What rule does this use?
Three rules: car price as a percent of income, percent of net worth, and the financing check — down payment, term, monthly all-in cap.
Tools / Car affordability
How much car can I actually afford?
Put in the boring numbers. I will show your cap, the monthly reality, and cars that fit — without pretending insurance is free.
What these numbers assume
Live values, straight from the rules file.
Absolute costs vary by state and run higher in Canada; the car-to-car comparisons hold.
- Gas default: $3.60/gal USD.
- APR default: 8.9%.
- Minimum down payment for financing: 20% of the car price.
Budget lanes
- Transportation pod saver: car price cap 25% of gross annual income, all-in monthly cap 8% of gross monthly income, loan term 36 months.
- Balanced, like me: car price cap 30% of gross annual income, all-in monthly cap 10% of gross monthly income, loan term 48 months.
- Die-hard enthusiast: car price cap 35% of gross annual income, all-in monthly cap 10% of gross monthly income, loan term 48 months.
Insurance
Assumes a new driver with a clean record, US average.
- Class 1: $1,500–$2,400/yr USD.
- Class 2: $2,000–$3,100/yr USD.
- Class 3: $2,600–$3,900/yr USD.
- Class 4: $3,300–$5,000/yr USD.
- Class 5: $4,200–$6,500/yr USD.
Mileage and energy
- Under 5k: 4,000 miles/year.
- 5-12k: 8,500 miles/year.
- 12-20k: 16,000 miles/year.
- 20k+: 25,000 miles/year.
- EV charging: 5 cents ($0.05)/mile USD.
Depreciation
Year one, shown separately, based on the priced-at value.
- Class 1: 4% of the car value.
- Class 2: 7% of the car value.
- Class 3: 10% of the car value.
- Class 4: 14% of the car value.
- Class 5: 18% of the car value.
FAQ
Questions I would ask before you buy.
Why is insurance a range?
New drivers get wildly different quotes for the same car. This is a plain US estimate by class — before buying, quote the exact VIN with your ZIP.
Is depreciation real money?
Not like gas. You feel it when you sell, not monthly — so I show it separately instead of hiding it in the first-year total.
Why these cars?
Same dataset as the first-car quiz, ranked by running costs and reliability first, with my review linked when I have one.