The Costs Of Owning A Car – Are You Spending $7K to $11K each year?

The Costs Of Owning A Car - Are You Spending $7K to $11K each year?Do you know how much you spend on your car each year?

I will tell all of you my story now. I’m probably one of the worst people in the personal finance blogosphere when it comes to cars because of what I’m going to tell you below, but oh well!

If you are new here, we have a Camaro 2SS that we bought last year.

We also have a Jeep Wrangler that we bought around 1.5 years ago as well.

We also used to have a 1961 Chevy Apache (click here to see the pretty picture of it – I miss it a lot), but we sold it two months ago because of a lack of garage space.

We spend a lot of money on our cars, and I know that. It’s okay though, we love them :) We are car fanatics, and it is one of the things that we work on making extra money for so that we can afford them.


You are probably rolling your eyes at me now, but please hear me out.

We truly do love our cars and we get a lot of joy out of them. We DO NOT have them so that we can keep up with the Joneses. In fact, I actually dislike talking about our cars because of the judgmental looks/thoughts that we usually get. Wes is a car guy, and it’s a hobby for him. I love my Jeep because WHO DOESN’T LOVE JEEPS?

Everyone has something that they enjoy spending their money on, and cars just so happens to be our enjoyment. Just like if you are a stamp or coin collector, spend money on clothes, spend money on traveling, spend money on eating out, etc., cars are our thing (but we like traveling too :) ).

I don’t think there is any “right” or “wrong” hobby for a single person, because no two people are exactly alike. If you can afford it, then why not?

However, cars are expensive, and I do realize that!

ANYWAY, to get back on topic, according to a survey done by AAA, the average annual car costs are around $7,000 to over $11,000 (depending on your car – for example, if you pick something in the Volvo car range then you will probably be spending less than an expensive sports car that gets 11 miles to the gallon).

Below are some of the common costs of owning a car.


Buying the actual car.

Usually buying the actual car is the most expensive category when it comes to your car costs. You can buy a car for something such as $500 cash (you can’t guarantee that it will work for a long time – however, we did buy a car for $500 once and it lasted us for quite some time, and we were then even able to sell it to another person for $500), or you could buy a brand new car where the price can vary greatly.

Not all cars are equal, and this is where you researching different cars that you are interested in comes in.


Fuel costs.

Certain cars have higher fuel costs than others. Your car may take only premium gas or it may take unleaded. Your car may run on grease (I have seen this happen with a few older cars), and then your gas costs are very low since you can usually get free grease from restaurants.

Then there is also the associated cost when it comes to fuel mileage. Not all cars get the same fuel mileage, and this is something that you may want to look at when you are trying to determine which car is for you. Some cars may get less than 10 miles per gallon, and others may receive over 50 miles per gallon.

Lastly, when it comes to fuel costs, it also depends on how much you are driving. If you are driving 100 miles roundtrip each day, then your fuel costs will be much more than someone who drives one mile away to their job down the street.

We don’t spend much on our fuel costs anymore, since we are both working from home. However, we do like to leave every now and then, with our favorite being to drive to Forest Park (around a 30 mile roundtrip drive).

We spend around $150 to $200 a month on gas. We could definitely be spending less though.


Car insurance.

This is one area that we don’t spend a lot in, even though we have expensive cars. Your car insurance could be something such as $30 a month, or it could be something like $500 a month. It depends on your car, your driving history and so on.

For us, we spend around $50 for each car, or $100 altogether each month for both of us to be fully insured on both cars. Definitely not bad, especially since others have similar cars to us and they are spending somewhere in the $250 to $500 range each month in car insurance.

We did have to shop around for car insurance though. I don’t remember the exact amount, but if we would have stayed with our original car insurance company, I believe we would have been spending around $400 to $450 a month to fully insure our two cars.


Car maintenance. 

Certain cars cost more to maintain than other cars. It’s that plain and simple. One car may only take the best oil out there, which may come out to $100 and over for just one oil change. Other cars do just fine with cheaper oil changes, and you may be able to spend a cheap $20 changing your oil yourself.

