My financial conundrum

[dragonf1y]

I know that $4 a gallon seems like a whole lot, but don't forget to do YOUR math.
MY math:
2 yr old sm SUV get 20 mi/gal
drive about 250 mi / week

if i replaced with car that get 40 mi/gal (not realistic but makes math easy)
I save about $1200 a year with prices at $4 a gal
I save about $3500 a year with prices at $6 a gal

For right now prices and selling craze it is not worth trading in my car.
Don't let doubling gas prices trick you into making a hasty decision.

 

[spyrosmom]

Better than blue book is Nada Guides. You'll get a better guesstimate. www.nada.com

Nan

 

[Shelshula]

There are a number of financial considerations when deciding to sell a usable vehicle.

Remember excel is your friend. you should do a spreadsheet.

compare all the costs of both vehicles: insurance, gas, repairs, car payment, maintenance, etc.

The gas can be estimated by dividing the miles you put on the truck by the number of years you have owned the vehicle. then divide the number of miles per year by the number of miles per gallon the truck averages. (use your trip odometer to track the miles for one or two tanks and keep the receipts when you fill up. Divide the miles by the gallons of gas for the fill-up.) Use the Miles per gallon rating for the new car for the new car. you can then figure out how much gas will cost you per year for both vehicles.

I imagine the repairs will be the deciding factor.

However, if the truck is in reasonably good shape and not in need of major repairs or maintenance, your better off putting the car payment in a savings account and letting it accumulate for a a while. And I would set up an auto transfer from your checking to your savings so that once a month the cash moves into the savings account without your doing anything. The money will accumulate faster then you think. Don't let the price of gas scare you. It's still cheaper then an energy drink or a Starbucks coffee.

 

[Shelshula]

There are a number of financial considerations when deciding to sell a usable vehicle.

Remember excel is your friend. you should do a spreadsheet.

compare all the costs of both vehicles: insurance, gas, repairs, car payment, maintenance, etc.

The gas can be estimated by dividing the miles you put on the truck by the number of years you have owned the vehicle. then divide the number of miles per year by the number of miles per gallon the truck averages. (use your trip odometer to track the miles for one or two tanks and keep the receipts when you fill up. Divide the miles by the gallons of gas for the fill-up.) Use the Miles per gallon rating for the new car for the new car. you can then figure out how much gas will cost you per year for both vehicles.

I imagine the repairs will be the deciding factor.

However, if the truck is in reasonably good shape and not in need of major repairs or maintenance, your better off putting the car payment in a savings account and letting it accumulate for a a while. And I would set up an auto transfer from your checking to your savings so that once a month the cash moves into the savings account without your doing anything. The money will accumulate faster then you think. Don't let the price of gas scare you. It's still cheaper then an energy drink or a Starbucks coffee.