Turo ROI Calculator
Calculate returns from sharing your car on Turo including rental income, expenses, and depreciation.
How the Turo ROI Calculator works
Analyze Turo rental income against depreciation, maintenance, insurance, cleaning, and time investment costs.
Turo can generate income, but accelerated wear, depreciation, and time costs often surprise new hosts.
How it works
Tutorial
Sharing your car on Turo can generate income, but hidden costs like accelerated depreciation, increased maintenance, insurance, and time investment often surprise new hosts. Calculating true ROI requires accounting for both the rental income and the faster wear on your vehicle. Some cars profit on Turo while others barely break even.
Use the calculator above to analyze your specific vehicle, or follow the steps below to calculate Turo ROI yourself.
The Formula
| Component | Formula |
|---|---|
| Annual Gross Revenue | Daily Rate × Rental Days × (1 – Turo Fee) |
| Annual Costs | Depreciation + Maintenance + Insurance + Cleaning + Time |
| Annual Net Profit | Gross Revenue – Annual Costs |
| ROI Percentage | (Annual Profit ÷ Vehicle Value) × 100 |
Step-by-Step Calculation
Let’s analyze a Turo car sharing investment realistically.
Step 1: Calculate Annual Gross Revenue
Estimate realistic rental income:
| Metric | Value |
|---|---|
| Daily Rental Rate | $75 |
| Rental Days per Year (50% utilization) | 180 |
| Gross Rental Income | $13,500 |
| Turo Fee (25%) | -$3,375 |
| Net Revenue | $10,125 |
Calculation:$75 × 180 = $13,500; $13,500 × 0.25 = $3,375; $13,500 – $3,375 =$10,125
Step 2: Calculate Depreciation Cost
Estimate accelerated depreciation from rental use:
| Factor | Amount |
|---|---|
| Current Vehicle Value | $25,000 |
| Normal Annual Depreciation (10%) | $2,500 |
| Additional Rental Depreciation (5%) | $1,250 |
| Total Annual Depreciation | $3,750 |
Calculation:($25,000 × 0.10) + ($25,000 × 0.05) = $2,500 + $1,250 =$3,750
Step 3: Calculate Maintenance Costs
Account for increased wear and tear:
| Expense | Annual Amount |
|---|---|
| Oil Changes (more frequent) | $200 |
| Tire Replacement (accelerated) | $300 |
| Brake Service | $250 |
| Cleaning Supplies | $180 |
| Repairs/Touch-ups | $400 |
| Total Maintenance | $1,330 |
Calculation:$200 + $300 + $250 + $180 + $400 =$1,330
Step 4: Calculate Insurance Costs
Include additional insurance:
| Insurance Item | Annual Cost |
|---|---|
| Increased Personal Auto Insurance | $400 |
| Commercial Host Insurance | $600 |
| Protection Plan Gaps | $200 |
| Total Insurance Costs | $1,200 |
Calculation:$400 + $600 + $200 =$1,200
Step 5: Calculate Time Investment Cost
Value your time for hosting activities (180 rentals per year):
| Activity | Time per Rental | Annual Hours | Value at $15/hr |
|---|---|---|---|
| Cleaning (45 min) | 0.75 hrs | 135 hrs | $2,025 |
| Coordination/Handoff (30 min) | 0.50 hrs | 90 hrs | $1,350 |
| Admin/Photos/Listing (15 min) | 0.25 hrs | 45 hrs | $675 |
| Total Time Cost | $4,050 | ||
Calculation:(135 + 90 + 45) hours = 270 hours; 270 × $15 =$4,050
Step 6: Calculate Total Annual Costs
Sum all Turo-related expenses:
| Cost Category | Annual Amount |
|---|---|
| Depreciation | $3,750 |
| Maintenance | $1,330 |
| Insurance | $1,200 |
| Time Investment | $4,050 |
| Total Annual Costs | $10,330 |
Calculation:$3,750 + $1,330 + $1,200 + $4,050 =$10,330
Step 7: Calculate Annual Net Profit
Subtract costs from revenue:
| Component | Amount |
|---|---|
| Annual Net Revenue | $10,125 |
| Total Annual Costs | -$10,330 |
| Annual Net Profit | -$205 |
Calculation:$10,125 – $10,330 =-$205
Step 8: Calculate ROI Percentage
Calculate return on vehicle value:
| Step | Calculation | Result |
|---|---|---|
| Divide profit by vehicle value | -$205 ÷ $25,000 | -0.0082 |
| Convert to percentage | -0.0082 × 100 | -0.82% |
Calculation:-$205 ÷ $25,000 = -0.0082; -0.0082 × 100 =-0.82%
Final Answer:The Turo hosting ROI is-0.82%(negative return)
What This Means
Once all costs are properly accounted for-especially depreciation and time-many Turo operations barely break even or lose money. To achieve positive ROI, you need higher rental rates, better utilization (65%+), or a fully paid-off vehicle. Turo works best for cars you rarely use, not as a primary investment.
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