Skip to content
Canada · 2025

Car Depreciation Calculator

Calculate how much your car will depreciate over time. See future value and total loss.

Last reviewed: 14 January 2026Source: DVLA / HMRC fuel advisory rates
Car Depreciation Calculator · CACar & Transport

Value After {years} Years

CA$12,282.50

Lost

CA$7,717.50 (38.59%)

Rates & sources

DVLA, HMRC fuel advisory rates and manufacturer-published figures. Real-world results vary by driving style.

Source: DVLA / HMRC fuel advisory rates — figures refreshed at the start of each tax year.

When to use this calculator

  • When you need a fast estimate before making a bigger decision.
  • When you want to compare a few scenarios using the same assumptions.
  • When you need a clearer starting point before using a detailed quote or formal document.
  • When you want to sanity-check a figure you have seen elsewhere before you rely on it.
  • When you are preparing for a conversation with an adviser, supplier, or lender and want to arrive with realistic numbers.

A realistic Canada planning example

Use these sample inputs as a quick scenario test, then change one variable at a time to compare outcomes.

Current Value (CA$)

CA$1,400

Annual Depreciation (%)

5%

Years

25 years

After entering these figures, review value after {years} years and lost together rather than in isolation — each metric tells a different part of the story. Then rerun the tool with one input adjusted to see which variable has the biggest effect on all three outputs before you settle on a plan.

How to read your results

Value After {years} Years

Use this metric to compare scenarios side by side and understand how changes in the key inputs drive the final outcome. If the figure surprises you, isolate one variable at a time and rerun the calculation to identify which assumption is responsible.

Lost

Use this metric to compare scenarios side by side and understand how changes in the key inputs drive the final outcome. If the figure surprises you, isolate one variable at a time and rerun the calculation to identify which assumption is responsible.

Method & assumptionsAuthoritative sources

This calculator estimates how much value your car is likely to lose over time using a declining-balance depreciation model, which more accurately reflects real-world used car pricing than a simple straight-line approach. You enter the purchase price, estimated annual depreciation rate, and the number of years you plan to own the car. The calculator does not factor in mileage, condition, regional market variations, or sudden shifts in demand (such as those affecting diesel cars after emissions regulations tightened). Treat the result as a planning guide rather than a precise valuation. For a current market value, tools such as CAP HPI or Parkers provide data-driven used car pricing specific to your registration.

Common mistakes

  • !Using optimistic assumptions without testing a more cautious scenario as well.
  • !Comparing outputs from different tools without checking that the inputs match.
  • !Treating the result as a final quote instead of a planning estimate.
  • !Rounding inputs too aggressively, which can produce an output that is noticeably different from your actual situation.
  • !Stopping at a single run of the tool rather than adjusting the key variable up and down to understand the range of plausible outcomes.

What to do next

  • Try at least one more scenario so you can compare a realistic range instead of a single estimate.
  • Use the related calculators below to cross-check the decision from another angle.
  • Open one of the linked guides if you need more context before you act on the result.
  • Write down the key outputs from your best two or three scenarios so you have something concrete to compare when you make the final decision.
  • If the result surprises you, change one input at a time to isolate which variable is driving the outcome before drawing conclusions.

Frequently asked

Most cars lose 15–25% of their value in year one and around 10–15% per year thereafter. After 3 years a new car may be worth 40–50% of its original price.

Use arrow keys to navigate items, Enter or Space to expand/collapse.