Tesla Model 3 vs. Model S: Which EV should you purchase?

• Tesla's Model 3 vs. Model S are two of the company's most popular vehicles.
• Here's what first-time buyers should look out for when choosing between the two.
• The Model 3 is cheaper, faster (before any upgrades), and less roomy than the Model S.

Tesla's lineup of electric vehicles can be confusing to first-time buyers. Two of the most popular Tesla models are the Tesla Model 3 and the Tesla Model S, so it wouldn't be surprising if you're interested in Teslas and have wondered about the differences between the two.

There are some key differences to consider between the Tesla Model 3 and the Tesla Model S.

For starters, the Model 3 was introduced five years after the original Model S. The base Tesla Model 3 costs at least $38,990, which is $34,000 less than the Model S starting price of $72,990. Since June 2023, every new Model 3 now qualifies for the so-called Tesla tax credit of $7,500, subject to terms and conditions. 

The Model 3's cheaper price tag is in exchange for slightly less storage space and between 39 and 130 miles less range than the Model S, depending on the variant. For the lowest cost all-wheel drive variant, the difference is just 39 fewer miles. Depending on the variant that you get, there may or may not be a significant speed sacrifice. The regular variants of the Model 3 boast a maximum top speed of 125 mph (the Performance All-Wheel Drive model boasts 163 mph) compared to the Model S, which has a top speed of 130 mph.

The Model S also gives you five more cubic feet of storage capacity – 28 cubic feet compared to 23. An impressive feat of the Model S is that, by dropping the rear seats, its storage capacity can actually be expanded to just shy of 63 cubic feet. The Model S is probably more comfortable since it's roomier, but it comes with a significantly steeper price tag and some tradeoffs that might turn off some potential buyers.

To address some of these, the Model S Plaid was released in June 2021. Its name is an homage to the movie "Space Balls" and its price is equally astronomical, topping the Tesla price range at a starting price of $87,990. That steep price tag, however, gets you a top speed of 200 mph and 396 miles of range. The car does 0 to 60 mph in 1.99 seconds and is powered by three motors totalling 1,020 horsepower. However, the Plaid variant's speed does come at the cost of mileage, with its range being 359 miles — that's 43 miles less than the All-Wheel Drive variant of the Model S.

In June 2023, the Model S Plaid reclaimed the fastest lap speed for a production EV at the Nürburgring race track in Germany, beating out Porsche. In 2022, in Québec, Canada, a Model S Plaid was able to hit 216 mph at an airport. However, that record was short-lived. The Rimac Nevera — a $2.2 million hypercar —broke the Model S' fastest lap record in late 2023, becoming the fastest production EV at Nürburgring.

Ultimately, the refreshed Model S is a high-end luxury vehicle with more space and better performance than the Model 3. When Insider's senior correspondent Matthew DeBord tried out a Model S in 2020, he noted that while the Model 3 came with more customization options, the S "is more premium and serves up better performance."

The Model S also has "ample" room in the "back seat for three kids, and two adults would be relatively comfortable," DeBord said.