Most first time car owners neglect to anticipate the other expenses that comes with owning a car. Asides from your monthly amortization, you need to consider the cost of using and maintaining your vehicle. Some of these expenses costs an arm and a leg and will wreak havoc in your budget if you fail to prepare for it
. Let us examine the expenses that are commonly over looked or under estimated by first time car owners.
Fuel
Fuel is one of the recurring expenses you will incur using your vehicle. The several factors that affect fuel consumption of a vehicle are engine displacement, weight of vehicle and engine type. Driving conditions, the style of driving and proper maintenance of the vehicle.
| FUEL COST COMPUTATION |
| AVERAGE FUEL CONSUMPTION OF VEHICLE |
8 Km/L |
| AVERAGE DISTANCE TRAVELED PER DAY |
40 Km |
| AVERAGE PRICE OF GASOLINE |
Php 45 Per Liter |
| DAILY COST OF FUEL |
Php225.00 |
| ANNUAL COST OF FUEL |
Php82,125.00 |
|
|
|
| *BASED ON MY CARS AVERAGE FUEL CONSUMPTION (CITY DRIVING) |
|
Maintenance
Regular preventive maintenance will ensure optimum performance of your vehicle and preventing minor problems from turning into major repair jobs. If you haven't decided on a vehicle yet, compare the maintenance cost of various automotive companies. There are brands that offer quality service at low cost.
| MAINTENANCE AND REPAIR COSTS |
| PREVENTIVE MAINTENANCE SERVICE * |
Php20,000.00 |
| SEMI OVERHAUL |
Php35,000.00 |
| FUEL PUMP REPLACEMENT |
Php32,000.00 |
| SUSPENSION REPAIRS |
Php15,000.00 |
| AIRCON COMPRESSOR REPLACEMENT |
Php11,000.00 |
| THERMOSTAT |
Php7,000.00 |
| AIRCON SERVICING |
Php7,000.00 |
|
|
| *AVERAGE ANNUAL COST |
| ** COSTS ARE BASED ON THE REPAIRS OF MY CARS. FIGURES ARE ROUNDED OFF TO NEAREST THOUSAND |
Parts and Components
Tires, spark plugs, batteries, bulbs, wiper blades and brakes are some of the common car parts that are regularly replaced due to wear and tear.
| COST OF REPLACEMENT PARTS |
| TIRES (4 PCS.) |
Php16,000.00 |
| CAR BATTERY* |
Php3,200.00 |
| BRAKE PADS (FRONT & REAR) |
Php3,000.00 |
| SPARK PLUGS (4 PCS) |
Php600.00 |
| HEADLIGHT BULB ** |
Php1,400.00 |
| WIPER BLADES |
Php700.00 |
|
|
| *BATTERY PRICE DEPENDS ON VEHICLES REQUIREMENT |
| **OSRAM NIGHT BREAKERS |
|
Driver's License and Motor Vehicle Registration
Annual renewal of your Motor Vehicle Registration is a requirement. Asides from your motor vehicle registration, you also need to renew your car insurance, pay for emission test, and have stencils of your cars chassis
and engine number.
Driver's license on the other hand are renewed every three years. Requirements for driver's license renewal are a medical certificate and drug tests results.
| LICENSE AND REGISTRATION COST |
| DRIVERS LICENSE RENEWAL |
Php418.00 |
| MEDICAL CHECK UP |
Php200.00 |
| DRUG TEST |
Php200.00 |
|
|
| MOTOR VEHICLE REGISTRATION RENEWAL |
Php3,200.00 |
| EMISSION TEST |
Php400.00 |
| STENCIL |
Php150.00 |
| CAR INSURANCE* |
Php11,000.00 |
|
|
| *COVERAGE FOR CAR INSURANCE WITH ACTS OF GOD |
Car Accessories
Typical car accessories purchased by vehicle owners are seat covers, floor mats, tints, rims, sound system, fog lights, and backing sensors. Other car products commonly purchased are air fresheners car wax, rubbing compounds, and tire blacks.
| COMMON CAR ACCESSORIES |
|
|
| TINT |
Php6,000.00 |
| LEATHER SEAT COVERS |
Php8,000.00 |
| FLOOR MATS |
Php1,500.00 |
| AIR FRESHENER |
Php100.00 |
| FOG LIGHT KIT |
Php3,500.00 |
| CAR FRESHENER* |
Php150.00 |
Traffic Violations and Vehicular Accidents
Traffic Violations and vehicular accidents are becoming a common sight on the road. The growing number of motor vehicles have increased the chances of getting involved in a vehicular accident. Chances are you will commit a traffic violation or encounter an accident the more you drive in these crowded streets.
| LTO SCHEDULE OF FINES |
| RECKLESS DRIVING |
|
| FIRST OFFENSE |
Php2,000.00 |
| SECOND OFFENSE |
Php3,000.00 |
| SUBSEQUENT OFFENSE |
Php10,000.00 |
| FAILURE TO CARRY DRIVERS LICENSE |
Php1,000.00 |
| OTHER VIOLATIONS |
Php1,000.00 |
Parking & Other Expenses
Parking and Car Wash are some of the minor expenses that we take often disregard. The amount may seem negligible at first, it is only when once you add all these minor expenses for one year you will see the huge amount involved.
| PAY PARKING AND CAR WASH |
| PAY PARKING COST PER ENTRY |
Php25.00 |
| NUMBER OF TIMES A WEEK |
3 |
| ANNUAL COST |
Php3,900.00 |
|
|
| CAR WASH |
Php150.00 |
| NUMBER OF TIMES A WEEK |
3 |
| ANNUAL COST |
Php23,400.00 |
Fuel is one of the recurring expenses you will incur using your vehicle. The several factors that affect fuel consumption of a vehicle are engine displacement, weight of vehicle and engine type. Driving conditions, the style of driving and proper maintenance of the vehicle.