Also, certain cars are built to last longer than others. Others are made very cheaply and something may break every few months.


What are your annual car costs? Are cars one of your splurges/hobbies?


Our New 2013 Camaro 2SS and $1,713 in Extra Income

2013 Camaro 2SS

Yup, this is our new car.

Happy Monday everyone! To the left you can see our awesome new car. We bought a 2013 Camaro 2SS just in case any of you were interested ;)

This past weekend was nice and fun. And that is great because work is so busy right now that I feel like I’m running around with my head chopped off. Can’t wait until the summer and this is all over hopefully. This past weekend went by too quickly, but oh well.

We got a TON of snow yesterday. On Saturday, I had the windows open and it was nice outside. Then of course we get over 15 inches of snow and it’s supposed to just keep snowing. This really stinks because we just bought the Camaro and of course it can’t drive in this. Snow in the spring time? NO!

Today, we’ll just be sharing the Jeep but that is a hassle since we don’t work at the same time nor work anywhere near each other. I am definitely not looking forward to driving to work, then back home to take W to work, then going back to work and then going home and then picking him back up 4 hours after that. AHHHH! 

Also, I have a really awesome guest post about a fellow blogger and her significant other who quit their jobs around 6 months ago to travel the world. They have been all over and her guest post about it goes live on Friday. I know all of us dream about this happening one day, so why not live through her in the meantime? Be sure to come back on Friday!

Our Updated Living Room

A lot of you asked for a photo of how our living room looks now


Definitely a lot of spending in the past week. We bought a new car so that is expected! We are happy about one thing though, we thought it would be around $200 per month (at the minimum) for the Camaro’s car insurance, but it turns out that our insurance actually LOWERED and now we are only paying $100 per month for both of us on both the Camaro and the Jeep. That is crazy to think about. I even emailed our insurance company to make sure that was correct, and they said it was.

Everyone told us that we were crazy for getting the Camaro because our insurance should have gone through the roof. For some reason we got lucky so I’m definitely not going to complain. It is sad to see that my old car is no longer in the driveway, especially since my dad help me pick it out just one week before he passed away. Weird memory, I know, but it is still something that I think about. He LOVED Camaros though and had one for nearly half his life, so I’m sure he is super happy that we have a Camaro :)

Our New 2013 Camaro 2SS and $1,713 in Extra Income

Extra Income (does not include income from our main jobs)

I received approximately $1,713 in payments in the past week. A good week of course. I do feel like I’ve stalled with my extra income, but I am fine with that. I’d definitely rather have it be stable and having only the slightest increases than be decreasing.

Anyways, I’m still at a great level! How are you doing with your extra income? What are your goals with it? Eventually leave your job and do only extra income efforts? Pay off all of your debt? Tell me all about it! I am really interested.

Posts from my blog:

  1. No New House For Now and $2,323 in Extra Income
  2. Case of Lifestyle Inflation – But I’m Not Upset
  3. How to Stay Motivated With Debt Repayment
  4. How to Transition Back into the Workforce After a Long Period of Unemployment


Link Love

  1. How do We Define Success on the Internet? Frugal Portland
  2. Best Credit Card Sign Up Bonuses – March 2013 Money Life and More
  3. Wait, Are We Poor? Our Freaking Budget



We’ve been doing really good with our food budget. I still will never say how much we were spending before, because usually jaws hit the floor. Our fridge is super packed with food though and we need to start eating more of it before it all goes bad. I do have a question though, how much do you all spend on food per month? How about per person per month?

Being healthy

I am doing AWESOME with working out. I run at least a couple of miles a day, have been lifting and eating more healthy. It does really help to have our gym in our basement. Do you prefer to work out at a gym or at home? How much do you spend per month of being fit (whether it be gym memberships, a personal trainer, organic food, etc)?

