The short answer (after the credits expired)

The federal $7,500 new-EV credit (Section 30D) and $4,000 used-EV credit (Section 25E) both ended for vehicles acquired after September 30, 2025. If you are shopping in 2026, do not subtract those amounts from the sticker. Some states and utilities still offer rebates; those are local, income-capped, and often run out of money.

Without the federal credits, the five-year math is less automatic. Fuel and maintenance still favor the EV if you charge at home. A used EV that has already taken a big depreciation hit can still beat a comparable used gas car. A new EV usually starts several thousand dollars above a Civic/Corolla rival, and five years of juice-and-brakes savings (~$5,000 in the national-average case below) may not close that gap unless electricity is cheap or you get a state incentive.

Scenario 1: New compact sedan — EV vs. gas

Compare a new compact EV (Hyundai Kona Electric, Chevrolet Equinox EV, Tesla Model 3, or similar) to a new gas compact (Honda Civic, Toyota Corolla). Typical 2026 stickers: EV around $35,000–$42,000; gas around $28,000–$32,000. There is no $7,500 federal credit to shrink that gap. You start $7,000–$10,000 behind on the EV in many pairings.

Fuel over 5 years (15,000 miles/year): At a national average of about $2.95 per gallon and 30 mpg, the gas car burns 2,500 gallons — about $7,375. For the EV, at 3.5 miles per kWh and the U.S. residential average of about 18¢/kWh, you use roughly 21,400 kWh — about $3,850. EV fuel savings: ~$3,525 over 5 years.

Maintenance: EVs skip oil changes, need fewer brake jobs (regenerative braking), and have no exhaust or transmission fluid. Industry estimates put 5-year maintenance for a compact EV at roughly $2,200–$2,600 vs. $3,800–$4,500 for the gas car. Call it ~$1,500 saved on maintenance with the EV.

Combined, fuel and maintenance savings are about $5,000 — not enough, on national-average rates, to offset a $7,000–$10,000 purchase gap. The new EV can still win where gas is expensive (California), home electricity is cheap, you drive more than 15,000 miles a year, or a state rebate applies. It is no longer the default winner just because “there's a $7,500 credit.”

Scenario 2: Used EV vs. used gas (no $4,000 credit)

Used EVs have depreciated sharply. A 2–3 year-old electric sedan or crossover often sells for $24,000–$30,000 with no federal credit to knock $4,000 off. A comparable 2–3 year-old gas sedan might run $20,000–$23,000. The used EV can still be the better five-year car if the price gap is modest and you charge at home — fuel and maintenance savings of ~$5,000 over five years will cover a few thousand of extra purchase price. It will not cover a $8,000–$10,000 premium for a used Tesla vs. a Camry unless you love the car for other reasons.

Battery risk is the used-EV wild card. Replacement out of warranty can run $8,000–$22,000. Before you commit, run the used EV checklist: state of health, remaining warranty, and transfer rules. Do not let a listing advertise a $4,000 federal credit on a 2026 purchase.

Scenario 3: When the EV loses

The EV advantage shrinks or disappears in a few situations. Electricity cost: In states where residential rates are 30¢/kWh or higher, 5-year charging costs can approach or exceed what you'd spend on gas in an efficient gasoline car. Mostly fast charging: DC fast charging often runs 40–50¢/kWh or more; if that's the bulk of your charging, your “fuel” bill looks more like a gas car's. Low mileage: If you drive only 6,000–8,000 miles a year, fuel savings are smaller and will not offset a higher purchase price. No state incentive, new EV: Without 30D/25E, the upfront gap between a new EV and a new gas compact is the whole gap.

Bottom line

In 2026, a used EV with a healthy battery and a small price gap to gas is still often the cheapest five-year option. A new EV without a state rebate needs cheap home charging, high mileage, or expensive local gas to catch a Civic/Corolla over five years. Run your own numbers with your electricity rate and miles — and treat the expired federal credits as history, not a line item.

Sources: IRS (Sections 30D and 25E not available for vehicles acquired after Sept. 30, 2025); EIA (residential electricity prices, gasoline); industry TCO and maintenance studies (e.g. DOE, Consumer Reports, Recurrent).