Gasoline is the cheapest form of fuel, but there’s another type of fuel that’s much cheaper.
This is diesel.
Here’s how to calculate your gas tax.
Read More”We’re in the business of being fuel efficient, and that’s what we’ve been doing,” says Bill Schmitt, the general manager of the General Motors diesel fuel cell plant in Kalamazoo, Michigan.
“Diesel makes sense as a cleaner fuel.”
The first GM diesel plants opened in 2007, and today they’re responsible for about 30 percent of the US diesel fleet.
The plant employs more than 100 people and generates about $100 million a year in revenue.
It’s a lot of money.
“The gas tax is the best source of revenue for the state,” says Schmitt.
“It’s an important tool for people like me who are working long hours to keep our vehicles running.”
What’s more, diesel has been proven to be one of the most fuel efficient forms of transportation in the world.
Last year, US researchers reported that diesel fuel burned for 13 percent less fuel than gasoline.
That’s because diesel’s emissions are less than half of those of gasoline.
The problem is, there are many other options available to drivers that don’t require the expense of buying gas.
These include electric cars, which run on a different fuel and generate less pollution.
The electric car market, for instance, is projected to reach $2.3 trillion by 2025, and Tesla, the most valuable electric car company in the US, is investing heavily in its electric vehicles.
The cost of the gasoline tax is about the same as it is for diesel, but the difference between the two is that the gasoline taxes are set annually, whereas the diesel taxes are based on the number of gallons you fill up per year.
The gasoline tax for an average American is $2,100, and for diesel is $1,200.
If you are planning to drive on the road every day, your fuel bill will be $2 per gallon.
That’s why it’s important to make sure you are getting the best deal, says John Giannakopoulos, senior director of marketing for the National Association of Realtors.
“The best way to save money is to use your own gasoline and use the lowest tax rate available,” he says.
That means if you have an electric car, it’s a good idea to go for an EPA-rated electric vehicle.
You can get a lower rate if you’re on the government’s Energy Star program.
The program awards rebates to people who buy electric vehicles at the lowest rate, which is typically about $2 a gallon.
“If you’re looking for an electric vehicle that meets EPA standards, then a plug-in electric vehicle with a hybrid drivetrain is probably the better choice,” says Giannagopoulos.
“If you want to buy a gas-powered car, then you’re going to have to look at something else.”
Gasoline and diesel fuel are not interchangeable.
If your vehicle is made in China or Mexico, for example, diesel will be more expensive.
For this reason, the gas taxes and diesel taxes should be considered separately, even if they’re the same amount.
“That’s one of our challenges, because we have to get that right,” says Bock.
“We have to make the decision whether you should be a gasoline or diesel user.”
Read moreWhat you need to know about the US tax systemHow to calculate taxes and fuel rates on gas, diesel, electric and hybrid vehicles