If you’ve taken a look at your auto repair bill lately and wondered, “How is this so high?”, you’re not alone. Recent reports show that auto repair bills leaped 5% in August 2025 alone, the sharpest monthly spike ever.

At Good Works Auto Repair, we’ve seen quotes climb, but we’re committed to keeping auto repairs and maintenance as budget-friendly as possible. Here, we’ll unpack why it’s now more expensive to repair or maintain your vehicle vs. previous years and how this mirrors the wider cost-of-living crunch. Then, we’ll explain why repairing your trusty used car usually makes more sense than giving in to the temptation to buy a new vehicle.

What’s Driving Increased Auto Repair Bills? (Hint: It’s Not Just One Thing)

Tariffs have certainly grabbed the headlines in recent months. That’s because a 25% import tax hit in May 2025, affecting many goods we commonly use, including car parts. Even American-made vehicles often rely on parts that come from other countries, so it’s no surprise that tariffs have increased auto repair bills overall.

In addition, the average age of vehicles on the road in the U.S ticked up to 12.8 years in 2025, up from 12.6 in 2024. With more miles and usage, older vehicles often require more expensive repairs, inflating the overall cost of auto repair bills nationwide.

Add that to technician shortages and wage increases (affecting the labor portion of your bill) and the costly components needed to fix today’s modern vehicles and you have the recipe for higher-than-usual auto repair bills.

How Do Higher Auto Repair Bills Fit In with the Overall Economy?

The increase in auto repair bills isn’t just an isolated event; it’s inflation’s ripple effect. New cars averaged just over $49,000 in August, used ones averaged just over $29,000, and auto loan rates are up, leaving buyers with higher monthly payments.

What happens next? People delay purchases, piling miles on older cars, which amps up repair demand—and prices. It’s a vicious cycle: Expensive everything means we repair more, which then costs more.

The Solution to High Auto Repair Bills: Affordability with a Side of Reality

At Good Works Auto Repair in Tempe, we can’t change the nation’s economics but we CAN do our part to keep auto repairs and maintenance affordable:

• We back major auto repairs completed at our shop with a rock-solid 5-year/60,000-mile warranty—way beyond the industry 24-month norm.
• New customers get 10% off their first service by texting NEW10 to 480-894-0018.
• ALL customers can join our free rewards program for ongoing savings.
• Our buy-now-pay-later financing options take the sting out of expensive and unexpected auto repairs, letting you make affordable payments over time.
• We shop smart for parts, explain costs upfront, and focus on preventative maintenance to help avoid big bills whenever possible.

That said, when the economy changes or parts jump significantly, we can only buffer and absorb the extra cost so much. But that’s why we live by an honesty first policy: We’ll always tell you if it’s worth fixing so YOU can make the final decision about how to invest in your vehicle’s care.

Is It Cheaper to Buy a New Vehicle or Repair a Used One?

Ultimately, the answer to this question depends on the current condition of your vehicle, along with a few other factors. But in general, the cost of repairing a well-maintained used vehicle is usually cheaper than buying a new one, which also includes significant interest.

Pro tip: Regular preventative maintenance check-ups like brake service and oil changes can extend your vehicle’s life and cut overall operating costs. You might be surprised at how many more years and miles you could get out of your current vehicle just by giving it the TLC it deserves!

Regardless of what you decide, we’re here to help you keep driving safely and affordably. Schedule an appointment with us today and experience the best in Tempe auto repair and maintenance services!