Sound Familiar?

❌ Salesperson says: "EVs save so much! Only NT$500 per month for electricity!"
❌ Friend says: "Gas cars are more practical! Charging EVs is such a hassle!"
❌ You think: "Which one should I buy? So conflicted..."

The Problem: They Only Tell You What Benefits Them

• EV salespeople won't tell you about charging station installation costs and battery degradation risks
• Gas car salespeople won't tell you that 5 years of fuel might exceed NT$300,000
• Your friend's experience may not match your driving habits

📊 Case Study: Toyota Corolla Altis vs Tesla Model 3

Assumptions

Let's use a common scenario:

• Budget: Under NT$1.5 million
• Ownership period: 5 years
• Annual mileage: 15,000 km (average commuter)
• Gas price: NT$32/liter
• Electricity: NT$3.5/kWh (home charging)

Scenario A: Gas Car (Toyota Corolla Altis 1.8 Gasoline)

Purchase Cost:

• Car price: NT$900,000
• Down payment: NT$300,000 (33%)
• Loan: NT$600,000 (5 years, 3% annual interest)
• Monthly payment: NT$10,784

5-Year Ownership Cost Breakdown:

• Purchase + Ownership Total: NT$900,000 + NT$605,000 = NT$1,505,000
• Residual Value after 5 years: ~NT$450,000 (50% retention)
• 5-Year Net Cost: NT$1,505,000 - NT$450,000 = NT$1,055,000

Scenario B: Electric Car (Tesla Model 3 Standard Range)

Purchase Cost:

• Car price: NT$1,600,000 (after government subsidy)
• Down payment: NT$500,000 (31%)
• Loan: NT$1,100,000 (5 years, 3% annual interest)
• Monthly payment: NT$19,777

5-Year Ownership Cost Breakdown:

• Purchase + Ownership Total: NT$1,600,000 + NT$265,000 = NT$1,865,000
• Residual Value after 5 years: ~NT$800,000 (50% retention)
• 5-Year Net Cost: NT$1,865,000 - NT$800,000 = NT$1,065,000

🔍 Reality: 5-Year Net Cost Differs by Only NT$10,000!

💰 Conclusion: What you pay more upfront, you save later (plus save NT$340,000 in taxes + fuel)

EVs Are Good For:

• ✅ Having a fixed charging location (home or office charger)
• ✅ Fixed daily commute distance (30-80 km)
• ✅ Can afford higher monthly payments (+NT$9,000/month)
• ✅ Living in urban areas, rarely taking long trips
• ✅ Caring about environment and technology

Gas Cars Are Good For:

• ✅ Frequent long trips (over 300 km)
• ✅ No fixed charging location (renters, no parking spot)
• ✅ Limited monthly payment budget (want to stay under NT$15,000)
• ✅ Need more trunk space
• ✅ Prefer traditional driving experience

😱 Hidden Costs: Things You Might Not Have Considered

EV Hidden Costs

1. Charging Station Installation (NT$50,000-150,000)

• Home charging station: NT$50,000-80,000
• Separate electric meter: NT$30,000-70,000
• Building management may not approve ❌

2. Winter Range Reduction

• Official claim: 400 km
• Winter with heater: Actually only 280 km (30% less)
• Summer with AC: Actually ~320 km (20% less)

3. Fast Charging Shortens Battery Life

• Frequent fast charging: 20-30% degradation after 5 years
• Only slow charging: 10-15% degradation after 5 years

4. Long Trip Anxiety

• Taipei to Kaohsiung: Need to charge 1-2 times
• Each fast charge: 30-40 minutes
• Charging stations may have long lines (holidays)

Gas Car Hidden Costs

1. Fuel Price Fluctuation Risk

• Current: NT$32/liter
• May rise to NT$40/liter (+25%)
• 5-year fuel cost: NT$320,000 → NT$400,000 (+NT$80,000)

2. High Maintenance Frequency

• Every 5,000 km: Minor service (oil, filter)
• Every 20,000 km: Major service (transmission fluid, brake fluid)
• Every 40,000 km: Spark plugs, belts

3. High Engine/Transmission Repair Costs

• Transmission failure: NT$50,000-100,000
• Engine overhaul: NT$100,000-200,000
• Risk increases after warranty

4. Future Resale Value May Drop

• Gas car sales may be banned after 2030
• Used car market demand decreasing
• Residual value may be lower than expected

📈 Advanced Analysis: Break-Even Points at Different Mileages

If Your Annual Mileage Is...

