How to save for a car

How to save for a car – four simple tips

Many people think that it is impossible to save a significant amount to buy a car. However, this is not the case. What exactly do you need to do.

1. Set a goal A dream car… Each of us would like a Ferrari or Porsche, but psychologists advise to have not only an “absolute dream” but also a “near dream”. And first of all strive for it – in this case you will not be disappointed by failures. So the first step on the way to the car – is to put the right goal. And you do not have to tell yourself “I want a car. No! The purpose should be as concrete as possible. Walk around the car dealerships, look at all sorts of options, decide what exactly you would like to drive: it is desirable to know the body type, configuration and even color!

At this stage it is important to understand the approximate price of your future car. If you currently earn 30,000 rubles per month, it would be a big mistake to set as a “near” goal some Mercedes-Benz for 10 million rubles. This is a “distant dream” (you should not give it up in any case, but it is better to go to this super-target gradually). Many experts believe that it is best to buy a car, the price of which does not exceed the income for 8-12 months. That is, if you earn 30 thousand per month, it makes sense to be guided by a car worth 300 thousand. Do you make 100 thousand? Congratulations – you can buy a car for a million and even a little more (in this case, the total family income is taken as income). And try not to make “childish” mistakes here. If you found a 15-year-old BMW with leather interior for $ 3000, then do not give in to emotions. Remember, the older the car, the more expensive it is to maintain. It especially concerns premium brands. If also to be guided by “second hand”, it is better to buy cars not older than 3-5 years with mileage up to 100 thousand kilometers. And these should be widespread and popular models, parts for which are easy to find.

2. Now let’s move on to the most difficult part – saving money. Here you must clearly follow the instructions: 1. Count the so-called mandatory expenses: utility bills, kindergarten receipts, Internet, transportation expenses, and so on. 2. For two weeks carefully write down all your food expenses. Thanks to this you will finally realize how much you spend on food. The very fact of control will lead to the fact that you will start to save. 3. Carefully examine your closet and determine what things you or your children need to buy over the next year. Try to figure out how much they might cost. Then divide that amount by 12. 4. Allocate a certain amount of money for entertainment or vacations. Giving up the “pleasures of life” completely is wrong – it can cause tension in family relationships or lead to depression. 5. Buy some envelopes. 6. Get these very envelopes when you receive your paycheck. In one of them put the amount you need to pay for utilities and other things. Sign the second envelope “clothing” and put there the amount from item “3”. There should also be “entertainment” and “incidental expenses” envelopes (3-5% of income). Food expenses are a little more complicated – they should be divided into four envelopes: week 1, week 2, and so on. This way you won’t gobble up everything in the first half of the month and then starve.

READ

How to correctly prepare your car for sale

7.Set everything else aside. Economists say that 10-20% of a person’s income can be saved virtually painlessly just by optimizing expenses. This amount should be taken to the bank and put in an account – for example, a deposit with the possibility of replenishment. Thus, you will also receive interest, which will bring you a little closer to the car. It is necessary to “hide” the money from yourself on the first day of income! Otherwise they can “slip through your fingers. It is necessary to save into the account not only from your salary, but also from any income you receive: the “basic” salary, advance payment, bonuses, and so on. The main thing here is not the amount, but the principle – as the saying goes, “the hen nibbles on the grain. If you do not trust banks, then you can hide money in envelopes. But they must be sealed! And that way you will be saving not bills, but envelopes (it’s harder to get cash out of a sealed envelope than to just take it out of a bundle). Write down on a piece of paper the amount you need to buy a car. Hang it on the wall in a prominent place. And as soon as a certain amount appears in your savings account, then immediately mark it. In a month or two analyze your expenses again. Maybe you can cut back on entertainment expenses. And buy theater tickets on the balcony instead of the front rows? Or spend on food, say, 500 rubles less per week? After all, 500 rubles a week is 26,000 rubles a year (not counting interest, if the money is put on deposit in the bank). If you follow these instructions, you will be able to save quite easily and easily, and your quality of life will not practically deteriorate. You just stop spending money on stupid things. And as your income increases, you will save at a much more active pace (yes, yes, if you decide to save for a car, it is highly advisable to start earning a little more than you do now).

3. Take a step back Have you set yourself the goal of buying, say, a new Skoda Octavia for a million rubles? But maybe it makes sense to take a “step back”? And turn your eyes to a more affordable Rapid, or a slightly used car? In fact they are much more accessible, and consequently, you need to save up less. Certainly, Skoda is cited here as an example – with saving up for Renault Logan you can buy a Lada or two-year-old Logan with the run of 40k.

