With gas prices reaching record highs, you might consider buying a fuel-efficient hybrid automobile. It will certainly save you money at the pump and help to improve the environment, but will it translate into long-term financial savings?

Buying any kind of vehicle affects your financial bottom line. So consider the following items when entertaining the idea of a hybrid vehicle.

Is your current vehicle still viable?
How well does your current car operate? Buying a hybrid may reduce your gas costs, but you might have increased expenses for the new car payment and the insurance.

Well-maintained cars have better fuel efficiency because they run more efficiently. Get your scheduled oil changes and tune-ups, keep your tires properly inflated, and take out any unnecessary weight.

Bottom line: Crunch the numbers! Any savings in gas may mask greater long-term costs.

Do you understand hybrid prices?
Hybrids are considered premium automobiles. They can cost, on average, between $4,000 and $8,000 more than regular autos. Luxury hybrids, which include SUVs and larger sedans, tend to have even higher price tags and lower miles per gallon (mpg).

Bottom line: Lower price tags shorten the amount of time it will take to justify the premium purchase price.

How fuel-efficient is the car, really?
The integral selling point for hybrids is their fuel efficiency. But some are more efficient than others. For instance, the Honda Accord hybrid only gets two additional mpg more than its gas-powered counterpart does. In contrast, the Toyota Prius is significantly less expensive and averages almost 20 mpg more than the Accord hybrid.

Bottom line: Just as with regular autos, the higher the mpg rate, the greater the likelihood of better savings.

Do you have a long daily commute?
The fundamental value of a hybrid is to maximize mileage—if you’re not driving too often, or less than 20 miles a day, then you’re probably not going to reap the key benefits.

Bottom line: The more you drive, the sooner you may see gas savings.

Will you get a tax break?
The maximum deduction for a hybrid purchase is $3,400. This amount varies, depending on factors like the vehicle’s fuel economy and weight. Also, the deduction decreases once an automaker’s hybrid sales exceed 60,000 vehicles. Eventually, the deduction is expected to disappear. A Consumer Reports study found that, without it, none of the hybrid vehicles it tested could break even within five years.

Bottom line: Don’t use tax breaks alone to justify purchasing the hybrid. These deductions, if offered, will vary and may not be significant.