Car Depreciation Calculator
Estimate a car's future value after years of depreciation at a fixed annual rate.
Value after period$13,311.16
Total depreciation$16,688.84
Value retained44.4%
Future value = purchase price × (1 − rate ÷ 100)^years, applying the depreciation rate to the remaining value each year (declining balance). A $30,000 car losing 15% a year is worth 30,000 × (1 − 0.15)^5 = 30,000 × 0.4437 ≈ $13,311.16 after 5 years — a loss of about $16,689, having retained ≈ 44.4% of its value. New cars often depreciate fastest in the first year.
Educational estimate only — not professional advice.
Questions
How is car depreciation calculated?
Each year the car loses a percentage of its current value, so future value = price × (1 − rate)^years. A $30,000 car depreciating 15% a year is worth about $13,311 after 5 years.
How fast do cars depreciate?
Many cars lose 15–20% of their value per year, with the steepest drop in the first year. Mileage, condition, brand and demand all affect the actual rate.