10,000 km/year (Low usage):

• Gas car 5-year fuel: NT$210,000
• EV 5-year charging: NT$37,000
• Difference: NT$173,000 → EV advantage not significant

15,000 km/year (Average):

• Gas car 5-year fuel: NT$320,000
• EV 5-year charging: NT$55,000
• Difference: NT$265,000 → EV advantage becomes apparent

25,000 km/year (Heavy usage):

• Gas car 5-year fuel: NT$530,000
• EV 5-year charging: NT$92,000
• Difference: NT$438,000 → EV wins big (but watch battery degradation)

30,000+ km/year (Taxi, Uber):

• Gas car 5-year fuel: NT$640,000+
• EV 5-year charging: NT$110,000+
• Difference: NT$530,000+ → EV overwhelming advantage (but may need battery replacement)

🛠️ GoalApp Complete Decision Tool Kit

Buying a car isn't your only financial decision. Before placing an order, we recommend using these tools for a comprehensive "data audit" of your overall financial health.

❓ Gas vs EV FAQ

Q1: How long do EV batteries last? Is replacement expensive?

A: Usually 8-10 years or 160,000 km

• Tesla Model 3: 8 years or 192,000 km warranty
• Battery replacement after warranty: ~NT$200,000-300,000
• But rarely needed (most owners are within warranty)
• Tip: If planning to keep over 8 years, factor in battery replacement cost

Q2: How widespread are charging facilities in Taiwan?

A: Growing, but still not as convenient as gas stations

• Public chargers: ~2,500 stations (end of 2024)
• Tesla Superchargers: ~50 stations (mainly western Taiwan)
• Gas stations: ~2,500 stations

Conclusion:

• Urban areas: Sufficient chargers
• Long trips: Need to plan routes in advance
• Rural areas: Fewer charging stations

Q3: Is my home suitable for a charging station?

A: Depends on your parking situation

Most suitable:

• ✅ Private parking (house, villa)
• ✅ Separate electric meter
• ✅ Building management approval (apartment complex)

Not suitable:

• ❌ Renters (landlord may not agree)
• ❌ Mechanical parking (can't install charger)
• ❌ Apartment without management (needs all residents' consent)

Q4: Is EV maintenance really cheaper?

A: Yes, but depends on time frame

First 5 years:

• EV: Almost maintenance-free (only check brakes, tires)
• Gas: Regular oil changes, filters, spark plugs

5-10 years:

• EV: May need brake pads, suspension replacement
• Gas: May need major service (transmission, engine)

10+ years:

• EV: May need battery replacement (major expense)
• Gas: Engine, transmission aging (high repair costs)

Q5: Is EV insurance more expensive?

A: Yes, about 20-30% more

Reasons:

• Higher car price (higher parts costs)
• Higher repair skill requirements
• Higher post-accident repair costs

Actual costs:

• Gas car (NT$900,000): Annual premium ~NT$30,000
• EV (NT$1,600,000): Annual premium ~NT$36,000

Q6: Does EV range really drop a lot in winter?

A: Yes, may drop 20-30%

Reasons:

• Battery efficiency decreases at low temperatures
• Heater consumes electricity (gas cars use engine waste heat)

Actual impact:

• Official range: 400 km
• Winter actual: 280-320 km

Tips:

• Northern Taiwan residents should pay special attention
• Allow extra charging time for long trips

Q7: Will gas prices keep rising?

A: Long-term trend is upward

Historical data:

• 2020: ~NT$20/liter (pandemic low)
• 2024: ~NT$32/liter
• 2030 estimate: May reach NT$40-50/liter

Risks:

• Geopolitics (Middle East conflicts)
• Carbon tax implementation
• Global warming policies

Q8: Will EV resale value be poor?

A: Currently actually better than gas cars

Data:

• Tesla Model 3: ~50% retention after 5 years
• Toyota Corolla Altis: ~50% retention after 5 years
• Luxury gas cars (Mercedes, BMW): ~35-40% retention after 5 years

But future may change:

• New EVs getting cheaper
• Old EV battery degradation
• Charging standard changes

🎯 Final Advice

Don't ask "Are gas cars or EVs better?"

Ask "Which suits my driving habits?"

Evaluation checklist:

• □ How far is my daily commute?
• □ How many long trips do I take per year?
• □ Do I have a fixed charging location?
• □ What's my monthly payment budget?
• □ How many years do I plan to keep it?
• □ Do I care about the environment?

There's no absolute answer, only the answer that's best for you.

📌 Action Steps

1. Calculate your numbers → GoalApp Gas vs EV Calculator
2. Compare 5-year total costs → See if the difference is acceptable
3. Evaluate charging convenience → Can you charge at home/office?
4. Make a decision → Use data, not guessing

Remember: No guessing, just calculating.

🔗 Further Reading

Want to learn more financial decision-making skills?

• Mortgage Prepayment vs Investment, Which is Better?
• New Youth Housing Loan: The Truth After Grace Period
• Installment vs Cash: How to Calculate Opportunity Cost?