Volkswagen: How owning an electric vehicle can help you reduce costs over the long haul

Electric vehicles like the Volkswagen ID.4 offer a lot of benefits to their owners, such as zero tailpipe-emission driving and home charging. But there’s often been questions about the cost of EVs, as battery technology remains slightly more expensive than combustion engines

Electric vehicles like the Volkswagen ID.4 offer a lot of benefits to their owners, such as zero tailpipe-emission driving and home charging. But there’s often been questions about the cost of EVs, as battery technology remains slightly more expensive than combustion engines.

The truth is that while those differences were once true, the cost of owning an EV has fallen in recent years. With Volkswagen building a global platform to support dozens of EV models worldwide, the ID.4 can offer all the benefits of a compact SUV at a price that’s within reach of a typical new-car buyer. And for many people in the market for a new vehicle, an EV offers several ways to potentially reduce costs while helping reduce carbon emissions.

“We want the ID.4 to be accessible to the average American family, with a package that has no compromises,” said Duncan Movassaghi, executive vice president of sales and marketing for Volkswagen of America. “We think this really works financially for our customers.”

Here’s three ways that EV owners typically reduce costs:

INCENTIVES

Under current law, purchasers of certain electric vehicles qualify for a federal income tax credit of up to $7,500 (See important limitations below[1]).

Subject to various limitations and qualifying criteria, state and local governments or other entities may also provide tax incentives or other benefits for certain EV buyers and lessees.[2] There are several websites that provide information on potential incentives in your area. If available, these incentives could reduce the purchase/lease cost of an EV or PHEV.

RECHARGING

Thanks to using electricity to get around, powering an EV can cost significantly less than filling up the average new gasoline-powered vehicle. For the ID.4, charging at home could cost on average about $58 per month less than driving a new vehicle the same distance. Over five years, that could add up to over $3,500 in fuel savings[3].

Beyond that, the Volkswagen ID.4 comes with three years of unlimited public DC fast charging on the Electrify America network at no additional cost[4], which offers 487 stations with more than 2,000 fast chargers nationwide, and more coming online soon.

MAINTENANCE

With fewer moving parts and fewer routine needs like oil changes, EVs generally can cost less to maintain over several years than combustion vehicles. The Volkswagen ID.4 will come with two years or 20,000 miles (whichever occurs first) of scheduled maintenance services through Volkswagen’s Carefree Maintenance program[5] to take care of routine items; beyond that, the ID.4 will have a four-year or 50,000-miles (whichever occurs first) bumper-to-bumper New Vehicle Limited Warranty[6] and an eight-year/100,000-mile (whichever occurs first) limited warranty on the battery pack[7].

All of these cost estimates above will vary based on your unique situation. It may take a bit of homework but depending on your particular situation the Volkswagen ID.4 might help you save some money and embrace electric driving at the same time.

DISCLAIMERS

[1] The anticipated Federal income tax credit shown is for informational purposes only. The ID.4 has not yet been certified as credit eligible by the IRS. This information does not constitute tax or legal advice. Any available credits apply only on the purchase of a qualifying vehicle and are not available in a lease transaction. All persons considering use of available tax credits should consult a tax advisor to determine eligibility based on their specific tax situation. Tax credits are subject to various limitations not within Volkswagen’s control and are subject to change without notice.

[2] Information provided through U.S Department of Energy Alternative Fuels Data Center for informational purposes only. Interested parties should independently confirm the accuracy of the information before relying on it to make a purchase. All persons considering use of available state/local/other incentives should consult a financial/tax advisor to determine eligibility. Incentives are subject to various limitations not within Volkswagen’s control and are subject to change without notice.

[3] Claim based on driving 15,000 miles per year using U.S. Energy Information Administration (eia.gov) data available at time of publication for average gasoline and kW-hr projected prices for 2021-2025 and average EPA new vehicle MPG of 27 for MY21 vehicles. Assumes home charging of ID.4. Actual savings, if any, will vary and depend on several factors including location, driving and charging habits, fuel price fluctuations, temperature and topography, accessory use, battery age, load, and vehicle condition.

4] Available on MY21 ID.4 vehicles. Non-transferable. Not available for commercial use, such as ridesharing. Requires Electrify America account, app, and acceptance of Terms of Use. After user-initiated charge session stop or vehicle reaches full charge, and 10-min grace period, Idle Fees will apply and user is responsible. In the event of suspected fraud or abuse or other unforeseen events, Volkswagen of America may discontinue or modify the offer in its sole discretion.

[5] Available on MY21 ID.4 vehicles. Non-transferable. Not available for commercial use, such as ridesharing. Requires Electrify America account, app, and acceptance of Terms of Use. After user-initiated charge session stop or vehicle reaches full charge, and 10-min grace period, Idle Fees will apply and user is responsible. In the event of suspected fraud or abuse or other unforeseen events, Volkswagen of America may discontinue or modify the offer in its sole discretion.

[6] 4 years/50,000 miles (whichever occurs first) New Vehicle Limited Warranty on most new MY2020 and 2021 VW vehicles. For vehicle eligibility details, visit vw.com/coverage. See owner’s literature or dealer for warranty exclusions and limitations.

[7] 8 year/100K miles (whichever occurs first) high-voltage battery limited warranty coverage on MY21 ID.4 electric vehicles. Battery capacity decreases with time and use. Warranty coverage may not return battery capacity to an “as new” condition with 100% net capacity. See owner’s literature or dealer for limited warranty details.

Source : automotiveworld