What Is The Cheapest Tesla: Models You Can Buy For $40K, $70K And $80K

Tesla cars have the coolest customizable features, autonomous capabilities, and fast acceleration to top speeds. However, given the dynamic rules around EVs and emerging rival competition, Tesla cars and feature stacks often undergo price adjustments and changes. The pricing difference between the models can vary widely though.

Besides the host of environmental benefits, buying an EV comes with state and federal tax rebates in the form of credits that lower your overall car purchase cost. You may be eligible for both or none, depending on your state, tax situation, and car model. Although the original EV Federal tax credits for Tesla cars ended, many still qualify under the $7,500 rebate under the Inflation Reduction Act (IRA).

How Much is a Tesla Model 3

The upgraded 2024 Tesla Model 3, code-named "Highland," has premium interiors, a sleek design, new taillights, and more automatic features. It costs $38,990 without any incentives or assumed fuel-saving costs. The $7,500 tax rebate is not applicable since the car batteries are sourced from China.

Model 3 cars have an estimated full-charge range of 272 miles and a top speed of 125 mph. While improved aerodynamics and 18-inch Proton wheels bump the mileage, 5-star design safety and insulation with acoustic glass ensure a much safer and quieter driving experience. The car comes in "Stealth Grey" paint by default. If you want "Solid Black" or "Ultra Red" paint, it'll cost you an extra $1,500-$2,000.

You can also check out the Model 3 Long Range, which has dual motors for an all-wheel drive experience. This model costs $47,740 and can travel up to 341 miles on a full charge. Several accessories, like roof racks and center console trays, can be added for under $500.

How Much is a Tesla Model Y

Tesla model y

The Model Y rear-wheel drive has a range of 260 miles and a top speed of 135 mph. It is available for $44,990. Eligible buyers can get the $7,500 tax rebate on the 2024 Model Y, which is applied to the purchase price during delivery. This brings down your actual cost to buy the car to $37,490, which makes Model Y the cheapest Tesla out there. After considering 3-year gas savings of $3,600, the cost decreases to $33,890.

The recent price drop can also be attributed to the significantly higher number of unsold Model Y cars compared to Q1. The compact, 5-seater SUV has a UV-proof glass roof, wireless chargers, eco-friendly interiors, and an independently flat-foldable second row to accommodate extra cargo. By default, the Model Y comes with 19-inch Gemini wheels, but for an extra $2,000, you can go for 20-inch induction wheels, as well. There's also an option to get a high-strength tow bar for another $1,000 to tow up to 3,500 lbs.

The four-wheel drive Model Y Long Range and Performance units will cost $49,990 and $53,490, respectively, before Federal tax credits. The long-range model can travel 310 miles on a full charge. The best part is adding a third-row bench for an extra $2,000 to increase the seating capacity to seven.

Meanwhile, the Performance model has a higher top speed of 155 mph but a lower mileage of 279 miles compared to the Long Range model. Performance upgrades include 21-inch Uberturbine wheels, carbon fiber spoiler, lowered suspension, and performance brakes.

How Much is a Tesla Model X

The Tesla Model X dual-motor, all-wheel drive stands out with yoke steering, a top speed of 149 mph, basic autopilot features, a 5,000-lb tow package, sentry mode, and the option for 22-inch, all-season turbine wheels. It comes in black and can go 322 miles on a full charge. You can even customize the seating capacity for up to seven people.

The car is priced at $79,990, but after tax credits and estimated 3-year gas savings of $3,990, it comes down to $68,590. If you go for the yoke steering, that'll be an extra $1,000, while choosing a new paint job can cost up to $2,500. Accessories like car covers, sun shade, and interior liners are priced under $500.

Meanwhile, the Tesla Model X Plaid is a tri-motor, all-wheel drive that can go from 0 to 60 mph in 2.5 seconds and has a top speed of 163 mph. This makes it the SUV with the fastest acceleration today. Torque vectoring and carbon-sleeved rotors in the drivetrain produce 1,020 horsepower and offer a range of 300 miles. However, it costs $94,990 and doesn't qualify for federal tax credits. After estimating $3,900 in fuel savings over three years, the price comes down to $91,090.

How Much is a Tesla Model S

Tesla Model S

The dual-motor, all-wheel drive can travel between 380 and 402 miles at a top speed of 130 mph, depending on the wheel option. It is priced at $74,990, but there is no option for tax credits. After considering gas savings of $3,900 over three years, the car cost falls to $71,090.

Considering safety, the Model S Sentry mode enables comprehensive protection through cameras, sensors, and multiple alarm systems. Premium features allow remote proximity viewing and even talk through the car's speaker.

In an effort to boost car handling and comfort, Tesla made sure that ride height and built-in adaptive suspension adjust to road conditions and driver inputs seamlessly. This maneuver helps maintain the most aerodynamic setting to achieve the maximum mileage.

However, the Model S Plaid is the fastest-accelerating car in production, going from 0 to 60 mph in 1.99 seconds. It can cover up to 359 miles on 19-inch Tempest wheels at a top speed of 200 mph. Upgrades include sports seats and thermal-resistant brake pads. The tri-motor drivetrain assures high performance through 1,020 horsepower.

The S Plaid costs $89,990 before any estimated potential savings, and the 21-inch Arachnid wheels can cost up to an extra $4,500. Plaid was launched in 2018 for $135,000 and has undergone multiple feature and performance upgrades since then amid falling prices and rising volumes.

Autopilot Features as Add-ons

You can activate autopilot features like auto park or navigation, automatic lane change, and smart summon options with the "Enhanced Autopilot" package that costs $6,000.

It will cost an extra $12,000 to have full self-driving capabilities in addition to basic autopilot assistance. Once activated, you can access features like autosteering, better autopilot navigation, and traffic sign control.

Do You Qualify For Tax Rebates?

According to Section 30D of the Internal Revenue Code, you can claim tax credits up to $7,500 if you buy an EV. In 2022, The IRA amended this rule for EVs bought between 2023-32. The rebate is available for individuals and businesses where all EVs must be used for their own use, primarily in the US.

However, your modified adjusted gross income (AGI) must not exceed certain limits. The AGI ceiling for couples filing jointly is $300,000, while it is $225,000 for heads of households. All other tax filers must have an AGI of up to $150,000. There's some flexibility in the sense you can use your modified AGI for the year you take vehicle delivery or the prior year, whichever is less.

Further, your EV must meet battery component guidelines, undergo assembly in North America, and have a gross weight rating of under 14,000 lbs. To make a credit claim, you must file Form 8936 with your tax return for the year you take delivery of the vehicle.