How much cheaper is cycling than driving?
I commute by bike around 8,000-10,000 km per year and based on my book keeping it is at about 1/5th (or less) the cost of running a car.  After accounting for paying for the bike (i.e., devaluation) and maintenance (e.g., consumables such as chains, tires, etc), and under the working assumption that I will sell and buy a new bike in 5 years time. I projected the total cost of ownership on a per month basis about $136.  By comparison the Canadian Automotive Association suggested running compact car will cost you about $735 per month after insurance, fuel, devaluation and maintenance.

As an aside, an interesting tidbit on bicycle cost of ownership was that consumables cost 3x as much as the cost of bike devaluation once you amortize over 5 years.


  NOTES 
  
  All calculations are in Canadian Dollars and Local Bike Shop prices.  Clothing has not been included, nor has food costs.
  
  Feel free to change or modify the Google Spreadsheet as these calculations are for the higher end of the commuter spectrum.


Bicycle cost of ownership

This cost break down is for a higher end commute bike with high quality racks, fenders and lights (vehicular quality due to the need to ride at night down unlit paths).  These calculations assume the bike will be sold and replaced after 5 years of loyal service.

Below is a photo of the bike  used to derive the cost calculations. It is pictured carrying a full load that includes work cloths, shoes, change of bike cloths, rain gear, computer, various papers, and food for the day. 



1) Fixed Costs

These are the costs of buying a new bike and adding all the necessary components to make it a proper transportation machine, then the amount of money lost due to devaluation over the 5 year period.

Full purchase price

This was for a steel "all roads" road/touring bike that could take racks.  Because most bikes in North America are sold naked, metal fenders and good racks along with "vehicular quality" lights were added to make this a complete bike.  This put the total coast at $3230



Devaluation

After 5 years the bike (and all components) will be sold for approximately 40% of its original cost due to the higher devaluation in bicycles relative to cars.  This gives us a devaluation cost of around $406 per year or $33.83 a month!



2) Variable Costs / Consumables

These costs will depend on how much you ride and under what types of conditions you ride in. These costs are for a temperate rain forest where 30-40% of the riding is on dirt roads or paths which wears parts faster. Replacement mileages are on my records and are averages rounded to the nearest 500 km.  Some are conservative estimates and have been indicated as such.

For the riding I do the cost in consumables is about $103 per month.



3) Final Costs

Just add (1) and (2) to derive the final cost.  On a monthly basis it will be about $136.41, compared to $735 for a compact car.  This is about 18.5% of the cost of vehicle ownership, i.e. the total costs of riding a bicycle per unit-distance are roughly 1/5th the total costs per unit-distance of driving a car.