How much do you earn a month...

[xb84]

oh my god.

just went back for my first ns recall.

the rich kids drove back to camp.

the not-so-rich non-riding kids suggested that at least 50% would wanna get a car after graduating from uni.

the not-so-rich riding kids suugested that at least 50% would wanna get a car too and hence not upgrade to class2a/2.

 

think car salesman would be having a good time.

[Throttle]

Damn it.....so many cars on the roads. soon we'll be like Jakarta.

[Chow Yun Fatt]

Originally posted by Throttle@Nov 9 2006, 12:05 PM

Damn it.....so many cars on the roads. soon we'll be like Jakarta.

It Has Already Begun

[xb84]

Originally posted by Chow Yun Fatt@Nov 9 2006, 12:29 PM

It Has Already Begun

i'm going to move to some place near a mrt station if it worsens.

the car or bike would be for joy rides at night.

[Dixion]

i don't know whether it's mine imagination anot but these few days it seems to me there are more cars then usual...probably more and more ppl buying cars now

[Throttle]

It is not your imagination, dude. there are many more cars and places getting crowded and parking areas are getting tougher and tougher to find. what will happen is that carpark levies will increase. ERPs will increase. Accidents will increase and insurance will increase.

 

Money money money

[ashdevil]

Even i prefer driving but due to my tightness i resolve to riding.

 

i driving an OPC 1.0 car.

 

My salary only $1.6k bringing back aft CPF is $1280.

 

Mthly Instalment = $239

Petrol per mth = $120

Season Parking = $68

OPC coupon = $20 x 2 = $40

Parking/Cash Card = $40

Insurance = $1200 divide by 12 mths (use dad's name - cheaper) = $100

Road tax = $50 divide by 12 mths = $ 4

Maintanence + Misc = $50

 

Monthly cost for owning = $239 + $120 + $68 + $40 + $40 + $100 + $4 + $50 = $661

 

As you can see my balance is $619 for my $80 personal insurance + $100 HP Bills + $36 Subscription Fee + $80 credits + Weekly entertainment, cigerettes, ... cannot survive!!!

 

Are u sure u wanna own a car now? Unless u hav $3k per mth than u can affordlah. :banana:

[Skunk]

Originally posted by ashdevil@Nov 23 2006, 03:28 PM

Even i prefer driving but due to my tightness i resolve to riding.

 

i driving an OPC 1.0 car.

 

My salary only $1.6k bringing back aft CPF is $1280.

 

Mthly Instalment = $239

Petrol per mth = $120

Season Parking = $68

OPC coupon = $20 x 2 = $40

Parking/Cash Card = $40

Insurance = $1200 divide by 12 mths (use dad's name - cheaper) = $100

Road tax = $50 divide by 12 mths = $ 4

Maintanence + Misc = $50

 

Monthly cost for owning = $239 + $120 + $68 + $40 + $40 + $100 + $4 + $50 = $661

 

As you can see my balance is $619 for my $80 personal insurance + $100 HP Bills + $36 Subscription Fee + $80 credits + Weekly entertainment, cigerettes, ... cannot survive!!!

 

Are u sure u wanna own a car now? Unless u hav $3k per mth than u can affordlah. :banana:

Oh dear....as a simple rule, you should not spend more than 25% of your takehome pay on transport. The lesser the better. Now u r spending about 50%...waaaayyy too much.

[Guest doremo]

always got impulse to buy car but weighing the pros n cons, give up e idea. Dunwan to land myself in lifetime of debts if i buy car. Car just a luxury, bike will do fine for me. Did some calculations, better to have more cash on ya hand Freedom to ride, dunwan to buy a car to burden myself.

[Throttle]

Originally posted by ashdevil@Nov 23 2006, 03:28 PM

Even i prefer driving but due to my tightness i resolve to riding.

 

i driving an OPC 1.0 car.

 

My salary only $1.6k bringing back aft CPF is $1280.

