TCO - total costs of ownership

Sixt TCO (total cost of ownership) or calculation of vehicle life cycle costs is a methodology where all positions of vehicle costs are taken into the consideration during the life cycle of the vehicle (3-5 years) to calculate the average cost of vehicle in a month. This Methodology is general and with the help of it, it is possible to compare the vehicles of different makes and models to choose the most favourable.

Sixt TCO calculation will be a helpful tool in cases when you want to rent or purchase a vehicle but you can not make a decision upon the most favourable variant between two alike offers in price and equipment. Sixt TCO will help to decide upon the most economical and rational decisions because even the so called „hidden” vehicle costs are taken into account. Sixt TCO is excellent tool to show and discover real vehicle costs and helps to review the exploitation costs in the longer time period.

In the TCO calculation the following is taken into account:

  • Monthly leasing payment (operational leasing) is a rental payment which is formed as a difference between the value of a purchased vehicle and estimated residual value. It is calculated on the basis of the available on the website dealer price without the client discount
  • Leasing payment interest fee – is formed by interbank rates (RIGIBOR, EURIBOR, LIBOR) and the added rates of bank itself
  • Taxes – obligatory payment into the governmental budget
  • Insurance premium – the payment of OCTA an KASKO in accordance with the insurance agreement
  • Administration of insurance cases- registration of the insurance case to the insurance company, processing of documents, coordination of damage aversion term and quality and insurance 

Sixt Leasing Business pack:

  • Repair costs – includes vehicle spare parts and costs of service hourly work
  • Upkeep – costs of vehicle maintenance in a fixed rental period within the framework of stipulated mileage
  • Tyre service– costs of purchasing new tyres instead of worn-out tyres within the framework of stipulated mileage and costs of tyre
  • 24h road assistance – services of 24h technical assistance or evacuation of vehicle 

Fuel costs are calculated by taking into consideration combined fuel consumption given by the vehicle manufacturer, fuel price without the client discount publicly available on the website of retail company SIA Latvija Statoil

Sixt Leasing TCO calculation is set assuming that the rental period is 36 month, with the approximate mileage 90 000 km during the rental period.

All costs are indicated in lats VAT not included as at specific date.