figures provide a high-level overview, as individual experiences will vary based on specific vehicle models, driving habits, and local energy prices.