4. Credit Usually we advise to be very cautious about purchasing a car on credit. But in some cases, credit can be a good assistant! After all, you will not have to save for a long time for a car (what if it becomes more expensive?), besides it is no secret that credit mobilizes people, forces them to be more attentive to expenses. There are some interesting offers in the market. Citroen, Nissan, Peugeot, Renault (but only for Duster) offer a credit for three years at… 0% per annum! And in Volkswagen, Mitsubishi, Datsun, Skoda it is possible to get a two- or three-year credit at 5,5-10% per annum. It is true that often such favorable lending programs imply that the down payment should be about 40-50% of the car value. This amount you will have to save independently, following the instruction given above. P.S. And remember – while calculating the sum you need, take into consideration “unplanned” expenses. Which, in fact, are predictable. For example, for purchase of MTPL or Casco policy, for technical inspection or repair (in case of purchase of used car), for purchase of winter tires or alarm system. All this can easily take 10-20% of the cost of the car. In addition, keep at least some money in the envelope just in case. What if the roof leaks in the house and you need to fix it?

READ

How to Dry Clean a Car Interior with Your Hands

Where can you get money for a car, if there is no credit? The only solution is to save. Is it possible to do this without limiting yourself in the most important, having a small salary and absolutely do not know how to save? Yes. We tell you how.

The first step: planning.

Planning – the starting point from which the further process of accumulation depends. It begins any financial task, so this step should not be skipped.

Answer three questions.

How much is a car worth?
What period of time do I want to save?
How much can I save every month?

All questions must have a clear answer, and the answers must be rational. It is illogical to plan to buy a car for 2 million rubles in six months, having a salary of 20 thousand rubles. Therefore we form our desires, proceeding from possibilities, and not on the contrary.

We make the terms and the sum as specific as possible;
When calculating terms, take into account possible contingencies. So that, for example, you could pay for the repair of the microwave oven without going into the piggy bank;
Write down all the calculations.

You need to be as specific as possible in terms of time and amount, so that you won’t be tempted to pull out a couple of bills for other purchases. For example, if you write “12 months – 500 thousand rubles,” then a year later you take those same half a million and buy a car. If you put “10-12 months” in the terms, in 10 months if you’ve already saved the necessary amount, you will definitely get into the piggy bank. After all, you have two more months to spare.

Now the most important thing: how much to save each month?

Step two: calculate investments

Financial experts advise you to save no more than 50% of your salary. Some people will be able to easily raise money for a car, while others will have to deny themselves much.

To begin with, you need to write down on paper the size of the salary, and then in a column – the obligatory expenses. In the calculation we take the maximum amounts.

Salary – 45000 rubles;
utilities – 5000 rubles;
Internet and telephony – 1000 rubles;
Child care and sports – 7000 rubles;
food – 10 000 rubles;
clothing – 5000 rubles;
Unforeseen expenses – 3000 rubles.

Total we get: 45000-(5000+1000+7000+10000+5000+3000) =14 thousand – the amount of monthly investments.

The cost of the car, according to experts, should not exceed the size of the annual family income.

This is how you determine how much a car should cost from the income. A married couple receiving a total of 60000 thousand rubles per month, should look closely at the models worth 480000-720000 rubles

It is better to choose such a tariff, in which it is impossible to withdraw funds before the deadline. In this case, if there is a desire to spend money from the reserve, the term of the deposit will be reset, and interest will be recalculated at the minimum rate. As a rule, many people are deterred by this.

READ

What are the differences between antifreeze G11 and G12, and is it possible to mix them?

Step three: Determine a place for savings

How to save up for a car quickly, if the temptation to spend it all is too great? For example, you want to buy a tour at a bargain price, or redecorate your apartment.

To avoid this temptation, it is better to choose such a savings area, in which the probability of getting into reserve is minimal or absent altogether. It is clear that if the money is in the bank in a closet, there is access to it at any time. Therefore, it is better to choose a more reliable depository.

As an option, create a deposit in the bank’s mobile app. This is convenient, profitable and reliable. Right from your smartphone you can make an application for opening a deposit, for example, for 12 months, and each time your salary comes in, the calculated amount of savings is transferred to the deposit account.

That’s how you can open a deposit in Sberbank’s mobile app. Source: vkladsb.ru

There is another option: to have a separate bank card, on which funds for buying a car will be kept. In this case, all family members will be able to make their deductions.

It is even possible to order a special card with a car design to keep in mind. Source: bmwpost.ru

Other safe places to save:

sealed envelopes: it is psychologically harder for a person to open an envelope and take money out of it than it is to just take it out of a piggy bank;
a specially created account: ask the accounting department for an account, to which a percentage of your salary will be deducted each month;
an open deposit in a bank: interest will accrue to the amount of savings.

Income is minimal: what to do?

In this section we will tell a few rules and secrets of fast accumulation of money for a car with minimal income.

A small salary

It is good if the family with total income of 50 thousand and more took up saving. But how to quickly save for a car with a small salary?

Set a goal to save at least 10% of your salary. Even with an income of 20000 rubles this amount is doable, because 2000 rubles is a pair of jeans or an average grocery basket. It is worth a little to reduce their needs, and already be able to save up for a car at least a down payment to take a more favorable loan.
Give up expenses that you can safely eliminate. First of all, it is alcohol and cigarettes. This can also include cab rides, especially if you just want to sleep longer in the morning.
Find a part-time job. Many people work in shifts, many on five-day shifts, but until 5 or 6 pm. That leaves plenty of time to run your own blog, moonlight on a freelance exchange or sell goods created with your own hands. Everyone has the opportunity to earn extra income.

