Formula 1 News: Cost to a team when a car is destroyed in crash
It costs a lot of money for a Formula 1 team to replace an entire car during the season when it is destroyed in a crash and almost no parts are salvageable.
–by Mark Cipolloni–
Crash Damage – Entire Car Replacement Cost
| Component | Expense |
| Chassis | $200,000 |
| Steering wheel | $50,000 |
| Floor | $140,000 |
| Fuel tank | $30,000 |
| Hydraulics | $170,000 |
| Rear Wing and DRS | $150,000 |
| Gearbox | $350,000 |
| Halo | $15,000 |
| Cost Per Engine | $4,500,000 |
| Tires Per Set | $3,000 |
| Front wing set | $280,000 |
| Break discs and pads | $75,000 |
| Total Cost | $5,963,000 |
In round numbers, destroying an entire race car (including an engine) can cost a team upwards of $6 million, and this is a significant impact on a team’s annual cost cap of $135 million.
The $135 million is to design and build cars (including upgraded parts), pay salaries and run the entire team for a 24-race season, plus preseason testing.
Salaries are a big part of the cost. An average F1 team employs 500 or more people.
500 x $200,000 (salary plus OH) = $100 million per year just to pay your staff
Destroy 1 car – about a 4.4% hit on the budget.
Destroy 2 cars – about a 9% hit on the budget
This cost means if a team has too many cars significantly damaged during a season, corners have to be cut elsewhere to meet the budget and this impacts the team’s overall performance.
This is why drivers who crash a lot do not last long in F1.