Most drivers underestimate the real costs of running their car, according to the latest study by the Economic and Social Research Institute.
It surveyed a nationally representative sample of more than 800 motorists across Ireland.
The majority of participants (72%) underestimated their annual motoring costs "by a substantial amount".
They were first asked to give their figure indicating how much they personally spent on owning and running their car (that excludes vehicle purchase and depreciation).
The median estimate was €2,000 per year. However, actual costs added up to almost €3,000, or 50% higher that the estimate.
Fuel was the largest single reported expense, with a median annual cost of €1,560.
Other expenses included insurance, motor tax, parking, tolls and maintenance.
The annual cost also hugely depends on a vehicle type, researchers found.
Drivers of electric vehicles reported annual running costs close to half those of drivers of petrol or diesel cars, the ESRI said.
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Owning an EV costs around €1,560 per year, compared with €2,715 for petrol cars and €3,546 for diesel cars.
"These findings show that most motorists are not aware of how much their car costs them each year," said Dr Shane Timmons, Senior Research Officer at the ESRI and co-author of the study.
"When people think about motoring costs, they focus on the most visible expenses, especially fuel, but overlook other costs that add up over time," he said.
Dr Timmons added that improving awareness of the full cost of car ownership could "help people make more informed transport decisions".
Motorists facing higher insurance costs after clocking up penalty points
New figures show that the half a million motorists in Ireland with three or more penalty points on their licence could be paying an additional penalty of hundreds of euro in the form of higher motor insurance premiums.
Car insurance provider OUTsurance said that analysis of official data for the first half of 2026 shows that 387,028 drivers here hold exactly three points, representing the vast majority of all penalised drivers.
Just over 1,000 are on 12 points which is the mandatory threshold for disqualification and just over 900 are on 11 points, just one offence from being put off the road.
Ian Kennedy, Chief Marketing Officer of OUTsurance, said that insurers look at a whole range of factors when they are working out a person's premium, and penalty points are up there as a significant consideration.
He also said it is not just how many points a person has but the type of offence and what kind of licence they hold as well.
"As a general rule of thumb, the more points on your licence, the more you're likely to pay," he added.
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