A Realistic Breakdown for Malaysian Drivers
Owning a car in Malaysia isn’t just about paying monthly installments — there are also yearly costs like insurance, road tax, servicing, fuel, and more. Here’s a practical breakdown of the true annual cost of car ownership to help you plan your budget better.
1. Monthly Loan Installments
If you purchase a car through a bank loan:
- Example: Proton Saga 1.3 Standard AT
- Price: RM40,000
- Loan: 90%, 7-year tenure
- Monthly repayment: approx. RM500
Annual cost: RM500 × 12 months = RM6,000
2. Insurance & Road Tax
Costs vary depending on vehicle type, engine capacity, driver age, and NCD (No Claim Discount):
- Insurance (without NCD): approx. RM1,200
- Road tax: RM90–RM200 (based on engine capacity)
Estimated annual total: RM1,300–RM1,500
3. Servicing & Maintenance
- Routine servicing (3–4 times/year): RM150–RM300 per session
- Other items: tyres, battery, brake pads (occasional)
Estimated yearly cost: RM600–RM1,200
4. Fuel
Depends on your driving habits:
- Average usage: 1,500 km/month
- Fuel efficiency: 6.5L/100 km
- Petrol price (RON95): RM2.05/litre
Calculation:
1,500 km × 12 months = 18,000 km/year
≈ 1,170 litres × RM2.05 = RM2,400 per year
5. Parking & Tolls
- Office or daily parking: approx. RM80/month
- Toll (commuting routes): approx. RM100–150/month
Estimated annual total: RM2,000–RM2,500
6. Other Expenses (Car Wash, Fines, Accessories)
- Car wash: RM10–15 each session
- Unexpected costs: minor repairs, traffic fines, wipers, etc.
Estimated annual cost: RM300–RM500
Estimated Total Annual Car Ownership Cost
Final Thoughts
Owning a car in Malaysia can cost around RM13,000 to RM15,000 per year, depending on your driving habits and vehicle type. Before buying, make sure you can not only afford the monthly repayments, but also the additional yearly expenses that come with ownership.
Read more:
Pay Car Insurance with Cash at 7-Eleven or KK Mart – Here’s How!
Buy Now Pay Later (BNPL) for Car Insurance – Worth It or Not?
What Is EPP (Easy Payment Plan)? How to Use It to Renew Your Car Insurance
