End result: to date the project has saved my cash flow a net $7,500 more than it cost me. The monthly payment I make on the loan plus small power bill is less than what a normal power bill plus natural gas bill plus gasoline costs would be. I specifically engineered $850/month in power bill plus loan payment, what my energy costs plus car savings was in year 2019. That was the last Trump year before Covid distorted energy prices. Now that the EV is paid off my $850/month (minus power bill) is quickly paying off the loan, and saving my cash flow a lot. So the entire time, my budget has felt like it’s year 2019 without the last 7 years of inflation (at least the energy and transportation part of my budget). As the loan is paid down the minimum payment goes down, but I pay extra on the principal (again, my power bill plus loan payment always equals $850).
And when I say that it saves my cash flow, what that means is more money staying in our Roth IRA’s growing tax free. But I intentionally ignore that in my calculations as a way to add a little pessimism.
No one should try to replicate what I did unless he’s willing to do his homework like he’s a project engineer. I’m not talking about calculus. But I am talking about micro details.