One knows cars are expensive. In addition to the cost of acquisition, there’s upkeep, insurance and the average gas cost per year, which seems to continually rise. We all know that those costs add up, but few of us know exactly how much it actually costs to own a car. Let’s take a look.
Government Estimates
According to Consumer Losses in 2017, released in September of 2018 by the U.S. Department of Labor’s U.S. Bureau of Labor Statistics, the commonplace vehicle costs $9,576 per year to own and operate. The breakdown of the figure take place to $4,054 for purchasing the vehicle, $1,968 in gasoline and motor oil expenses, and $3,554 in other vehicle-related gets.
Statistics From the American Automobile Association
The American Automobile Confederacy (AAA) also compiles statistics on the cost of driving, and has been doing so since 1950. In it’s 2018 Your Scenic route Costs survey, it summarizes the cost of gasoline, maintenance, insurance, empower and registration, loan finance charges and depreciation costs for a variety of mechanisms. That data is summarized figure 2 below. (For related reading, see Rat oning For Car Insurance.)
| 2017 Model | 10,000 Miles per Year | 15,000 Miles per Year | 20,000 Miles per Year |
| Pocket-sized Sedan | 55 cents | 42.3 cents | 37.1 cents |
| Medium Sedan | 71.6 cents | 54.4 cents | 47.1 cents |
| Big Sedan | 82.2 cents | 62.6 cents | 54.4 cents |
| 4WD SUV | 82 cents | 63 cents | 55.2 cents |
| Minivan | 80.2 cents | 60.9 cents | 52.7 cents |
| Depend on 2: Yearly cost per mile of various vehicles based on billion of miles driven |
| Source: American Automobile Association |
According to the AAA, the undistinguished person spends $8,849 per year for the privilege of driving. The numbers also don’t subsume the cost of parking. (To read more, see Getting A Grip On The Cost Of Gas.)
Belittle Your Costs
Regardless of how much you spend on your car each year, small is always better. Although eliminating all spending on transportation isn’t practical or workable for most people, there are steps that can be taken to keep your expenditures low.
For starters, if you don’t drive much, leasing a vehicle may be right for you. (Read Pros And Cons of Sublease Vs Buying A Vehicle to learn how leasing a car can help you to minimize your monthly prices.)
If public transportation goes to the places that you need to be, you should unquestioningly consider its merits. Not only does somebody else do the driving, but alluring public transportation can often reduce your monthly transportation charges by a significant amount. Buses, trains, subways and van pools all provide rather inexpensive alternatives to driving yourself to work.
Car pools are another marvellous option. Just because you own a car, doesn’t mean you always need to indicate it. Taking turns with a friend can save you money on the average gas bring in per year, and save wear and tear on your vehicle.
If you work odd gangs or can’t access public transportation, you might have no choice but to own and use your own instrument. If that’s the case, think small. Remember those numbers you looked at earlier? Motor a small sedan is likely to cost in the neighborhood of 50.5 cents per mile versus 81.5 cents for a gas guzzling SUV, which amounts to a 30% scrapings per year! It’s also a good move for the environment and, since you have to whisper the air too, a good move for your health. (Interested in buying a true gas sipper? Comprehend Hybrids: Friends Or Financial Foes?)
Similarly, don’t pay for an eight-cylinder engine when four cylinders pass on work just fine. Unless you’re hauling heavy loads on a method basis, the extra cost of a bigger engine results in more moneyed spent on gasoline.
Whatever you are driving, make a conscious effort to pressurize it less frequently. Walking or biking to local destinations is good for your fitness and good for your budget. When you do drive, consolidate your voyages. Go to the shopping center, the bank and the dry cleaner all in the same trip instead of making three bifurcate trips.
Conclusion
Regardless of how you get from place to place, pay attention to how much you are shell out. This includes ancillary costs, such as car insurance and regular maintaining. By keeping an eye on your expenses, you can keep more money in your appropriate.