What Is New Car Delivery Wait Opportunity Cost?
When you place an order for a new car and pay a deposit, that money sits idle while you wait for delivery. Had you kept it in a high-yield savings account or invested it, you could have earned a return. That foregone earning is your opportunity cost. The longer the wait, the higher the cost.
Formula Used
Opportunity Cost = Deposit × Annual Rate (%) ÷ 100 × Wait Months ÷ 12
Example: $30,000 deposit, 6-month wait, 4.5% annual rate → Opportunity Cost = $675
How to Use This
Comparing a new-order car with an in-stock model? Factor in the opportunity cost of waiting. If the in-stock car costs only slightly more, the wait may not be worth it once opportunity cost is included. You can also offset this cost by parking your deposit in a high-yield savings account during the wait.
Frequently Asked Questions
Use your current high-yield savings account APY or your expected investment return. US high-yield savings accounts currently offer around 4–5%, making them a useful baseline.
Simple interest. For waits under 12 months, the difference from compound interest is minimal. For longer waits, compound interest would produce a slightly higher opportunity cost.
Only enter the amount you have already paid. If you paid a $5,000 deposit and are financing the rest, enter $5,000 — the financed portion is not yet in your possession.