Government, automakers agree on 54.5 mpg

Editor's note: This is a transcript of the audio file.

Since the price of gas isn't going down – ever - U.S. lawmakers have decided to increase mileage standards. I'm Kristin Arnold with your Bankrate.com Personal Finance Minute.

Obama administration officials and several key automakers have agreed on a mileage standard of 54.5 miles per gallon, to be reached by 2025.

Because of the way mileage standards work, that doesn't mean every car will get twice the mileage of the average vehicle on the road today. Instead, the U.S. fleet as a whole will have to average 54.5 mpg, with some vehicles being more efficient, and some less.

At 30.2 mpg, the average fuel economy U.S. passenger cars are required to hit this year, the average driver will burn through just over 9-thousand dollars worth of gas over five years. Contrast that with the 5-thousand dollars per person driving a 54.5 mpg car would spend, and you get an idea of what a game changer the new limit could be for car owners.

For more news on autos, visit Bankrate.com. I'm Kristin Arnold.