Monday, April 25, 2011

How One Bad Driving Habit Can Cost You $600 A Year

I drive on a divided highway most of my way to work. It is about a 22 mile drive one-way, with a speed limit ranging from 55 mph to 65 mph for most of it.

I’ve always been surprised at the number of speeders and dangerous weavers on this road, and I often have to try very hard to not take it personally when other drivers jeopardize my safety. I know, it is easy to get behind the wheel and only think of yourself – i.e. “I have to be to work by 8:00 AM”, or “I hate waiting for traffic”, etc.

But not only is this driving dangerous, it is extremely wasteful

I think most people know that jack-rabbit starts are terrible for fuel efficiency. But the one area that people don’t often think about is how speeding impacts fuel performance.  In fact, it can cost you $400 to $600 in an average car, and much more if you drive a truck or SUV!

Most cars run at their optimal efficiency in the 40-60 MPH speed range. In fact, most cars peak at about 55 MPH. Any speed faster and you’ll see a decrease in performance. Go much faster than 65 MPH, and the efficiency performance rapidly drops off.

Consider the Cost

The average car on the road in the USA gets about 25 mpg on the highway, and the average car sold in 2010 gets about 32 mpg on the highway. Lets use these two average mpg ratings and my 44 mile commute as an example.

The 25 MPG Average Car
Assuming $3.20 gas:
Drive 65 MPH instead of 80 MPH: save $620 a year
Drive 65 MPH instead of 75 MPH: save $430 a year

Now imagine if gas prices hit $4 per gallon - those numbers change to $800 and $530!

The 32 MPG Average 2010 Car
Drive 65 MPH instead of 80 MPH: save $475 a year
Drive 65 MPH instead of 75 MPH: save $330 a year

If gas prices hit $4 per gallon - those numbers change to $600 and $420!

Of course, the price you pay by slowing down is losing 5 - 7 minutes a day. Assuming the worst (7 minutes) over 240 commute days a year, gaining back that $800 dollars is like paying yourself $28.50 per hour - not a bad wage.

What About an SUV?

OK, I had to test a worst case - what if you drive an SUV? The average 2010 SUV gets about 18 mpg on the highway - older ones are worse.  I'm not one for hyperbole, so I'll stick with the 2010 average.

The 18 MPG Average 2010 SUV
Drive 65 MPH instead of 80 MPH: save $850 a year
Drive 65 MPH instead of 75 MPH: save $600 a year

If gas prices hit $4 per gallon - those numbers change to $1070 and $750!

For more custom calculations, check out www.mpgforspeed.com.

 

A Lifetime of Savings

My numbers above consider a year with a 22 mile one-way commute. Some people have longer commutes, and some shorter; some people drive in traffic and don't have the option of speeding. Regardless, this provides an idea of what can be saved.

Now consider these numbers over a lifetime. Lets be conservative and say that you can save $350 a year. A 45 year working career translates to almost $16000 of savings over your life. At a conservative 5% interest rate, a $350 annual investment would be $59,000 at the end of your 45 year career!

Moral Of The Speeding Story

If you slow down, you will:
  • Have more time to react to other drivers
  • Reduce dependence on foreign oil
  • Reduce greenhouse emissions
  • And save A LOT of money 

1 comment:

  1. Quick note: I wrote this article about 3 months ago, and just now published it. Obviously, in that time between writing this and publishing it, the "what if gas hits $4" has become a reality.

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