Using an ebike to accelerate FIRE

TLDR: I’m a 26 year old that lives 19 km from work. I live in a Vancouver Suburb and commute to Vancouver proper 5 days a week. I purchased an ebike (pedal-assisted bicycle) to save $30,000 over 5 years; to reduce my carbon emissions by 2 metric tons per year; to improve my health; and to save time on my daily commute.

I haven't seen posts in fican regarding this topic. In 2016, the average household expenses on transportation in BC was $11,900. The average spending per month was $955. This likely means the average household has ~2 cars. The average compact sedan costs $8100 per year including depreciation for a Canadian family (including parking, gas, insurance, maintenance, tires & depreciation).

The primary reason I switched to an electric bike/bicycle is because owning a car is expensive. The secondary reason is that it's a lot of fun and good for combating car-culture obsession.

Sources: https://globalnews.ca/news/3832649/car-ownership-costs-public-transit-canada/

Source: Stats Canada, see https://themeasureofaplan.com/canadian-household-spend/ for a visualization.

Cost

Over 5 years my projected costs are (assuming no inflation, excluding depreciation):

I could save $30,000 in 5 years by switching from my car to an e-bike. The e-bike cost $1900, plus I purchased $350 worth of equipment (rain gear, helmet, lock, repair kit, a pannier, and reflectors) for total onetime cost of $2250. This excludes the resale of the car.

For the e-bike I budgeted a battery cost at $150/year (charging is free at work and at home) and $25/month ($300/year) for emergency public transit, taxis, new gear and maintenance. It may be prudent to budget $600/year to be on the safe side depending on where you live and how far your ride.

Car

Transitt

e-bike

Estimated Annual Savings vs. Car: $6870

Estimated Annual Savings vs. Transit: $1122

Time to ROI compared to car: 4.4 Months

Time to ROI compared to Transit: 20.6 Months

If I put the savings ($6870 annually) into a Balanced Index Fund (estimated 6% returns), I would have $39k in 5 years.

If I commute like this for 5 years, and return to the car life, I would have an extra 91k in 20 year. This would also permit me to retire a full 3 years early as my savings rate shot up temporarily at the beginning of the accumulation phase.

Environmental Benefits

This is the second reason I made the switch. There is no refuting that CO2 emissions are the primary cause of global climate change. Ebikes are one way to reduce CO2 emissions.

Imagine a typical 20km commute to work and back (say ~10000km/year). What's the carbon footprint?

That’s a 2600% reduction in emissions compared to the car. It’s hard to find a mode of transport more efficient than an ebike, because there probably isn't one.

There is even some credence to suggest that ebikes may be better than normal bikes for reducing your carbon emissions because humans are not as efficient as an electric motor for producing kinetic energy.

Checkout carbonfootprintcalculator.com to find your carbon footprint.

Source: https://sites.google.com/site/shelbyelectro/general-ebikes/sustainability

Source: https://www.bikecommuters.com/2011/08/14/the-carbon-footprint-of-bike-commuting/

Health Benefits & Safety

Biking is shown to improve mental and physical health.

I work a sedentary, 9-5, office job that requires me to sit in front of a desk for 7.5 hours per day. I like the job, but I’m not using my body as much as I should or want. Public transport does include some walking per day . This could be considered low intensity steady state cardio (LISS).

Below are my calories per day calculated based on my fitbit.

Replacing 60 minutes of sedentary time with 60 minutes of low intensity cardio is amazing. The biggest changes happened in the brain. I feel better when I get to work. In terms of mental health and happiness, the ebike is the second most fun experience I’ve had on a daily commute (and far safer than the top spot which goes to the motorcycle). Not to mention my daily calorie expenditure has gone up by 20-30%.

I am also in the outdoors more, which exposes me to cleaner air compared to traffic. I am in green spaces more frequently, and I work up a light sweat. All of these make me a lot happier than being stuck in traffic or being squeezed/herded like a cow in public transit. As is often pointed out by skeptics of cyclists, biking in the winter/fall season is not as challenging as people believe. When you have the right gear and take appropriate safety precautions, it can be a very comfortable and enjoyable ride.

Recommended Gear:

waterproof jack

waterproof pants

waterproof gloves

visor/goggles

Balaclava

Thick socks

Winter shoes/boots

Extra Safety Precautions:

highly reflective jacket/pants/gloves

head lights

tail lights

reflective bands

break earlier

ride slower

slow down on hills and turns

There are immense long-term cardiovascular health benefits that outweigh the risk of collisions/fatalities from accidents, see below.

Edit

Word of caution: commuting on a bike may not be as safe as a car. Safety is highly variable depending on the city infrastructure of your local community. The probability of serious injury while riding a bike is 6x greater compared to a car according to the literature (see below). Conversely, a recent report from the City of Vancouver, showed that cycling in BC is safer than other North American cities. According to the report:

Average fatalities per million bike to work trips = 0.19

Average fatalities per one million residents = 1.10

Comparatively, according to ICBC Stats for CARS:

Average fatalities per 100,000 residents = 2.2

Average fatalities per 1,000,000 residents = 22

Source: https://vancouver.ca/files/cov/cycling-safety-study-final-report.pdf)

Source: https://vancouver.ca/streets-transportation/collision-injury-data.aspx)

Source: https://www.mrmoneymustache.com/2013/06/13/bicycling-the-safest-form-of-transportation/

Source: https://www.theguardian.com/society/2013/nov/01/secrets-worlds-happiest-cities-commute-property-prices

Source: https://ijbnpa.biomedcentral.com/articles/10.1186/s12966-018-0751-8

Source: https://www.forbes.com/sites/carltonreid/2018/11/23/riding-electric-bicycles-boon-to-health-and-not-cheating-confirms-literature-review/#fc2ee0735cce

Time

My commute time was the final factor I considered when deciding to go with the ebike. First, the quantity of time, and then the quality of time.

Quantity of time: I actually get to work faster with the ebike than with public transport. Compared to the car, it’s about the same time due to traffic.

When I drive, I leave my home at 7:30 AM and arrive at work around 8:15 AM plus or minus 10 minutes.

When I Transit, I leave my home at 7:20 AM and arrive around 8:30 AM

When I ebike, I leave my home at 7:30 AM and arrive around 8:15 AM

More important than speed, however, is the FEELS.

Car

Public Transport

ebike

I'm doubtful I would return to the car life though because this feels so much better. Imagine saving an extra $550 per month. How would that affect your quality of life? Or your retirement forecast?

**Edited for formatting