Automotive Fleet
MenuMENU
SearchSEARCH

Annual Survey Reveals Driving Cost Rankings By Cities

Average costs to own and run typical new compact-sized ears in 20 key U.S. cities soared 51 percent in the past two years reaching 47.3 cents per mile in 1981.

by AF Staff
May 1, 1982
5 min to read


Average costs to own and run typical new compact-sized ears in 20 key U.S. cities soared 51 percent in the past two years reaching 47.3 cents per mile in 1981. This is 16.1 cents more than the same driving in 1979, according to a report from Hertz. For the third year, Los Angeles led the list of high-cost driving locales, with a figure of 57.9 cents per mile (CPM). Detroit, on the other hand, was the least expensive of the 20 surveyed cities around the nation, with a cost of 41.9 CPM.

The geographic expense estimate again ranks New York City as the second most expensive spot in the nation in which to own and run an auto, with the typical new compact cost there totaling 56.6 CPM in 1981. San Francisco placed third among the top cities at 56.3 CPM, Miami fourth at 49.7 CPM, Chicago fifth at 48.5 CPM, Seattle sixth with 47.6 CPM, Denver was seventh at 46.6 CPM, Houston placed eighth at 46.53 CPM, St. Louis was ninth at 46.49 CPM and San Diego came in tenth with a cost per mile average of 46.73 cents.

Ad Loading...

Increases in vehicle purchase prices along with almost prohibitive interest rates on the money to buy the units accounts for most of the overall rise in the figures for both of the past two years, according to the study. The 43.7 CPM major-city average compares with the previously-reported nationwide average of 44.6 CPM, itself almost 50 percent above comparable 1979 costs for new car driving, which stood then at 29.8 cents per mile. The major city costs normally arc higher than the nationwide average because of higher sales taxes and insurance premiums.





1981 RANK/CITY

CENTS PER MILE

1980 RANK

CENTS PER MILE

1 Los Angeles

57.85

1

51.07

2 New York City

56.62

2

48.1

3 San Francisco

56.29

3

46.51

4 Miami

49.68

4

41.6

5 Chicago

48.54

5

40.36

6 Seattle

47.6

7

39.79

7 Denver

46.56

6

40.29

8 Houston

46.53

8

39.75

9 St. Louis

46.49

10

39

10 San Diego

46.37

9

39.69

11 Boston

46.34

17

37.51

12 Minneapolis

45.91

11

38.4

13 Milwaukee

45.85

12

38.22

14 Pittsburgh

45.71

15

37.97

15 Cleveland

44.97

16

37.65

16 District of Columbia

44.63

13

38.2

17 Dallas

43.58

14

38.11

18 Cincinnati

42.86

19

35.52

19 Atlanta

42.58

18

36.17

20 Detroit

41.95

20

35.32


Running from 11th to 20th place in the rankings were Boston (46.34), Minneapolis (45.93), Milwaukee (45.85), Pittsburgh (45.71), Cleveland (44.97), District of Columbia (44.63), Dallas (43.58), Cincinnati (42.86), Atlanta (45.85) and Detroit at 41.95 cents per mile, for the typical four year, 10,000 mile-a-year compact car usage.

Los Angeles' percentage rise was lowest of the 20 cities, up only 13.3 percent over 1979 costs, while Boston showed the biggest surge at 23.5 percent. Variations among the cities along with ranking changes usually stern from insurance, interest rate or sales tax rises at different times of the year.

CITY

SUBCOMPACT RATE (CENTS PER MILE)

SMALL/MIDSIZE (CENTS PER MILE)

FULL-SIZE (CENTS PER MILE)

Atlanta

31.98

44.96

48.85

Boston

34.8

48.93

53.16

Chicago

36.45

51.25

55.68

Cincinnati

32.19

45.25

49.17

Cleveland

33.77

47.48

51.59

Dallas

32.73

46.01

49.99

Denver

34.89

49.06

53.3

Detroit

31.5

44.29

48.12

District of Columbia

33.52

47.12

51.2

Houston

34.94

49.13

53.38

Los Angeles

43.44

61.08

66.36

Miami

37.31

52.46

56.99

Milwaukee

34.43

48.41

52.6

Minneapolis

34.48

48.47

52.57

New York City

42.52

59.78

64.95

Pittsburgh

34.33

48.26

52.44

St. Louis

34.91

49.09

53.33

San Diego

34.82

48.96

53.19

San Francisco

42.27

59.43

64.57

Seattle

35.75

49.98

54.31

20-CITY AVERAGE

35.55

49.98

54.31

NATIONAL AVERAGE

33.47

47.06

51.13

Insurance premiums are a critical factor and can alter estimated average costs by several cents a mile, so Hertz points out that "insurance shopping" can be as important as bargaining over the vehicle purchase price and seeking the lowest interest rates on loans. The expense estimates also include gasoline, oil and other service station items, maintenance, parts and repairs, licenses and fees and depreciation. Figures do not include parking and tolls, since these can vary widely even within the same city, but the report says that in major areas these items could add as much as 5 to 25 cents a mile to the basic totals.

The vehicle purchase price is a key factor in estimating total ownership and operating costs, since it influences the major fixed, or standing, charges of depreciation, insurance, interest rates and sales taxes. These elements add up to about three-quarters of total yearly outlays.

Ad Loading...

