If you are a self-employed, or you’re prepared to put in some hours on your spare time, then you can have a Tesla Model S for free.
Now, don’t get too excited, you still have to buy the car. But the fuel is free if you buy now and you can still claim 56c/mile on your annual tax form. So, with a tiny bit of creative accounting, you can run a Model S for nothing.
Your car could even make you money, as a write-off and in straight cash.
How Much Does a Tesla Model S Cost to Buy?
The numbers are pretty straightforward. A Tesla Model S 75, with a 259-mile range and Enhanced Autopilot, costs $77,500. Take the Federal Tax break, a $7,500 rebate, and a further $2,500 if you live in California, $5,000 if you live in Colorado and a massive $8000 in Louisiana.
So best case scenario, for a Louisiana, self-employed driver, that car costs $62,000 in cash. But we’re going to take an example without the big incentives and say it costs a clean $70,000.
Bear in mind the credit is a bottom-line incentive,too. That means you have to intend to pay $7,500 in Federal taxes before you can get the full rebate. But we’ll keep it simple and say that’s the deal.
Do Tesla’s hold their resale value? Yes!
When it comes to selling the car, a three-year-old Tesla Model S retains 62% of its value, and that is the sticker value. So, in three years, according to the form book, you can sell the car for $48,050.
Right now, the car costs $21,950 for three years, or about $7,300 a year. But then the mileage comes in.
This is a loophole that will inevitably close in the end, but right now people are charging 56c/mile without trauma. So, if you log more than 13,000 business miles a year, your Tesla is paid for.
Do 50,000 business miles and you’ve paid for the car and you’ve got $20,720 more in write-offs for a car that you can recharge on the Supercharger network.
Consumables like tires will obviously come out the budget, but you can largely write those off, too.
This guy reckons he did it
Youtuber Freedom Fast Lane produced a more advanced model to get his Tesla Model S for free and he reckons he almost pulled it off. It’s a pretty cool video that explains some simple financial concepts to show you how to finance the car and do it that way.
Fuel is free with a Tesla Model S,for now
You get access to the supercharger network, which is essentially free for Model S and Model X customers. So, you can charge up in 20 minutes and work it into your weekly routine.
You can even sign up for Uber, Lyft and talk to local firms about airport runs. You could turn your prestige, electric car into a revenue stream in its own right and even rent it out through Turo.
But, most importantly, you get a kickass car that should cost you exactly zero dollars for the whole time you own it.
Luxury cars are expensive to own
Edmunds reckon that a BMW 740i costs $103, 178 to own over five years and you won’t get that back with a mileage claim. The numbers are equally discouraging for a Mercedes S550, which Edmunds reckons costs $111, 251 over five years.
So if you could run a Tesla, sell it for solid money in three years and claim the hell out the miles in the meantime, this might actually be a smart business investment.This guy went the rental route and is pretty convinced his used Model S is free.
It’s an intriguing concept and if we were in the States right now, we’d be putting this into action. We’re pretty sure it will work out.