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Auto engineer here. Keep your windows up, not down, to save the most. Aerodynamics on modern cars makes it more important to reduce air drag than to turn off your fan.
@@VincentChan it's tough to say. It is definitely more impactful at higher speeds. Automakers always test their cars in the wind tunnel with the windows up, so I don't have much experience with open windows at different speeds. I suspect though that all but the slowest local drives would benefit from windows up and air con on the lowest blower speed.
I’ve been a bike commuter for the last 6-7 years. And I love it! Also grateful that I live in an area where that’s possible. I can’t even imagine the thousands of dollars I’ve saved. It’s allowed me to spend my money in other categories that are more important to me. Experiences > things.
I feel so much happiness reading this post! America needs to get it together when it comes to forcing everyone into buying a car, car/commuting lifestyles, and the design of our communities in general. Unfortunately, we ve moved to a pretty notable tourism state where im learning that riding my bike is not the safest of things to do. This season ill be selling off my bike build from last year after having another family member hit by a truck and almost killed training on their bicycle. Its just too unsafe in the majority of America to even attempt to bike commute these days. We have kids and I couldnt imagine not coming home because some jackass on his cell phone hit and killed me and i never even saw it happen, couldnt react, or was killed instantly.
The biggest problem with car ownership is that manufacturers are not making affordable cars anymore, they are making big SUV and trucks. Also cars and trucks are less reliable than they used to be, especially the big three. I rather see cities build more mass transportation than widen highways. In my small town Frazier Park, we have a bus that goes to Bakersfield and Santa Clarita. The times are not always convenient, but at least we have that option. The point, less emphasis on buying a vehicle, and more emphasis on mass transportation.
I live in a rural community, and if you can find a 3-5 year old car with over 150,000 kms, you can guarantee those are all highway km's. Highway km's are ALOT less damaging to your car then the stop and go of city km's. If you can find one of these cars, with a Carfax that shows a consistent maintenance history, you can get a great deal. Most people see the mileage and won't even look at the vehicle. I bought my last vehicle at over 200,000 kms and have had zero problems over 7 years later.
I bought a used Honda accord in 2005 and had it for 17 years with very few problems after having several lemons and wasting money on a few earlier cars in my 20s. Now I paid cash for a 2014 used Camry and am hoping to have it for 17 years as well. I wish I learned about the pitfalls of financing and the true cost of owning a vehicle decades ago!
The main problem is that in North America, if you do live in suburbs or rural, that a car is a necessity. This is why car-pooling started up, and looking at how many cars are in them, it seems to work. We have no public transport that is feasible, should I choose to travel to my job, that is only 35 miles away, it would take me 5 hours to get to the city and another 45 minutes to get to a stop and walk another mile to get to the building. That is one thing I miss from living in Europe. The other challenge is that people think they need to have their car changed every 3 years like it is a consumable. With the current recession, cars are not maintained and keep driving until they fail completely. People are over their heads into car payments, some over a thousand dollars per month, add to that a mortgage and soon enough you need a second job to make ends meet.
Well but the car equals more money than it is a wealth creator. Truth is it can't be sold but the problem is without the income there is access issue.... WTF my biggest problem is the rent/mortgage because of all the bills it is by itself the most expensive.....
Urban design here is terrible. They literally set us all up via the local zoning board to have to purchase vehicles, or brave riding a bike on the road, of which Velos have no protections, no one cares when youre killed on your bike trying to get to work. Urban and Rural planning in America really suck, but its all by design youve got to remember this.
I had a family friend purchase a luxury car right after college without a professional job. I calculated her payments and she has lost $51K with her lease payments and the insurance. It is the saddest thing because she wasted the her 20s on keeping up with the car. SMH she could have been way higher in a career or in medical school.
What kind of lease was this? Most leases go for 3 years. If she paid 51k in lease fees, that means her monthly payment was 1200-1400 per month, meaning her car would have to cost 80-100k in order to pay 51K over the course of 3 years.
When it came time for me to purchase a car, I thought back to videos like this to save myself thousands and thousands of dollars that I may have otherwise lost because of a lack of knowledge. Keep up the great work Vincent!! Videos like these are super valuable!
I'm still driving my 2008 Mercedes Benz C300 and still works like a charm. Not sure why people are telling me to buy a new car, i can afford it but i'm building wealth. Let alone when you buy a new car, you have to deal with new payments for insurance as well as registration every year. People do not get it when it's a car. I'm not flashy, i rather go out and no worry about any money and reinvest back in the market.
