Skip to main content
Transportation Funding & Financing

Annual Highway User Vehicle Fee

All states impose annual vehicle registration and related fees, and at least half the states raise more than a quarter of their dedicated transportation revenues through this mechanism. The structure of registration fees varies widely, from a flat per-vehicle fee to a schedule of rates based on factors such as vehicle type, weight, age, horsepower, and value. Based on a flat-fee approach, a national annual vehicle registration fee of $1 for all light- and heavy-duty vehicles could yield roughly $260 million per year.