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How much is it to install a new transmission?

The typical installed cost for replacing a transmission on a standard passenger car falls roughly between $2,500 and $6,000. If you opt for a dealer-installed, new OEM unit or a luxury/heavy-duty vehicle, prices can exceed $8,000. Costs vary widely based on the vehicle, transmission type, and local labor rates.


Replacing a transmission is a major repair that involves both the transmission assembly and the labor to remove the old unit and install the new one. This article breaks down the main price drivers, typical price ranges by scenario, and practical tips to help you budget and shop around.


What affects the total price


Several factors drive how much you’ll pay for a transmission replacement. The following list highlights the most influential elements you should consider when budgeting and comparing quotes.



  • Transmission type and design: Automatic transmissions are generally more expensive to replace than manual transmissions, and more complex automatics (with more gears or all-wheel-drive integration) tend to cost more.

  • Source of the transmission: A rebuilt/remanufactured unit is usually cheaper than a brand-new OEM transmission from a dealer, but warranties and availability can vary.

  • Vehicle type and configuration: Front-wheel-drive cars, all-wheel-drive systems, and vehicles with larger engines or specialty transmissions can require more labor and parts, pushing up the price.

  • Labor rates and shop location: Labor costs vary by region and shop reputation; urban areas and dealer shops typically charge more per hour than independent garages.

  • Additional parts and services: New seals, torque converter, flywheel resurfacing, clutch kit (if applicable), input/output seals, transmission fluid, additives, and any required wiring or sensor work can add to the bill.

  • Diagnostics and programming: Some vehicles require reprogramming of the Transmission Control Module (TCM) or other control units, which adds to both time and cost.


Understanding these factors helps you compare apples to apples when you receive estimates and plan for ancillary costs such as fluids and warranty options.


Typical price ranges for a transmission replacement


Price ranges reflect common scenarios in the United States as of 2024–2025. They include parts and labor for installed units and may vary by region, vehicle, and shop policy.



  • Remanufactured/rebuilt automatic transmission installed: typically about $2,500 to $4,500 for the unit plus $1,000 to $2,000 in labor, bringing total to roughly $3,500 to $6,500. For some vehicles, especially imports or SUVs, totals can be higher.

  • New OEM transmission installed (dealer-sourced): typically about $4,000 to $8,000 or more for the unit, with labor around $1,500 to $2,500, for a total range of roughly $5,500 to $10,500 or more.

  • Used or salvaged transmission installed: typically about $1,000 to $2,500 for the unit, with labor around $1,000 to $2,000, for a total of roughly $2,000 to $4,500. Reliability and warranty depend on the source.

  • Manual transmission replacement: often cheaper than automatic replacements, roughly $1,500 to $4,000 total depending on the car and parts needed.

  • Additional costs to consider: diagnostic fees, extended warranties, and potential drivetrain or torque-converter work can add several hundred to a couple thousand dollars.


Prices vary widely by vehicle and shop. Always obtain a written, itemized estimate that includes parts, labor, fluids, and any anticipated extra work before authorizing the repair.


What to consider before you replace


Before you commit to a replacement, weigh the vehicle’s value, your intended lifespan for the car, and the total cost of ownership. Consider these practical steps to make an informed decision.



  • Get multiple written quotes from independent shops and from dealers to compare pricing and warranty terms.

  • Ask about warranties on parts and labor, and understand what is covered and for how long.

  • Request a thorough diagnostic to confirm the transmission is the root cause; sometimes issues are related to the torque converter, cooling, or sensors.

  • Consider alternatives such as targeted repairs, clutch replacement (for manuals), or reconditioning only specific components if feasible.


Choosing the right option often depends on your car’s current value, expected remaining life, and how much you’re willing to invest in maintenance versus replacement.


Tips to save money on a transmission replacement


Smart budgeting and careful shopping can reduce the burden of a transmission replacement. Here are practical ways to cut costs without compromising safety or reliability.



  • Shop around and compare at least 3–4 written estimates, including warranty details and what’s included in the price.

  • Consider a remanufactured transmission from a reputable supplier rather than a brand-new OEM unit, if reliability and warranty align with your needs.

  • Choose an independent shop with certified technicians and good reviews instead of a high-priced dealer, if the dealer option isn’t necessary.

  • Ask about bundled services (fluid replacement, filter, seals, and a diagnostic check) that can be included in the price.

  • Negotiate labor rates or financing options, and inquire about extended warranties or maintenance plans.


Being proactive about price comparisons and warranty terms can prevent sticker shock and help you plan a sensible long-term maintenance strategy for your vehicle.


