So we're doing some serious thought about purchasing a car. I know, I'm a dedicated carless person. I gave my last one back to my dad when I was 26; I'll be 38 tomorrow.
We haven't had a real Minnesota winter at all this year, and I'd been feeling pretty good about the prospect of hauling 2 kids around next year. The walk to daycare is about 0.6 miles, and I figured I could even train AA to be able to walk that distance eventually.
But the last two days gave me a small reminder of the physical hindrances of snow and ice. Next winter, Minnesota will probably be back to its old tricks. We haven't even had to deal with the extreme cold this year, but we probably will next year. The sweaty, cranky mess I become dragging one kid in a stroller through the gunk has convinced me that the scales are tipping toward it being kind of ridiculous to continue insisting on not owning a car.
So we're left with the looming prospect of car ownership and all the costs that come with it and, frankly, it's daunting. I know we can afford it, but we'll need to cut some beloved luxuries. I don't want to slow debt repayment more than I already have, and we can't afford to cut back our retirement contributions, so the money will have to come from somewhere else.
I'm nervous and a bit overwhelmed, but also kind of excited to have a new financial challenge.
So trying to think of car expenses, here's what I've come up with so far:
- Purchase: NT has started researching, and I think we can get a good used car for $5,000-$10,000. We probably don't need one until November, so we have some time to save up.
- Insurance: I did an anonymous quote based on a hypothetical car and got a quote of $121 per month.
- Gas: Based on mileage of cars we were looking at, and the length of the commute, I think we could squeak by on $25-$30 per month if we were super stingy with car use. (I imagine there's a certain "lifestyle creep" that comes with owning a car vs. being forced to take the bus, so we'll need to be careful with this -- or be prepared to pay extra gas costs with our "fun money.")
- Parking: Right now we rent our parking spot for $85 per month, so that would be an immediate hit to our budget. As for parking while at work, I know my company will do pretax parking reimbursement instead of bus pass reimbursement, but I imagine it's more than current bus pass costs ($85 per month pretax). I'll have NT check what his company does as well. It will behoove us to keep some bus passes in play too, since we want to keep driving to a minimum and we go to and leave work at different times. (I foresee me driving in the morning, dropping off AA at daycare and parking downtown; then NT taking the car in the evening to pick AA up and bring her home.) So this category is a big question mark that I need to think more about.
- Registration: All I can find for MN/Mpls car costs is mention of annual registration for $23 plus "registration tax." No mention if that tax is closer to $5 or $500. Another big question mark.
- Repairs: I assume the price of a cheaper car upfront will be more repairs, but I'm not sure what a reasonable amount is to set aside, if that can even be predicted. $100 a month?
- Tolls, emissions, parking tickets (aka things we won't need to worry about). No tolls on our short commute. No emissions inspections in MN anymore. We'll be mostly parking in our condo garage or in a downtown lot or garage, so we should avoid snow emergencies and other parking-ticket danger zones.
- Next car purchase: Several of you, especially MonkeyMama, emphasize that you should always be saving up for your next car so it doesn't take you by surprise when you need to replace your current one. Assuming we get an old car for $6000 and it lasts us 5 years, I guess that would be another $100 per month. Does that sound right?
Are there other things to think about? We've already got driver's licenses, and car seats for our kids.
What am I missing? What are your typical monthly car expenses and how much do they run you?
Car considerations -- help!
March 1st, 2012 at 05:15 pm
March 1st, 2012 at 05:59 pm 1330624795
March 1st, 2012 at 06:02 pm 1330624970
Do want AAA or a roadside assistance program? That runs us about $70, but I figure I recoup at least half with AAA discounts.
March 1st, 2012 at 06:20 pm 1330626004
I would guess registration is higher. I pay $329 in my state for my Honda van and just $150 for DH truck.
Oil changes, brakes, tires, fluid flushes, battery replacement all come up at some point when owning a car. And that is just routine maintenence....not damage or major repairs.
March 1st, 2012 at 06:21 pm 1330626088
March 1st, 2012 at 06:45 pm 1330627533
MonkeyMama, it really is the only consideration that I feel is un-tackle-able without a car. It does seem weird/frivolous to contemplate such a big purchase for such a small sliver of our lives, but trying to envision that walk every day for 6 months out of the year in typical MN winter conditions is just horrifying and depressing. And there's no good bus option to daycare even though it's relatively close by.
I'm willing to work hard and sweat and be tactical to avoid having a car, but honestly that walk to daycare the last two-three days has been AWFUL. And the snow and cold is only a mild taste of what it will be in a typical MN winter. And the thought of wrangling a possibly spirited little toddler while also trying to ram a stroller through snowbanks ... there are plenty of spots on my route where people are slow to shovel, or lackluster in their efforts. Today was super icy; only having the stroller to hang onto saved me. Another little kid slipped and fell right outside of daycare as I was arriving, and she only had to go a few steps vs. half a mile.
Then there are the extreme cold days, which we haven't had this year but have every other year I've lived here, where I wouldn't want little AA to be out in it for a 20-minute walk because there's danger of frostbite. (I'm totally for training our kids to walk long distances as they get older, so I'm definitely with you on that point. But there are many days of dangerous conditions in Minnesota.) In the thermal-cover stroller it's one thing, but I don't think I could find a workable thermal-covered stroller for a 2-year-old and an infant...though it's worth looking around some more.
(I could definitely see us using it for more than just the daycare trip, as lugging even one kid and a stroller on the bus is a hugely laborious scenario at times. But I'd love for us to continue to be bus people when possible, for environmental as well as financial reasons.)
All that said, I love your idea of selling it after a few years if we do go ahead and buy one, once transporting little ones isn't as much of an issue. I just hope we don't get too spoiled and not want to give it up if we get one
March 1st, 2012 at 07:25 pm 1330629925
March 2nd, 2012 at 01:53 am 1330653239
March 2nd, 2012 at 02:43 am 1330656233
And I agree, if only all winters were like this one....but then it wouldn't be MN. Oh, the repressed memories of toddler rendered immobile in snowsuit, trailing mittens along the way (and there's always one mitten that doesn't make it home,) traversing the boot-clutching banks of snow, when all of a sudden child is skidding across an ice patch on her back with tears streaming.....to say nothing of the breakdown of the parent by this point. TOTALLY know what you're saying!
Good luck in your search!!
March 2nd, 2012 at 03:05 pm 1330700730
How would you feel if you bought a car and then the daycare situation changed? As much as it might suck, it still strikes me as a very *temporary* problem. Just think I'd seek out more temporary solutions, personally. The idea of a really nice stroller might save you a fortune right there (saw it mentioned in your other thread).
Doesn't mean the car isn't the best option - just all things to think about.
March 2nd, 2012 at 09:12 pm 1330722739
A good car can totally be had for between $5,000 and $10,000! We got ours with less than 30,000 miles on it.
March 4th, 2012 at 08:16 pm 1330892174
Jerry