New compact model purchase \ prices in 1981 averaged $7694 for the typically-equipped units most motorists buy, including automatic transmissions, power steering, brakes and air conditioning. These prices ranged from an $8108 average in San Francisco to $7383 in Detroit. Most of the variation is in transportation charges, re­quired equipment and sales taxes. Insurance, license and fees per mile expenses ranged from 18.1 CPM in Los Angeles to 7.5 CPM in Dallas, with the 20-city average 10.6 CPM and the national average coming in at 9.1 cents per mile for these items. Interest costs ranged from 9.6 CPM in Los Angeles to 8.2 CPM in Washington, D.C. Maintenance was 3.9 CPM in San Francisco and just 2.4 CPM in Atlanta. Fuel and other service station items were 10.5 CPM in San Francisco and 8.6 CPM in Detroit.

Government figures estimate 1980 average auto mileage at under 10,000 miles, with a new estimate stating the average unit traveled 8224 miles in 1981, including fleet units. Other studies show that newer cars typically run about 50 percent more miles during the first year of operation than average, and about 50 percent less in their tenth year. In 1979, the costs of running an intermediate vehicle 10,000 miles per year for three years in 20 key cities was 37.98 cents per mile. In 1981, it was 54.06 cents per miles on average, up 42 percent in two years.

Subscribe to Our Newsletter

More Operations

Two employees pull opposite ends of a rope in a tug-of-war, illustrating workplace conflict and the leadership strategies fleet organizations use to improve communication and teamwork.
Operationsby Faith HowellJune 8, 2026

How to Manage Conflict for Your Fleet Operations

Conflict management is becoming a core leadership skill. Here are five strategies fleet leaders should know.

Read More →
wheel geotab image
SponsoredJune 1, 2026

Turning Connected Vehicle Data Into Decisions That Matter

Fleet leaders have more data than ever, but turning that data into clear, actionable decisions remains a challenge. This white paper shows how leading organizations are using connected vehicle data to improve safety, reduce costs, and optimize fleet performance. Learn how to turn insight into action across your fleet.

Read More →
A person holding a clipboard and writing on an inspection checklist beside the wheel of a large white vehicle, likely conducting a fleet or safety inspection.
SponsoredJune 1, 2026

Cameras, Safety and Insurance: From Reactive Claims to Real-time Prevention

Commercial auto remains one of the most challenging and costly lines of coverage for fleet operators and insurers alike. Learn more about how to effectively address these issues from Onur Aksan, Enterprise Business Development Executive, Geotab.

Read More →
Ad Loading...
fleetio coast pay
SponsoredMay 29, 2026

Are You Tracking Your Fleet's True Total Cost of Ownership?

Bobit Business Media surveyed 190 fleet professionals and found that while most fleets are tracking costs, fragmented systems and data gaps are keeping true TCO visibility out of reach. With rising pressure to control spend in an increasingly volatile environment, the gap between what fleets think they know and what the data actually shows is wider than you might expect. See how your peers are managing costs today and where the industry still has room to improve.

Read More →
Promotional graphic for a fleet management whitepaper titled “From Data Overload to Decisive Action: 5 Steps to Drive Smarter Fleet Decisions.” The design features a row of white commercial fleet vans, blue and lime-green branding, and supporting text about using telematics data to improve fleet performance, driver behavior, safety, and operational decision-making. A highlighted quote reads, “The challenge is no longer collecting data. The challenge is using it effectively.” The Utilimarc logo appears at the bottom alongside the website URL.
SponsoredMay 28, 2026

Turn Fleet Data Into Smarter Decisions

Fleet leaders have access to more operational data than ever, but disconnected systems and unclear metrics often slow decision-making instead of improving it. This article outlines five practical steps fleets can take to transform fragmented data into actionable insights that improve planning, safety, utilization, and long-term performance.

Read More →
SponsoredMay 15, 2026

Hybrids: Electrification Without the Challenges

For fleet managers, fuel is one of the biggest line items in the budget — and it's one hybrids can shrink without changing how your people work. Download the eBook to see the numbers, understand the technology, and get a step-by-step guide to making the switch.

Read More →
Ad Loading...
Man speaking during an Automotive Fleet interview beside text reading “The 60% Driver Improvement Nobody Expected!” with blue motion graphics background.
Operationsby Chris BrownMay 14, 2026

How NOV Uses Telematics to Improve Fleet Safety Across 160 Locations

James Victory of NOV discusses how the company manages fleet safety, maintenance, and telematics across more than 150 locations supporting oilfield operations throughout the U.S.

Read More →
A graphic with Ford Pro's Steven Sanstostasi's headshot on it representing the Fleet Meets series.
Operationsby Faith HowellMay 14, 2026

Fleet Meets: Steven Santostasi

This edition of the Fleet Meets series features Steven Santostasi, the current TSP channel manager for Ford Pro.

Read More →
Cover of a whitepaper titled “The Hidden Costs of Departmentally Assigned Vehicles on Your Fleet” featuring a black fleet vehicle driving on a road at sunset. Subheadline reads: “Discover how your fleet can reduce costs and minimize risk by implementing vehicle sharing.” The document focuses on fleet optimization, vehicle sharing, cost reduction, utilization tracking, and risk management for fleet operations.
SponsoredMay 13, 2026

Why Fleet Managers Are Replacing Departmental Vehicles with Shared Motor Pools

Departmentally assigned vehicles often create hidden costs through underutilization, poor visibility, and increased administrative burden. This white paper explores how shared motor pool strategies help fleets reduce costs, improve accountability, and optimize vehicle utilization.

Read More →
Ad Loading...
Three team members in shop with Chris
Operationsby Chris BrownMay 12, 2026

Soap Box Derby Challenge: Assembling the Crew

Meet Gabriel, Matthew, and Angel — the team helping bring this soap box derby build to life.

Read More →