The costs are:
- The time to locate the current thread's autorelease pool and add the object to it.
- The memory occupied by the object until it is released at some later point.
If you want to be very conservative with your memory usage, you should avoid autorelease. However, it is a useful technique that can make code more readable. Obsessively using retain/release falls under the umbrella of "premature optimization."
If you are in Cocoa's main event handling thread (which you are most of the time), the autorelease pool is emptied when control returns to the event handler. If your method is short and doesn't loop over large amounts of data, using autorelease to defer deallocation to the end of the run loop is fine.
The time to be wary of autorelease is when you are in a loop. For example, you are iterating over a user's address book and perhaps loading an image file for each entry. If all of those image objects are autoreleased, they will accumulate in memory until you have visited the entire address book. If the address book is large enough, you may run out of memory. If you release the images as soon as you are done with them, within the loop, your app can recycle the memory.
If you can't avoid autoreleasing inside a loop (it's being done by code you didn't write and can't change), you can also manage an NSAutoreleasePool within the loop yourself if needed.
So, be mindful of using autorelease inside loops (or methods that may be called from loops), but don't avoid it when it can make code more readable.