You are about to buy a new vehicle. You already have in hand everything you need to make your final decision, including quotes from various dealerships for various models. As you calculate everything and make sure your next vehicle fits within your budget, you have to make sure you plan for the extra fees that come with owning a vehicle.
Because the fact of the matter is that these fees add up. Indeed, they can almost add 50 % if not more to the monthly cost of your vehicle, so they need to be taken into account if you want to make sure you can afford your next vehicle.
Here are a few examples of other fees that come with owning a vehicle.
Fuel is the biggest extra fee that comes with owning a vehicle. The good news is that new vehicles are usually more fuel-efficient than the model they replace, so if you are buying a similar vehicle to the one you currently own, you should see your fuel expenditure decrease. However, if you are buying a more powerful vehicle than the one you own, or you are going from a sedan to an SUV, you should plan for higher fuel costs.
You should probably see with your insurance company how much it will cost to insure the vehicle you are planning to buy. You can also shop around if you feel your insurer is charging too much. What matters for the purposes of this article, however, is that you figure out ahead of time the cost of your insurance.
Maintenance and tires
You have to maintain your vehicle, and you have to plan for a set of winter and summer tires every three years or so, depending on how many kilometers you drive every year. You can estimate the cost of maintenance by talking with your dealership, and you can ask how much tires cost, figure out how my sets you will need for the duration of the time you plan to own the vehicle, and divide by the number of months to get an idea of how much you need to set aside for tires.
Thank you to Morrey Nissan of Burnaby for their help with this article.