I drive a 2011 Volkswagen Golf GTi (Mk6), purchased used in 2018 and it's still great. I got it for around 56% of the original purchase price and, unbelievably, it still only had 36,000km (22,000 miles) on it. I also have the privilege of walking to work so it's more of a weekend and trip car, extending it's lifespan even more. I've put in a few quality of life upgrades but otherwise I perform all the maintenance myself as well as any minor repairs that come up. With the car market as it is right now in Canada, I could sell that thing for damn near MSRP, but I kinda don't want to because it's so inexpensive.
It is never about the car. It is about feeling like you are successful. If there were no one left in the world to see you, would you obsess about what car you drive? When you imagine owning the car of your dreams, what does that image look like? Who is with you? Where are you? Who sees you?
I just purchased a 4Runner TRD pro a few months ago. I looked at purchasing used and a 3 year used one was only 5k cheaper, if that. The 4Runners are known for being near bulletproof and they hold their value well so it was worth it in my opinion. I plan on having it paid off completely by its first birthday.
When I see a 4Runner, I think Money Pit. They are expensive in price and Gas costs. In my area, 4Runners start a little over $40k and Hybrid Rav4s start at a little over $30k. If both vehicles were driven 300k miles, the 4Runner would cost over $37k more in gas. All of the money saved in reliability and less depreciation is getting spent in the gas tank. You could buy two Rav4s and still save more money then buying one 4Runner.
@@ethxo6734 4Runners are great looking and are vary capable vehicles but This is a video about How vehicles can kill wealth. 4Runners have a 23 gallon tank allowing it to go 500 miles. Gas prices in my area is about $3.70 a gallon. It would cost $85 to fill up. The RAV4 hybrid can go 572 miles with a 14.5 gallon tank. It would cost $53 to fill up. A Camry Hybrid has an 11 gallon tank, can go 600 miles would cost $40 to fill up. A lot of people buy 4Runners thinking they’re saving money. If gas goes up to $5 again, that 4Runner is going to need $115 to fill up.
I agree with the purchase because you planned for it. Yes, vehicles are a big purchase that can go sour really fast. However if a certain vehicle is needed for lifestyle then it's worth it. I drive a paid off Tacoma. I got a second job and worked for it. 4runners are amazing. Just remember oil changes every 5k not 10k.
You should have grabbed a used GX, its a better platform. The 4runners over time develop a rust in the rear frame behind the gas tank that is prevalent if you live in a salt state. I just sold off a 2006 4runner that mechanically was beginning to cost me money, but the frame and body were getting worn through at 230k miles and a few salt states of use. The Lexus is more comfortable, better off road, and has the same amount of room inside. v8 power and you arent out there overpaying for a toyota product they wont be supporting after this TnFA platform debuts. The GX will run forever with the v8, its essentialy unchanged but interior and bumpers/lights since they first put it out. Its a steal compared to the newest version coming out next year for 65,000!!!
Insurance saved me this past year. Wrecked my car, totaled it. They covered a rental for 30 days. I was able to just pay cash for another car by adding about 2000 of my savings to the insurance payout. Sure its not the fanciest or newest, but it works and is more fuel efficient than my last car. My insurance rate obviously went up, but i was able mitigate some of that by taking a defensive driving course.
I am a foreigner worker in Japan and I am always obsessed with owning a hydrogen car Toyota Mirai, since the first time I know about that thing. However, if I managed to get one, my path towards owning a house would become really hard. In order to overcome this dilemma, I need to acquire permanent residency so that I can run a business with my car (working visa does not allow me to do works outside my major). I am living a frugal life. I purchase food from a budget-friendly supermarket and rarely have a take-out. I commute with a small bike on purpose so that I cannot get into a restaurant for lunch (there are no parking zone for bikes near restaurants). I keep my savings in investment funds. It was three years since my first time and it seems I have a good return from that.
Nobody cares where you live, what you drive, what you wear, eat, or do. Once you realize absolutely no one cares about you, at all, especially women, then life becomes insanely cheap. I live on almost nothing.
Windows down, A/C off wastes more gas at high speeds. Windows up, A/C on wastes more gas at low speeds. Just gotta do some physics/math based on your car.
I have a small Toyota Yaris car. I do agree that it cost a lot to maintain over the years, but having a car was a life-saver. When I was unemployed few years back, I spent most of my time hiding in my car and at the library because I didn’t want my family to know about it. Luckily those bad years are gone. I work in a call centre. My job is mentally taxing. After work, I often drive around, whenever I want to take a breather or escape to somewhere like the park, or to the beach for sightseeing. I also suffered from osteoarthritis in my hips, which means I cannot walk far distances, so having a car really helps with that too.