Yes, the upfront cost of buying weights (we spent over $300 in weights alone, plus $300 for the olympic bar), a “cage” to put the olympic bar on (that was another $500 plus $50 for the seat) and around $800 for the treadmill (got it at a MAJOR discount). We paid for it all upfront with extra money so it’s not as though we even noticed it. Saving up and paying for it immediately is awesome! And now we don’t have to waste gas driving to our gym which was 20 miles round trip. AND we can spend that extra time that we would have been driving and just work out instead.

Have you been doing well with your extra income, spending and being healthy?


Getting Around in a Public Transit Free Neighbourhood

A few weeks ago I wrote a blog about being a one car household in the rural countryside. I never thought I’d recieve so many comments about how having one car to share between two working adults just isn’t feasible when there isn’t access to public transportation. I guess I didn’t make the point of that post clear enough:

Having one car to share between two working adults who must both commute to work is entirely doable. Even without public transportation.

Let me repeat that: There is absolutely no public transportation to be had in my rural community, yet my fiance and I still manage to make it work, day in and day out. Some days it’s annoying, but most days it’s not. In fact, most days I thank my lucky stars that we’ve made it work with one car, because cars are freaking expensive. Having one is bad enough, two would set me back on my debt free journey significantly.

Now, we both live way beyond walking distance to our respective workplaces, so we’ve had to resort to some pretty creative ways of getting around. Here are a few:


I live eight kilometres from work, and while I ran that distance a few times while training for my 10k road race last spring, it’s a bit far (not to mention hilly) to bike. I work in an office without a shower so showing up all sweaty from an invigorating bike ride wouldn’t be the best strategy to get ahead in my workplace. My fiance, on the other hand, only lives 1.6km from a coworker, so on the days when I don’t drop him off in the morning, he bikes up there and hitches a ride into work.


While we haven’t purchased one yet, I would absolutely love to have a scooter. Fuel efficient, affordable, and perfect for driving alone, I’ve been drooling over a scooter for awhile. Living in a rural community and being so damn far from everything, a regular bike isn’t really the best option for getting around, but a scooter? Count me in! In my last post on this topic, some of the readers mentioned not being able to convince their husbands to give up the second car, maybe floating the idea of replacing it with a motorcycle will sweeten the deal?


My fiance and I carpool almost everyday, whether it’s me driving him to work, or him taking the car and dropping me off at work before taking off to do his thing (he’s an entrepreneur so his work hours and location are more erratic), we always make sure to coordinate our schedules. Beyond that, I often carpool to work with my own colleagues (one of whom lives around the corner from my house for part of the year), and he with his. Sometimes I worry that my coworkers might get annoyed with this, so I always make sure to offer to pay my fair share of the fuel costs, and I’m always prompt and ready at the designated pick up and drop off times.

Coordinating Work Hours

I work a typical 8-5 day, and in the summer so does my fiance. His business is seasonal, however, and in the winter he often finds extra work to keep busy. Since we only have one car, and the nearest city (read: source of jobs) is 30km away, he makes sure to only apply for positions with hours that won’t conflict with mine.

Working from Home

Finally, I’ve worked hard to show my employer the value of having me work from home. Having the flexibility to be able to stay home and work on my laptop allows me to forego having to arrange transportation completely for the day. I can just sit back on my couch in my pyjamas and not have to worry. Working from home has the added benefit of not having to navigate the treacherous winter road conditions that are often present in my rural community during the colder months – having two cars is expensive, but so is going off the road!

It’s Doable, You Just Have to Want It

Having one car in a rural area with no public transportation isn’t an ideal situation. In fact, attempting it with two working adults and children would probably be downright impossible, but as young professionals without children, we’ve found ways to avoid the ridiculous costs that come along with owning a second vehicle. I’ve actually discovered some hidden benefits including improved communication with each other and a better relationship with neighbours and coworkers. I’m serious about getting out of debt and that means eliminating every single unnecessary expense in order to throw more money at debt. A second car is unnecessary to us, and not having one has helped me pay off almost $13,000 of debt in ten months.

What huge expenses did you think were totally necessary only to find out you could live without them?