Repair or replace calculator
Enter the appliance’s age, what the repair will cost and what a comparable new one costs. You’ll get a clear answer, and the two tests behind it.
How the answer is worked out
The calculator runs two tests. If both point the same way, that’s the answer. If they disagree, it’s a close call and other things should decide it.
Test 1: the 50 percent rule
Consumer Reports’ rule of thumb: don’t spend more than 50 percent of the cost of a new product on repairing an old one.
Repair share = repair quote ÷ price of new × 100
Passes if the repair share is 50% or less.
Test 2: cost per year of use
This compares what each option costs for every year of use you can expect from it, using typical lifespans from a study by the National Association of Home Builders and Bank of America Home Equity.
Years left = typical lifespan − age
Repair per year = repair quote ÷ years left
New per year = price of new ÷ typical lifespan
Passes if repair per year is no more than new per year. If the appliance has reached its typical lifespan, there are no expected years left and the test doesn’t pass.
Test 2 is our own method. It assumes the repaired appliance lasts to its typical lifespan, which isn’t guaranteed, and it leaves out energy and water savings from a newer model.
Worked example
A 6-year-old washer needs a $250 repair, and a comparable new washer costs $800.
- Repair share: 250 ÷ 800 = 31%. That’s under 50%, so test 1 passes.
- Years left: 10 − 6 = 4. Repair per year: 250 ÷ 4 = $62.50. New per year: 800 ÷ 10 = $80. Test 2 passes.
- Both pass, so the answer is to repair it.
Change one number: if the same washer were 9 years old, the repair would cost $250 for about one more year, against $80 a year for new. Test 2 fails, and it becomes a close call.
Typical lifespans
| Appliance | Typical lifespan |
|---|---|
| Washing machine | 10 years |
| Dishwasher | 9 years |
| Clothes dryer | 13 years |
| Refrigerator | 13 years |
| Garbage disposal | 12 years |
From the NAHB and Bank of America Home Equity study of home component life expectancy. Real lifespans vary with use, water quality and maintenance.
Questions
What if it’s a close call?
Think about what else is wearing out, how much you use it, and whether a newer model would save energy or water. A second repair quote can also help.
Should I include installation in the new price?
Yes. Delivery, installation and haul-away of the old one are part of what replacing costs you.
Does it cover appliances still under warranty?
No. If the repair is covered by a warranty, repairing it almost always makes sense. Check the warranty first.
Sources
- Consumer Reports offers insights on when to repair and when to replace, Consumer Reports (press release, January 2014)
- Study of Life Expectancy of Home Components, National Association of Home Builders and Bank of America Home Equity (reproduced by Florida Realtors)