Car Depreciation Calculator (value by age — Korean schedule or your own rate)

Understanding the car depreciation calculator — concept and principle

This calculator estimates a car's current value from its price when new and its age, using either the official Korean residual-rate schedule for domestic or imported passenger cars, or a fixed percentage drop per year that you choose. It shows the value now, the value lost, the share of the price kept, the average loss per year and the value and loss over the next year. Use it to estimate resale value, plan when to sell or compare ownership costs.

Using the schedule's residual rate for a 4-year-old domestic car, 43.7% of the new price remains.

How it is calculated

Korean schedule: value = price when new × residual rate for the years since first registration. For domestic cars the rate is 0.826 in the first year, 0.725 after 1 year, 0.614 after 2, 0.518 after 3, 0.437 after 4 and 0.368 after 5, falling to 0.067 after 15; imported cars fall faster from year 8.
Fixed-percentage method: value = price × (1 − first-year drop) × (1 − later drop)^(age − 1).
Value lost = price − value; average loss per year = value lost ÷ age.

The principle

Cars lose value fastest in the first years, then more slowly, so depreciation is roughly a fixed percentage of the remaining value each year rather than a fixed amount. The Korean schedule is the official table that local governments use to set the standard value of non-business passenger cars, for example when computing taxes on acquisition of a used car; it follows the same declining pattern. Real resale prices depend on mileage, condition, accident history, model popularity and the market.

Worked example

Default inputs: price $35,000, age 4 years, Korean schedule, domestic car.

Residual rate after 4 years = 0.437.
Value now = 35,000 × 0.437 = $15,295.00; 43.7% of the price kept.
Value lost = 35,000 − 15,295 = $19,705; average $4,926.25 a year.
Next year the rate is 0.368: value = 35,000 × 0.368 = $12,880.
Loss over the next year = 15,295 − 12,880 = $2,415.

Each point is the calculator re-run with only “Price when new” changed; the gold point is the default example. Change the inputs above and this chart follows your numbers.

Price when new	Estimated value now
8,750	$3,823.75
17,500	$7,647.50
26,250	$11,471.25
35,000	$15,295.00
43,750	$19,118.75
52,500	$22,942.50
70,000	$30,590.00

How to read the result

The value is a standard estimate, not a quote. Compare it with listings for the same model, year and mileage. The loss over the next year shows the cost of keeping the car one more year in depreciation alone; it shrinks as the car ages, which is one reason why keeping a car longer often lowers the yearly cost of ownership.

Common mistakes

Using the purchase price after discounts in one case and the list price in another.
Counting age from the model year instead of first registration.
Treating the official tax value as a market price.
Ignoring mileage and condition, which can move real prices a lot.

Keep in mind: Actual resale prices vary with the market and the car's condition. Treat the result as an estimate. This is not financial advice.

Frequently asked questions

How fast does a new car lose value?

Fastest in the first few years; under the Korean domestic schedule a car keeps about 52% of its value after 3 years.

Do imported cars depreciate faster?

Under the Korean official schedule, imported cars fall faster from the eighth year.

Which method should I use?

The schedule for a standard Korean estimate; the fixed-percentage method to model your own assumptions.

Sources: Ministry of the Interior and Safety (Korea), "기타물건 시가표준액 조정기준(Ⅰ) — 차량" (2021 edition)

Checked 9 Nov 2026. Korea: Ministry of the Interior and Safety, “기타물건 시가표준액 조정기준(Ⅰ) — 차량” (2021 edition, issued under the Local Tax Act Enforcement Decree art. 4(1)), residual rates by years elapsed for non-business passenger cars, domestic and imported. Average US depreciation for comparison: AAA, “Your Driving Costs” (2025 edition).

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