August 31, 2005
With gasoline prices soaring, drivers across the country are searching for ways to minimize the cost of getting to and from work. According to the latest analysis by Runzheimer International, the Wisconsin-based vehicle costing expert, a typical commuter could save nearly $900 annually in gasoline expenses by traveling with one other rider, and up to $1,305 annually as a result of commuting with three.
The analysis which reflects a typical commuter situation is based upon gasoline expense of $2.90/gallon, a standard 4-door sedan that obtains 20 miles-per-gallon, and a round trip commute of 50 miles; the time period covered is 20 work days per month over a 12-month period (See Table).
Projected Car Pool Savings for Typical Driver*
| # of People in Car Pool |
Cost Per Person |
Car Pool Cost Savings |
| 2 |
$ 870 |
$ 870 |
| 3 |
$ 580 |
$ 1,160 |
| 4 |
$ 435 |
$ 1,305 |
* Commuting details follow:
Total Daily Miles: 50; Total Work Days/Month: 20; Number of Months: 12; Per Gallon Gasoline Cost: $ 2.90; Gas Mileage of Vehicle: 20/mpg; Total Annual Gasoline Cost for Driver: $ 1,740
"Generally this time of year we experience higher gasoline prices through the Labor Day weekend and then a leveling off of prices as the summer driving season comes to an end,” states Lee Czarapata, Director of Client Relations - Business Vehicle Services, at Runzheimer International. “The current situation, however, is far from typical. In the last few days alone, unprecedented increases in gasoline prices have occurred across the country - in some areas as high as 50 cents per gallon - as a result of the damage to numerous refineries and pipelines in Mississippi and Louisiana caused by Hurricane Katrina.”
Czarapata continues, “Industry experts and consumers alike are bracing themselves for even higher prices. Since many budgets can’t accommodate a huge increase in gas expenses, there is a high likelihood that changes will occur in the daily driving patterns of Americans, particularly relating to how they travel to work. With these higher prices for individual drivers, the cost savings of gasoline – as well as those of maintenance, tires, and parking – make the benefits of car pooling more significant.”
About Runzheimer International
Founded in 1933, Runzheimer International serves 60 percent of the Fortune 500. Recognized for providing innovative solutions relating to employee mobility, Runzheimer is a global leader in nontaxable employee-provided business vehicle reimbursement programs, employee compensation and relocation, and travel management.
For more information, contact Luella Dooley at Runzheimer International, Runzheimer Park, Rochester, Wisconsin 53167, (262)971-2277, ljd@runzheimer.com, www.runzheimer.com.