 

Mthly Instalment = $239

Petrol per mth = $120

Season Parking = $68

OPC coupon = $20 x 2 = $40

Parking/Cash Card = $40

Insurance = $1200 divide by 12 mths (use dad's name - cheaper) = $100

Road tax = $50 divide by 12 mths = $ 4

Maintanence + Misc = $50

 

Monthly cost for owning = $239 + $120 + $68 + $40 + $40 + $100 + $4 + $50 = $661

 

As you can see my balance is $619 for my $80 personal insurance + $100 HP Bills + $36 Subscription Fee + $80 credits + Weekly entertainment, cigerettes, ... cannot survive!!!

 

Are u sure u wanna own a car now? Unless u hav $3k per mth than u can affordlah. :banana:

Well, i guess a lot of people here wont feel sorry for you.

 

I think you are clearly "asking for it". The moment somethine bad happens , your whole formula will crumble to the ground leaving you in debt.

 

You may own the car but you aint own the freedom of it, dude.

 

p.s. which by the way, defeats the whole purpose of having a set of wheels.

[Demon]

Originally posted by ashdevil@Nov 23 2006, 03:28 PM

Insurance = $1200 divide by 12 mths (use dad's name - cheaper) = $100

Isn't your insurance premium rather high for a 1.0 car ?

 

[Throttle]

Not really high lah, if using his own name I think at least $2000 probably?

[paithorn]

Frankly bro, with yr pay, you are buying a "liability"

[Demon]

Originally posted by paithorn@Dec 3 2006, 05:18 PM

Frankly bro, with yr pay, you are buying a "liability"

however much you earn, a car purchase is always a liability.

 

[Throttle]

Originally posted by Demon@Dec 3 2006, 06:11 PM

however much you earn, a car purchase is always a liability.

 

If a person can afford a car easily, the car will provide him with freedom and

enjoyment, and could even be used for his livelihood.

 

so not necessarily always a "liability" . Maybe a better term is an "expense".

[BlackDawn]

Sometimes I wonder... many many people buy their first cars (or upgrade to bigger cars) when a newborn comes along. No doubt the car allows you to ferry your family around with much convenience... but with a newborn AND a car arriving at one go, doesn't that put a lot of pressure on balancing the monthly income/expenses?

 

Is the freedom offered by the car worth the opportunity cost of ~$10k+ of additional expenses annually? (which would serve better to start an education fund for the kid, if you are the sort to plan early)

 

My opinion is that surviving without a car when a newborn comes along is easily achievable. Taxi's are bountiful & won't cost much as compared to owning a car (not to mention that parking is horrendous nowadays)

 

Would like to hear some opinions from guys who have just started families...

 

You may own the car but you aint own the freedom of it, dude

(p/s Throttle, this was an excellent point )

[xb84]

newborn. the perfect excuse to get a car.

 

maybe the alternative would be to rent a car for the period instead of buying one.

 

what do the daddies have to say?

[Throttle]

MAny people buy a car becos of "face"

 

In Asian countries like SG and HK, "face" is very very highly regarded.

There shouldnt need to be any excuse to buy a car. If you need an excuse to buy something , you dont need that something.

 

Anyway, it's all fine, just simply dont bite of more than you can chew or you'll choke. This rule goes for just about everything.

 

 

=============================================

 

On Kiamh's point, it is definitely ok not to have a car even when you have a newborn. some people dont even have shoes when they have a newborn.

 

Strivingfor the better but living within one's means is very respectable.

[hondavvvtec]

Originally posted by Options@Oct 28 2006, 02:10 AM

Erm...

actually if u r buying a normal car, be it a picanto or a lancer or a TS...

Ur monthly expenses on it will somehow add up to over $1k....

not to mention cars like BMW 3 series which monthly installment cause u more den $1k with ard $15k downpayment.

advice... save up n down a high amount of downpayment to reduce the years of installment u will be paying...

