Owning a car is one of the most expensive purchases we make. For me, I don’t see a car as an asset (unless it’s a rare and/or collectible). It’s an ongoing expense, a depreciating asset.
(Make sure you keep reading to see the offer I found!)
It’s a big investment to have your own car and the running costs are sometimes overlooked. When you sit down at look at the numbers, it’s quite surprising how it all adds up. RACQ have reported that it can cost over $400 a week to own and drive a new car Ongoing costs include
- Car registration.
- Motor vehicle clubs eg RACQ
- Interest on loan
- Spare parts/repairs/tyres
These costs are quite substantial to your budget, yet for most they are an essential – Makes even more sense that we take care of our cars doesn’t it!
For most of us it starts off well where you save and save and save for that first car and then we tend to get stuck in the cycle of trading in.
As a car owner you want to ensure that you always get the best possible price for your car at sale time AND you also want to keep it in great condition mechanically so you don’t get any nasty surprises. And with cars those surprises can be very NASTY on your bank account!
When money is tight, one of the first sacrifices tends to be vehicle servicing.
In the long term, this can turn out to be a really costly sacrifice.
Some good reasons to keep this expense in your budget…
- Regular servicing of your car is likely to find problems early and therefore hopefully be cheaper to fix.
- a well maintained car is more efficient, you’ll save money on fuel
- if you ever need to claim on warranty you need to show your service record
- At sale time good service history helps with getting a good price
Here is an idea of what those big expenses can be if you don’t regularly service.
- Engine exchange – $3,500 – $6,000
- Cylinder head gasket – $700
- Radiator –$200 – $350
- Water pump –$500
Looking after your tyres will help keep you safe on the roads and it will alsohelp with saving money on fuel. You can find the required tyre pressures for your vehicle inside the cars manual or on a plate usually on the inside of the drivers door. It’s really easy to do with the new air pumps that are around. Pop the required amount onto the pump, plug it into your tyre and it will go to that setting for you!
At a cost of around $400 a year, they are something to take care of.
And then there is wheel alignments. I have mine done twice a year to maximise tyre life.
3. Keep your eye out for discounts
Look at ways to reduce the costs of servicing and tyres.
It’s been perfect timing actually. As you may be aware, I’m using Shop A Dockets in my every day life to see how effective and helpful they are and it’s been a cool way to find a mechanic in my area and also test their services at a DISCOUNTED rate! (Love a bargain!)
If you are looking for a new mechanic or even looking for some better pricing with your servicing, you can try what I just did.
Jump onto their website and type your suburb and select automotive into the search box and away you go!
PS for Brisbane friends!!
BRIDGESTONE Nundah has an AWESOME saving currently.