Wednesday, 2 January 2013

Do you need a car?

Before jumping into all my tips on saving money on cars, I thought I should first question the premise of "needing" a car in the first place. After all, replacing one or more vehicles with a free or cheaper alternative would save thousands of dollars if not tens of thousands of dollars a year.

The first question to ask is what are the alternatives?  Obvious choices could include:
  • Walking
  • Cycling
  • Public transport
  • Car pooling
  • Car share schemes
  • Taxis for short distances; rental cars for long ones
The footprint of car share schemes in Sydney seems to be expanding pretty rapidly and could certainly be a viable option for inner city dwellers.  For suburbanites like myself, renting a car for a medium to long term can actually be financially comparable to purchasing a new car.  I rented a Toyota Corolla prior to purchasing my first new car in Australia and it actually cost me less than the new car payments plus rego, insurance, etc. did later on.