 

Bad example:

a honda fit which cause ard $54k with $0 drive away at 2.88% interest rate for 10 years....

total = $69552 ($15552 interest for 10 years)

monthly installment = $579.60

so basically means u r paying only for e interest for e first 2.5 years...

depreciation = $4.6k per year

so again it means dat u can only break even at e 7th year...

DO U PLAN TO KEEP E CAR FOR SO LONG???

 

Good example:

same model at $54k with a 20k downpayment at 3% for 6 years

total = $40120

monthly = $557

U only need 3 years to break even....

meaning highly returns when u wanna sell e car earlier....

 

juz my 2 cents....

 

how u calculate BREAK EVEN??

i very confused

below is my actual scenerio...

 

FIT 1.3A @ $51,000

Downpayment $10,000

Loan 7yrs @ 2.85%/yr on $41,000K

total interest paid after 7 yrs = $8,179.5

Mthly = $586

How long will i take to break even?

[xb84]

Originally posted by Throttle@Dec 4 2006, 09:30 AM

MAny people buy a car becos of "face"

 

In Asian countries like SG and HK, "face" is very very highly regarded.

There shouldnt need to be any excuse to buy a car. If you need an excuse to buy something , you dont need that something.

 

Anyway, it's all fine, just simply dont bite of more than you can chew or you'll choke. This rule goes for just about everything.

 

 

=============================================

 

On Kiamh's point, it is definitely ok not to have a car even when you have a newborn. some people dont even have shoes when they have a newborn.

 

Strivingfor the better but living within one's means is very respectable.

damn its tough not buying oneself a 'face', especially in sg. temptataions all around.

 

bought this book few months back and yet to read it, "the monk who sold his ferrari", shall start reading after exams, see if it helps.

[Throttle]

Originally posted by hondavvvtec@Dec 4 2006, 12:26 PM

how u calculate BREAK EVEN??

i very confused

below is my actual scenerio...

 

FIT 1.3A @ $51,000

Downpayment $10,000

Loan 7yrs @ 2.85%/yr on $41,000K

total interest paid after 7 yrs = $8,179.5

Mthly = $586

How long will i take to break even?

depends on how much is you paper value.

 

You so call "breakeven" when you do not have to top up cash to sell the car.

 

The number of years of loan that you take will predetermine the longest it takes to "breakeven" For your case, i estimate around 5 yrs to break even if lucky.

 

Becos 5 years later, your car will be optimistically worth about $20k++ in the resale mkt. If you sell your car then. You will still owe 2 yrs of loan ($14k) which can be covered by the sale.

[Throttle]

Originally posted by onefour02@Dec 4 2006, 03:00 PM

damn its tough not buying oneself a 'face', especially in sg. temptataions all around.

Yes fully agreed.

 

We are too materialistic.

[jiaju]

Agreed. Sometimes with a car its easier to get "things" done.

[Throttle]

Haha, it's not getting things done thats difficult.

It's undoing things, now that's difficult

 

hahah

[Demon]

Originally posted by hondavvvtec@Dec 4 2006, 12:26 PM

how u calculate BREAK EVEN??

i very confused

below is my actual scenerio...

 

FIT 1.3A @ $51,000

Downpayment $10,000

Loan 7yrs @ 2.85%/yr on $41,000K

total interest paid after 7 yrs = $8,179.5

Mthly = $586

How long will i take to break even?

You must first define "breakeven". Because it is impossible to put a price on your car ahead of time. So for all calculations to be realistic, your numbers must be real and not forecasted based on a set of assumptions. So by using scrap value to determine your breakeven, you will get realistic point in time whereby your ouststanding loan and value of your car meets. If you totalled your car, that's roughly how your insurer will compensate.

 

Your car scrap value comprises of two components, the ARF, and COE, and tally against your total instalments paid over the same period of time, you will get your breakeven point.

 

Based on your figures, my guess is about 4 years ?