The Real Cost of Owning a Car: What Hides Behind the Purchase Price
The sticker price is just the beginning. Fuel, insurance, maintenance, and taxes can more than double the true cost of ownership. We break down TCO with a real example.
You bought a car for 120,000,000 UZS. But over five years of ownership you will spend far more — on fuel, insurance, maintenance, taxes, and repairs. TCO (Total Cost of Ownership) captures all of these costs.
What Goes Into TCO
- Purchase price — paid upfront or through a loan/lease
- Fuel — monthly cost based on your mileage and fuel economy
- Insurance (comprehensive + liability) — annual premiums
- Vehicle tax — based on engine displacement
- Scheduled maintenance — oil changes, filters, routine service
- Repairs — unexpected costs, especially after the warranty period
- Depreciation — the loss in market value of the car over time
Example: Chevrolet Nexia, 5 Years of Ownership
Purchase price: 120,000,000 UZS. Monthly distance: 1,500 km. Fuel economy: 8 L/100 km. Fuel price: ~14,000 UZS/L.
| Cost item | Per year | Over 5 years |
|---|---|---|
| Fuel | ~25,200,000 UZS | ~126,000,000 UZS |
| Insurance (CASCO + MTPL) | ~3,600,000 UZS | ~18,000,000 UZS |
| Maintenance & parts | ~1,200,000 UZS | ~6,000,000 UZS |
| Vehicle tax | ~150,000 UZS | ~750,000 UZS |
| Total running costs | ~30,150,000 UZS | ~150,750,000 UZS |
| Depreciation | — | ~50,000,000 UZS |
| Full TCO | — | ~320,750,000 UZS |
A car bought for 120M UZS costs ~321M UZS over 5 years — nearly 2.7× the purchase price.
Depreciation — The Biggest Hidden Cost
A new car loses 15–25% of its value in the first year and another 10–15% annually. For a 120M UZS car, the five-year depreciation is roughly 50M — the single largest cost item.
This is why a 2–3 year old used car often makes more financial sense: the previous owner absorbed the steepest part of the depreciation curve.
How to Use TCO When Choosing a Car
- Compare TCO over 3–5 years, not sticker prices — a pricier but fuel-efficient car can be cheaper to run
- Count depreciation — it is real money even though you never write a cheque for it
- Fuel costs at 60,000 km/year can exceed the car's purchase price over five years
- Use the Solvix car TCO calculator to model your specific vehicle
Related calculator
Car TCO Calculator