Summary


Replacing a vehicle transmission is a major investment with a broad price range. For most cars, a rebuilt/remanufactured unit installed by an independent shop typically falls in the $3,000 to $6,000 neighborhood, while a dealer-installed new OEM transmission can push the total beyond $8,000. Luxury, performance, and all-wheel-drive vehicles often cost more, and manual transmissions tend to be cheaper to replace than automatics. The final price depends on the transmission type, vehicle configuration, labor rates, and any additional work required. Always obtain multiple quotes, understand warranties, and weigh the car’s value and future needs when deciding whether to proceed.

How much is the labor to install a new transmission?


Labor is another significant component of the new transmission cost. Transmission replacements are labor-intensive and often require 8 to 12 hours of work or more, depending on the complexity of the job. Labor rates can range from $70 to $150 per hour, depending on your location in the country and the shop you choose.



How long should it take a mechanic to replace a transmission?


one to two days
In general, service experts agree that it doesn't take more than one to two days to replace a standard transmission, with some finicky models taking three or four days. That's why it's essential to stay on top of routine maintenance to ensure that your vehicle is in top shape.



Is it worth replacing a transmission?


Replacing a transmission can be worth it if the vehicle is otherwise in good condition and the repair cost is significantly less than the car's current market value. However, it may not be a worthwhile investment for older, high-mileage vehicles where the cost of the transmission could exceed the car's worth, or if other major components are likely to fail soon. 
When to consider replacement

  • Your vehicle is relatively new or in good shape: If the rest of the car is in good condition and has a lot of life left, a new transmission can be a sound investment to extend its lifespan. 
  • Transmission replacement is cheaper than a new car: If the cost of replacing the transmission is less than buying a new or different used vehicle, it can be a more financially practical option. 
  • To improve fuel efficiency: A failing transmission can cause poor fuel economy, so replacement can help improve gas mileage. 
  • Newer transmissions come with warranties: A new or factory-rebuilt transmission with a warranty can provide peace of mind and added reliability. 

When to reconsider
  • The cost exceeds the vehicle's value: If the price of the transmission replacement is close to or more than the car's market value, it is often not a good financial decision. 
  • The vehicle is old and high-mileage: For older cars with many miles, other major components may be close to needing repair or replacement, making a transmission replacement less practical. 
  • You can sell the car for a reasonable price: A car with a failed transmission will likely be worth less, but if you can sell it for a few thousand dollars, it might be better to use that money toward a different vehicle. 

How to decide
  • Get an accurate estimate: Obtain a detailed quote for the transmission replacement, including labor and parts, to understand the exact cost. 
  • Assess the vehicle's overall condition: Have a mechanic inspect other major components to see if they are in good working order. 
  • Compare the cost to the car's value: Use resources to determine the car's current market value and compare it to the transmission replacement cost. 
  • Consider your personal needs: If you love the vehicle and it suits your needs, and the cost is manageable, it may be a worthwhile repair for you even if it doesn't make perfect financial sense. 



How much is a full transmission change?


A full transmission replacement can cost anywhere from approximately $1,800 to over $8,000, depending on the type of transmission (manual or automatic), whether it's new, rebuilt, or used, and the labor costs. For a simple transmission fluid change or flush, the cost is much lower, ranging from around $100 to $300 or more, depending on the type of service and your vehicle. 
Full transmission replacement

  • New transmission: Typically costs between $4,000 and $8,000 or more, including parts and labor. 
  • Rebuilt or remanufactured transmission: Can range from $1,100 to $3,400 for the part alone, plus labor. 
  • Used/salvage transmission: Is the least expensive option, costing about $800 to $1,500 for the part, but it comes with a greater risk. 

Transmission fluid change/flush
  • Drain and fill: The simplest service, costing around $120 to $300 for many mainstream vehicles. 
  • Full system flush: This is more thorough and can cost between $150 and $250, as it uses more fluid to clean the system. 
  • Specialty fluids: Some performance or specialty transmissions (like a CVT) require premium fluids and can cost $500 or more for the service. 

Factors that influence the cost
  • Transmission type: Automatic transmissions are generally more expensive to replace than manual ones due to their complexity. 
  • Vehicle make and model: Some transmissions are harder to access or require specialized, more expensive parts. 
  • Labor costs: Labor is a significant factor, with rates varying by location and shop. 
  • Additional parts: Costs can increase if other parts, like filters, seals, or the transmission oil cooler, need to be replaced. 


Kevin's Auto

Kevin Bennett

Company Owner

Kevin Bennet is the founder and owner of Kevin's Autos, a leading automotive service provider in Australia. With a deep commitment to customer satisfaction and years of industry expertise, Kevin uses his blog to answer the most common questions posed by his customers. From maintenance tips to troubleshooting advice, Kevin's articles are designed to empower drivers with the knowledge they need to keep their vehicles running smoothly and safely.