I agree with most except the leasing option. Three more options: learn to maintain basics: breaks, oil change, etc...buy used reliable car...and keep it for as long as you can and safely operate. These days, electric used car, especially Tesla, is among the best financially sound option.
LOL. A car is a car, no matter how you spin it. Sounds like another person getting swindled by the Big Grifter musk -- all tesla owners are getting swindled by buying into FOMO scam.
@@greysonat9269 If you can only afford 7k used car, yes. Batteries don't last forever but its degradation is lot slower than you believe and most listings show its current full charge mileage. You can buy 2020 with most of mileage in tact on Model 3 for 30K. Battery replacement is around 7k. liyf
You neglected to mention the absolute very best way to save money on a car: don't buy one! Consider Uber, Lyft, GIG, Zip, etc. All that being said, I do own a car: it is a 1989 Ford POS. I drive generally less than once a week (less than 2k miles/year), paid in cash (no financing; in fact, I have never financed a car or bought a new one), and has California minimum insurance (maybe $400/year). Annual cost of ownership & use is less than $1-2k/year. World wide, people have a bizarre and impractical obsession with cars, but they are one of the worst ways to spend your money.
"It's for the kids" "We need bigger space for the kids" "I work hard so I deserve it" That's their justification for buying something that they think will uplift their miserable lives lol
Bought a 2009 Infiniti G37 sedan off auction for $2800cdn in 4 years ago. It was well at the bottom of its depreciation curve. Up until now, maintenance, consummables (outside of gas) and repairs cost about $30 a month. And it will still blow the doors off most new cars on the road. Best purchase of my life. Having the knowledge and courage to work on your own car + knowing which cars stay reliable at the bottom of their depreciation is key to the lowesr ownership costs
Wish he had hit on not owning a car at all a bit as an option. I live in an area with decent public transit, but never really considered it as a viable option for the first few years I lived here. Decided to give the trains and buses a try for a month in lieu of my car to see if it was not unreasonably burdensome and ended up loving it. Now coming up on a year being car-free and have saved so much money by just relying on my $64/month transit pass instead of the $1000/month combined costs (payment, insurance, parking, maintenance, gas, car washes, etc) I used to be paying. While transit in the US is not necessarily a viable option everywhere, it’s definitely a better option than a lot of people in major metro areas realize.
Around the holidays is an excellent time to buy. Never ever buy an EV, ONLY buy Toyota, Honda, or Subaru (a bit riskier). Always put down $5K-$7K at least, take care of it get maintenance done early, don’t drive in the snow, garage store, avoid from surrounding mice, clean it weekly, & try to only use it when you absolutely have to.
There's also the option you didn't mention... living without a car. This isn't doable for everyone, but a lot more people can do it than think they can, and you can save a lot of money that way. I've never owned a car. I'm in Canada, and lived in a small town, a large city and a medium sized city. I have also lived in small towns in the USA. I have saved so much money by not having a car.
Yep, the pandemic has reversed the traditional savings theory behind used cars for the short term and select models, such as Honda Civics are holding higher value longer than ever. Thus, offsetting depreciation. Also, used cars can be a huge fail if not done properly. Just like new car purchases.
I've been looking for a new civic si and even the used 2022s are 32+ with 20000 miles on them....msrp is under 29k new....sorry not paying 1000s in mark up
I wish I had bought one of the 2012 Lexus LFAs Nüburgring for very reasonable $430K and I would have profited from quadruple appreciation to $1.8M current asking price as used. I bought the 1985 Toyota Supra and drove it for 23 years with just few minor repair at trade in for a bigger Toyota because of kids. I have been driving the same Toyota Sienna for almost 20 years and the Toyota still runs great at 324K miles. Everyone needs a transportation in order to bring in the incomes, taking road trips, running errands but they need to buy practical instead of luxury brands. Toyota and Honda are my choices and I haven’t have to make car payments for years. I paid college education for kids not the Beamer. Kids graduated, landed good paying jobs but still drive inexpensive Toyota and Honda like dad. Living American freedom dreams you must own a home, a car and a good paying job.
I modified my bike to make it an ebike, cost $1300, it has 20 klm range and max speed 55 klm/hr, and I recharge it at work - saving $2000 per year on car registration and insurance alone.
I bought a three year old electric in 2019 (2016 model) less than 14,000 in cash. So far so good. Monthly cost is less than $100 bucks (distributing insurance, taxes, electricity for charging and occasional expense like tires) the range sucks cause its a first generation EV but it's enough for my daily life. I didn't even install level 2 charger cause just normal outlet is enough for full charge over night. Can't never under stand people who drop 40-50k on a car. And I'm making six figures here.
