1. What is Wear And Tear Cost Per Km?

Wear and tear cost per km is a calculation that helps vehicle owners in the Philippines understand the ongoing costs associated with operating their vehicle. It includes depreciation (loss of value over time) and maintenance expenses divided by the total distance traveled.

2. How Does the Calculator Work?

The calculator uses the wear and tear cost formula:

Where:

• \( \text{Depreciation} \) — Vehicle value loss in Philippine Pesos (PHP)
• \( \text{Maintenance} \) — Total maintenance costs in PHP
• \( \text{Total km} \) — Total kilometers driven

Explanation: This calculation helps vehicle owners understand the true cost of operating their vehicle beyond just fuel expenses.

3. Importance of Wear And Tear Cost Calculation

Details: Calculating wear and tear costs is essential for budgeting vehicle expenses, determining fair rental or sharing rates, and making informed decisions about vehicle usage and replacement.

4. Using the Calculator

Tips: Enter depreciation and maintenance costs in Philippine Pesos (PHP), and total kilometers driven. All values must be valid (non-negative numbers, km > 0).

5. Frequently Asked Questions (FAQ)

Q1: What should be included in depreciation?
A: Depreciation should include the difference between purchase price and current/resale value of the vehicle.

Q2: What maintenance costs should be considered?
A: Include all routine maintenance (oil changes, tires, brakes), repairs, and scheduled service costs.

Q3: How often should I recalculate this cost?
A: It's recommended to recalculate every 3-6 months or after significant maintenance expenses.

Q4: Does this include fuel costs?
A: No, this calculator specifically focuses on wear and tear costs. Fuel costs should be calculated separately.

Q5: Is this calculation specific to Philippines vehicle costs?
A: Yes, this calculator is designed for vehicle owners in the Philippines, using Philippine Pesos as currency.