Road paving costs have significantly increased in the last decades not only because of the increase in oil price globally, which has in turn increased the prices of bitumen, transportation, coarse aggregate and fine aggregate, but also due to the shortage of these virgin materials. Thus, it is essential to find more sustainable and cost-effective road paving solutions. This research focuses on the combination of recycled asphalt pavement (RAP) and crumb rubber extracted from end-life tires and new asphalt mixtures to assess the enhancement of asphalt performance and cost minimization. The optimal percentage of RAP mixed with new asphalt including crumb rubber with achieves the highest performance, stability, and durability of pavement, while considering the economic and environmental impacts was investigated. Experimental investigations, including a universal testing machine and the Marshall stability test, were implemented to evaluate different mixing percentages of RAP and the new asphalt including crumb rubber at different bitumen contents. Abaqus software was utilized to simulate a model with the new mixture to determine the stress and deformation characteristics under different loading conditions. The findings of the experimental study from testing more than 150 samples of asphalt with different percentages of mixing illustrated that a balanced mix of 50% RAP with 50% new rubberized asphalt with a 5% bitumen content achieved the optimal balance of stability, flow and density characteristics, which will offer a promising solution for more sustainable and cost-effective road-paving solutions.