I'm grateful I can afford to live in a city that is walkable, and with a reliable public transit. Everyone tries to convince me to buy a car, but I'm saving so much money!
ive been wanting to get a local job myself so i can save on car expenses... and I cant say ive had any success with it. but if i want to look anywhere else besides the town i live in, id have to commit to a commute. public transportation is practically non-existant. such is the life of someone living in a small town. this was a pretty good refresher into how much i could be saving if i succeded in that.
My friends are constantly making fun of me for driving a base model 2013 chevy cruze that doesnt even have cruise control and I just grin at them. This car had only 19k miles when I bought it, with the lack of features i haggled it down to $8500. All i need is something to connect my phone to so i can play music through speakers. Thats it. Only feature I need. I had this car paid off in two years. On top of this, the year of my vehicle had good consumer reviews. Had the car for almost 10 years now and I've paid less than $2000 total for unexpected repairs (this does not include routine costs like tires, oil, etc). My insurance on it is pretty low too at $82/mo. Meanwhile, dumb friend number 1 recently wrecked his 2 month old $45,000 big ass gas guzzling truck and is crying because his insurance is only offering to pay him about $25k. Also meanwhile, dumb friend number two had a job loss last year and had to take a job 20 miles further from his house and constantly complains about gas prices and how he works just to own his truck and whines about wear and tear and constantly having to take his truck in for one thing or another. I just grin when they make fun of my chevy cruze that I havent made a payment on in like 8 years and still runs just as nice as the day i got her.
Vehicle purchasing is one of my budgeting pet peeves, and I wish Dave Ramsey would create and popularize a formula to budget vehicle replacement, paying cash. Accounting folks try to use depreciation as an estimate for how much to "save" every month, but that takes 1/60th or 1/72nd of a historical cost that won't produce the future inflated purchase price. Saving up for a house, a car, a replacement roof, a new fridge, etc. etc. is daunting. There's also a budgeting idea that involves the total estimated eventual cost of a vehicle divided up into monthly cost that I haven't quite come up with. Love your thinking, scripting, presentations. I have a perpetual vehicle replacement video on my channel because cities typically just wing it too. :)
I got a used sport sedan for $37000 just under 2 years ago, the price new was around $51000. I have recently had to do the front brakes, and clutch. I did the brakes myself for around $1000 but paid the dealer $3100 to do the clutch and flush the transmission and diff fluids while they were at it. Not long after that, my center diff started making noise and the dealer says the diff is failing and I need a new transmission for $6100... If I bought new I wouldn't need any of those... If I get the new transmission, it will be $47000 in ownership used vs $51000 new...
I bought my 2008 Honda Fit with 210k miles on it and it’s now at 242. I’m a big time car enthusiast and it’s the most financial-guilt-free car fun I’ve ever had, highly recommend (with regular inspection of course)
For me, the number one wealth killer (in the UK) is my energy bill. I've been getting bills higher than my mortgage in winter time. It's insane and there's no option to switch.
I’d like to see the breakdown of owning a Tesla over 5years. I’m thinking of going electric. But I live in NY and I use quite a bit of mileage to commute to work. 😅
I bought an 8 years old Prius3 around 5.5 years ago, it was like USD 9000 on cash, and in Europe gas is expensive, I saved the entire purchase cost at gas stations compared to my previous car's consumption. Beautiful car? Nah... maybe if you compare it with Prius2. Anyways I don't have to impress girls any more, it was a finance decision. And a good one. Now it has 450K kms in it, and no sign that it will die anytime soon.
First job, I bought myself a sports car. Lost my money. Bought a Ford Explorer later. Lost my money on repairs. I still drive my 2012 Kia Sorrento. Saving money
I bought my car brand new, 2018 Honda Accord. I paid her off early and she’s been so good to me. Yeah she’s no C Class Mercedes but she’s like a turtle and will probably out live me😂❤️ I’ve only put 40,000 miles on her
I’m so glad I don’t like cars, am not impressed by nice cars, don’t drive, and don’t own a car. But I do pay NYC prices, so not sure if I’m actually saving? 😅
don't buy a new car! buy a used car with cheap replacement parts. I got a gen2 toyota prius and the car is indestructible with cheap replacement parts.
I change my insurance every year or so because I want to save $30 each month for the same service This time was able to use my credit Union as my broker and I saved $40 each month
Car payments are horrible on top of payment are maintenance, repairs, and insurance. Just paid off my GMC pick up that i am going to keep it for a lifetime. I hate being stuck in debt. I would rather maintain what i have and keep my financial freedom!!!
