Thinking of Buying an Electric Vehicle? Our Checklist Could Help You Decide.

Electric vehicles are everywhere now, and for good reason. Battery electric vehicles (commonly known as EVs or BEVs) can save their owners as much as $1,500 annually on fuel costs, according to the Great Plains Institute, and cost $330 less per year for routine maintenance, according to Greencars.com.

The federal government has goals of making half of all new vehicles sold in the U.S. ‘zero-emission’ by 2030 and installing a national network of 500,000 public charging stations. Several automakers have joined together to spend $1 billion to build 30,000 charging stations throughout North America. With so much investment in the future of the auto industry, EVs are surging in popularity, and manufacturers are striving to meet the demand with stylish looks and innovative technology that has inspired a blizzard of preorders.

Still, even with the potential savings and allure, it can feel like a big decision to switch to something markedly different.

The differences, though, have a significant impact on climate change. Fueleconomy.gov reports that every gallon of gas our cars burn releases 20 pounds of greenhouse gasses (GHGs) into our atmosphere – that’s five to nine tons per vehicle yearly! Worse, the fluctuating price we pay at the pump pays the oil companies’ multi-billion-dollar quarterly profits.

If you’d like to reduce your contribution to the fossil fuel industry’s enormous profits and being a hostage of its price fluctuations, it’s time to cut ties for good. An EV purchase can do that, plus significantly reduce your household’s GHG emissions and save money on fuel and maintenance.

The two types of EVs that are readily available and eligible for tax credits are plug-in hybrids and fully electric. A plug-in hybrid runs on an electric battery for up to 40 miles until it’s drained before switching to the gas engine. Most models have a regenerative braking system that replenishes the battery while driving. Plug-in hybrids are perfect for people who live near work or school and typically drive less than 50 miles per day.

Fully electric cars don’t use any gas and have no tailpipe emissions, making them exempt from emissions testing. They have fewer moving parts to maintain, use regenerative braking, and have a much longer range of around 200 miles when fully charged.

Both types of EVs need to charge up to several hours, so buyers should know their options. People who live in apartment or condo buildings should learn if they have onsite or nearby charging stations. Plug-in hybrids and some fully electric cars need a standard (level 1) 120-volt outlet, while other fully electric cars require a (level 2) 240-volt outlet. Installing a 240-volt outlet in a home can be costly for parts and labor and is eligible for federal — and possibly state — tax credits. Public charging stations require apps or RFID cards to purchase kilowatts.

The Inflation Reduction Act clean car tax-credit rules changed in 2022 and 2023 to ensure that final assembly takes place in North America, creating more jobs for the U.S. and its closest trading partners. The batteries must meet critical mineral requirements, and their components must be American-made for new EVs placed in service (delivered) after April 18, 2023. As a result, new battery and computer chip plants are opening in the U.S. Batteries that meet the requirements qualify for the $7,500 tax credit. There’s even a $4,000 credit for pre-owned EVs and another credit for installing home charging stations. Buyers can research which cars and batteries are eligible for full or partial tax credits and check the VIN of the cars they’re considering.

Once you’ve narrowed your choices, prepare for a slightly different shopping experience. Reading online reviews will help you find knowledgeable dealerships. Some manufacturers sell directly from showrooms, and the buyer completes the transaction online, while online-only dealers sell and deliver cars with a return policy.

Finally, an EV’s lifespan can range from 10 to 20 years, making them comparable to cars with a gas engine. Some manufacturers warranty their batteries for eight years and others for 10 years or more. Buyers can rest assured that with excellent care and attention to best charging practices, their EVs should last at least a decade.