By MoneyBees
Is it cheaper to take Grab, Gojek or another ride-hailing app than to own a car in Singapore? Enter your trips and average fare, then the car you would buy. See both monthly costs side by side and the number of trips a month at which the car starts to pay off.
Two rides each working day is about 44 a month.
Total your app's ride history for a month and divide by the rides.
Late nights, rain, heavy shopping.
Over S$20,000, you can borrow at most 60%; otherwise 70%.
Car loans run up to 7 years.
Ride-hailing a month
$800
40 rides at $20
Car a month
$1,898
with depreciation and interest
MRT, bus and a few rides
$280
8 rides a month
Break-even rides
95 a month
at $20 a ride
At 40 rides a month, ride-hailing costs less, by $1,098 a month or $13,172 a year.
The car only pays off once you take more than 95 rides a month at $20 each. Its cost barely moves with how much you drive, while every ride adds to the app bill.
Taking the MRT and bus for most trips and 8 rides a month would cost about $280.
While the loan runs, the car takes $1,797 a month in cash, plus $52,000 down on day one.
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| Rides a month | Ride-hailing | Car | Cheaper |
|---|---|---|---|
| 10 | $200 | $1,898 | Ride-hailing |
| 20 | $400 | $1,898 | Ride-hailing |
| 40 | $800 | $1,898 | Ride-hailing |
| 60 | $1,200 | $1,898 | Ride-hailing |
| 80 | $1,600 | $1,898 | Ride-hailing |
| 100 | $2,000 | $1,898 | Car |
| 120 | $2,400 | $1,898 | Car |
At your average fare of $20 a ride, against the car you entered.
| Cost | A month |
|---|---|
| Depreciation (price less end value, spread over the years) | $1,083 |
| Loan interest (spread over the years) | $127 |
| Petrol | $200 |
| Insurance | $125 |
| Parking | $200 |
| Servicing | $100 |
| Road tax | $62 |
| Total | $1,898 |
Road tax uses LTA's formula for a petrol car by engine size. ERP, tolls and repairs are not included.
Say you buy a S$130,000 car with an OMV of S$25,000. MAS lets you borrow 60%, so S$78,000 at a 2.8% flat rate over 7 years costs S$15,288 in interest. Over 10 years with nothing back at the end, depreciation and interest come to S$1,211 a month. Running it adds S$687 a month, from petrol to road tax. All in, about S$1,898 a month.
At S$20 a ride, that pays for 95 rides a month. Two rides each working day is about 44, which costs S$880, so the app works out about S$1,018 a month cheaper. If you also ride most evenings and weekends, the gap closes fast.
For most people who ride a few times a day or less, yes. A S$130,000 car kept 10 years costs about S$1,900 a month once you count depreciation, interest and running costs. At S$20 a ride, that buys about 95 rides a month, far more than most people take. Your own trips and fares decide it.
Divide the car's monthly cost by your average fare. At S$1,900 a month and S$20 a ride, the break-even is 95 rides. At S$15 a ride it is 127. Below that number, ride-hailing costs less; above it, the car does.
It depends on the price, the COE and how long you keep the car. A S$130,000 car with nothing back after 10 years loses S$1,083 a month in value alone, before interest and running costs. The cost of owning a car calculator breaks it down.
The instalment stops when the loan ends, but the car keeps losing value until its COE runs out. Spreading the price less what you get back over the years you keep it gives the real monthly cost. The page also shows the monthly cash you pay while the loan runs.
It changes trip by trip, because each app prices by demand, time and distance. This calculator does not compare the apps. Check both for the trips you take most often and use your real average fare.
No. ERP, tolls, repairs and traffic fines are left out. Add them to parking if you drive through ERP gantries often. The ERP calculator can estimate a month of charges.
MAS caps car loans at 70% of the purchase price if the OMV is S$20,000 or less, and 60% if it is above. The loan can run for at most 7 years, so you need the rest in cash.
It can be for a few long trips a month, since you pay by the hour and distance. Our guide on car sharing vs Grab and taxis compares the costs.
These calculators provide general estimates for educational purposes only and are not personalised financial advice. Results may rely on rates and rules that change over time, so verify against official sources (IRAS, CPF Board, HDB, MAS) or consult a licensed financial adviser before making decisions.
Junxiong-WFG Organisation is an authorised representative of AIA Financial Advisers Private Limited (Reg. No. 201715016G).