I have a 2018 Audi A6 2.0t s line, give me 500 miles on a full tank of gas. On highways, at one point was getting 40 mile per gallon. Just drive and chill now. No rush. Be safe everyone on the roads.
I bought a Subaru! They hold their value better than most vehicles. That and I live in a snow state. All wheel drive is a must! However…hybrid and electric vehicles aren’t a good idea. Until they figure out how to make sure it will start in subzero temperatures, not gonna happen here. Car insurance is not optional here, either. By law, you can get a ticket for not having it. Even get your car taken away at worst.
I have my toys lol. But my daily driver is a 2000 volkswagen jetta. It gets its compliments surprisingly. Four hundred thousand miles. Driven for 8 years so far. I spend less than 1000 in repairs and maintenance a year on it all theae years. My toys are cheap also. I live a rather lavishing life spending very little of my income over vehicles somehow lol. I need to make a video about that. 😅😅😅😅😅
One of the best jobs I ever had was selling cars. It allowed me to pull back the curtain and see what the racket was. Happy to drive my cash beaters 🙏🏾
@@VincentChan 2019 GM Terrain, but my credit was 620 back then, it's 730 now and I recently purchased a home in Florida. I can't refinance because globally the interest rates on auto loans sucks, I have to wait till they drop. I love my car, but I want to shave some cost off.
I drive a 2015 honda touring i bought it used 2019 2 month before the pandemic best car i have ever owned and it hasnt depreciated at all i can sell it today for the price a paid for it😂😂
6:10 dealers can and do mark up their prices significantly for the sought after models. I've seen 10k - 15k markups and even more for higher end cars like Porsches.
the best car to get is an old piece of trash (especially 1990s/2000s VW) with a diesel engine: - diesel engines are usually more efficient and last longer - piece of trash, so cost is low, no need for financing - repairs can be done by yourself of any decent mechanic for cheap - parts are available from many third party brands as well as used - get some auto club mambership, they are kinda cheap (at least in europe, about 100€ per year) so you dont have to fear being stranded by POS car
This is what is wrong with America. most people have no choice other than to be car dependent and forced to spend $12k a year supporting a car. That is money you could use to get another degree, start a business or travel. Secondly, Americans are tied to their corporate jobs because that is where they get their health insurance. No corporate job = no medical care. it hampers people.
I don't believe in anyone saying new cars are best options because of its reliability, cars all need maintenance and they cost a lot, and they will break and need repairs eventually. Some say I'll have to spend more fixing used car than new one, but I still don't believe that is true, it is true that the cost of repairing would exceed its value, but so does the depreciation of new cars? I'd rather spend more on repairs than paying more overall. Also I'm working from home, it doesn't make sense for me to buy new car to save fuel cost either, if I drive my old car for next ten years, repair and fuel cost would still be cheaper than new one. So now I'm living with an old used car, and I've been using it for 3 years without a single breakdown. Will keep using it until I can't get part for it. And yes, if you live where you don't need a car, don't buy a car, it's a necessary evil in certain places, but if you can avoid it, do it.
What is more efficient? The engine power to run the AC or the extra wind resistance with the windows down? I don’t know for sure but my guess is AC at highway speeds and windows down in town. Unless you live in a hot area or it’s an usually hot day then AC all day. Lol
Recently got a used car last year was 15k brought down to 11.5k cause i gave a 3.5k down-payment, have about 8.8k left on it in about a year, im about to pay it completely off by next year and just save extra money on the side to buy a car cash if needed
An even better option (if possible) is to just live and work in areas with good access to public transportation. That way you don't have to deal with the expense of a car at all.
We needed a second vehicle. Getting by with 1 for a long time. Ended up buying a used truck. Found a great deal. About $7k less than my local market. Flew out and drove it back. A 2 year old truck deprecated $750/month. After 2 years depreciation flattens right out on this model with 4 year old cars with higher miles costing the same. Then after 4 years depreciation starts hitting in again.
Its funny that we have to pay delivery fee for the car. If you dont bring the car to the dealer how we are going to buy or lets me go and pick it then😑😑.
haha everyone in the comments is so boring. life’s too short to drive slow, boring cars. if you can comfortably afford it, go drive that fun car you’ve always wanted, while also saving. I guess this only applies to petrolheads like me, but imagine losing the ability to drive/ride/walk tomorrow, and you then live with the regret of not just enjoying life that little bit sooner.