Did you know new requirements for federal tax credits for electric vehicles (EVs) are taking effect across the U.S. this week? Qualifying individuals may claim a federal tax credit of up to $7,500 for new vehicles that meet critical mineral and battery component sourcing requirements. These new requirements went into effect on April 189, 2023. A credit of up to $4,000 may also be claimed for eligible used vehicles. A provision of 2022’s Inflation Reduction Act, these federal tax credits are available through 2032. With incentives like this and growing EV infrastructure in the U.S., it’s becoming easier than ever to buy and operate an EV. If you or your household are considering making the switch, here are some questions to ask to identify the best road to EV ownership for you.

Why Choose an EV? 

EVs can benefit the environment and your wallet. They create fewer climate-warming greenhouse gases than gas-powered vehicles, reducing your environmental impact from driving. They also contribute to better local air quality for you and your community. And that’s not all—the return on investment from buying an EV is sizeable. Thanks to reduced fuel and maintenance costs, EV owners can save $6,000 to $10,000 over the lifetime of their car.  

What Is Your Budget? 

The different models of battery EVs and hybrids come in a range of price points, and the upfront costs of some EV types have gone down over time. Keep in mind the return on investment: overall lifetime costs of EVs can be less than half of those for gas-powered vehicles. You can use fueleconomy.gov’s comparison tool to weigh the costs and savings of different vehicles. 

There may be financing options, rebates, and incentives for your EV purchase. Ask your dealership if they have any available incentives.

Which EVs Qualify for Incentives?

Federal tax credits can also offset some of the upfront costs of an EV: check the Internal Revenue Service’s Credits for New Clean Vehicles and Used Clean Vehicle Credit webpages to see if you qualify or find a list of eligible vehicles on the Department of Energy's site.

Which Type of EV Is Right for You?  

Consider whether you want an EV that runs solely on an electric battery, or a hybrid vehicle that uses both battery power and traditional gasoline. Since hybrid cars can use gasoline, they don’t require as much planning around charging stations if you go on a lot of long road trips. Hybrids can also be less expensive than fully electric vehicles.  

On the other hand, battery EVs are even better for the environment, as they don’t use any gasoline. Even taking into account the emissions from electricity production used to power the vehicle and energy used to manufacture EV batteries, battery EVs create fewer greenhouse gas emissions than the average gas-powered car. Battery EVs also have additional lifetime cost savings, as you don’t have to pay for gasoline at the pump. While electricity costs money, charging an EV is usually not as expensive as gasoline.

Once you’ve decided which type of EV could work best, start narrowing down which car model fits your needs. Do you need something that seats a lot of passengers? Roomy cargo space? From sedans to pickup trucks, there are many different types of EVs on the market today.

How Much Range Do You Need? 

When selecting your car, think about how far you and your household will drive on a normal day. Do you have a long commute, drive your children to school, or make a lot of trips in a day? Most EV batteries can go about 200 miles on a full charge, but the range varies from 100 to 400 miles depending on car model and battery size. Weather, speed, and other factors can also impact range. However, EVs don’t use much power when at a standstill, like when you are stuck in traffic. An EV driver who was stuck in the I-95 shutdown of 2021 for 16 hours only used 13% of their battery!

Where Will You Charge? 

Note the options available to charge your EV. Check if your neighborhood has chargers installed. If not, you may be able to install a charging station in your home or community for easy charging overnight (this requires permits and fees through Fairfax County Land Development Services). There are also about 200 publicly available commercial chargers throughout Fairfax County—find stations near you using the U.S. Department of Energy’s interactive locator map.  

What Else Should You Consider? 

• Check if the manufacturer has any special offers for owners, such as free EV charging sessions or rental rates for gas-powered vehicles for long trips.  

• Ask your dealership what warranty coverage looks like, and whether there are any significant advancements anticipated for next year’s model.  

• Locate a mechanic who is familiar with EVs for any routine or urgent maintenance needs. Like all vehicles, it’s important to keep an EV maintained.  

Get More Guidance 

Visit our Electric Vehicles webpage to learn more about different types of EVs, charging options, permitting requirements, and other resources. Check out our Myth v. Fact: Electric Vehicles resource for more EV facts (and to bust common EV myths).