First of all, it is worth reconsidering your needs and choose a car that is commensurate with the size of the monthly payments for its purchase. If the main thing is to have a reliable vehicle, there is no need to chase after expensive foreign cars and new cars.

READ

How to fence off a parking space in the yard

How much money is spent on a car per month. Source: m.master-x.com

Among inexpensive used cars, there are some good options for less. Recall how much a car should cost from income, calculate and determine the price range of a future car.

The only income is a scholarship

A painful question for all young people is how to save up for a car as a student. Not everyone can count on parents’ help, and you do not want to get to institute on foot.

Step-by-step instructions on how to buy a car without money.

Take a blank notebook and write down how many hours of free time are left, if you exclude study time. So, when “going to bed” at 23:00 and the end of the school day at 15:00, the student is left 8 hours. This is the standard length of the working day.
Open any job site and examine the “for students”, “no experience”, “part-time”, and other suitable sections. Call all employers, make yourself known, and attend all possible interviews. Choose a job that will allow you to combine your studies.
Get a part-time job and save 80 per cent of your income to buy a car.

It may be even easier for students to save up a car.

First, they are more mobile and mobile, so many jobs are available only to young people who have 4-5 hours of free time a day. These are pedestrian courier, promoter, grocery or document delivery person, billpayer, barista, packer.

Students are eagerly recruited to work in the catering industry. Source: zarplata.ru

Secondly, young people are better at navigating the online community, so many students c easily find part-time work on the Internet. You can start to conduct your own channel on YouTube or in Yandex.Zen, moonlighting on freelance exchanges, engage in SMM. You can also make money writing term papers, tests, essays and dissertations in your field.

B-third, most students are helped by their parents and the state, so there is no need to spend money on food and housing.

Big expenses.

Some families don’t even think about saving, because they have to use their entire salary for basic necessities. You should first try to figure out if you have basic needs. Of course, if half your salary is spent on a mortgage, there’s nothing you can do about it, but if it’s going out to eat every week, you need to reconsider your spending.

Then there are two ways to go – to try to cut costs or find part-time work.

Cutting costs.

Some people may find these options unrealistic, but if you are really wondering how to save up for a car without credit with a salary of 30,000, then these tips will be helpful.

Renting an apartment. If you rent an apartment, look for options in the same area or nearby, but cheaper. Even better if you can find housing closer to work to save on travel. Even if the rent is reduced by 2-3 thousand rubles, it is already a good opportunity to save the same money for a car.
Transportation costs. Even on the subway and minibus can save a couple of thousand rubles per month if you go without transfers or walking. Cabs are only a last resort.
Eating out. A can of coffee costs about 400 rubles, and it lasts for a couple of months. This is more profitable than buying coffee every day in a coffee shop. The same applies to lunch. It is better to cook for a week and carry a meal in a container than to spend money for food in cafes.
Clothing. If you are used to dress in brand stores and expensive boutiques, switch to economy stores. Clothes and shoes there are much cheaper, but often not inferior in quality.
Food. Almost all stores have discounts, promotional offers and even cashback cards. At first it may seem that if the product is 20-30 rubles cheaper, there is no sense to make a long way to the supermarket and it is easier to buy a package of milk near the house. But it is more profitable to shop in large stores and less often. Even if you buy 10 items at a discount of 20-30 rubles, for one purchase can save 200-300 rubles. If you go shopping 5 times a month accumulates 1000-1500.
Cashback cards. You may pay with such cards in Internet-shops and usual stores, getting a monthly percentage on the balance. Some cards even refund interest on utility bills and Internet bills.

READ

How not to pay transport tax legally

Want to save on rent?

We’ll help you find a cheap apartment near work.

Leave your phone number, and our real-estate expert will call you back.

You can also change your cell phone rate for a better deal. If you pay 500 rubles for unlimited calls, SMS and the Internet, but you only use cell phones to communicate with relatives, it would be more profitable to pay only the bill.

Analysts say that if you rationally cut your income you can save up to 30% per month without limiting yourself.

Extra income

Everyone who has at least 2-3 hours of free time a day can earn extra income. In this case, you can earn as a second job, as well as on the Internet. You can even monetize your own hobbies: sell handmade toys, knit and sew on sale or draw and sell paintings.

How you can make extra money in your spare time:

Work as a courier. Food deliveries take on the work of the deliverers without a car. Work hard, but it is possible to earn 1000 rubles for 4-5 hours, if not to break the rules and execute orders on conscience.
Get a promoter and hand out leaflets or distribute business cards at the entrances. Pay between 100 and 350 rubles for 1 hour. Bce money c day-work can safely be put aside to buy a car.
Get a job in a supermarket. Many retail chains invite jobs for people who work in the salesroom, arranging the goods in the showcase. This vacancy is almost always relevant, in addition, arrange officially, so it will be easier to arrange a loan.

You can moonlight as a nanny, walk dogs, wash floors in the evenings. If there is a goal to quickly save up for the car of your dreams, any part-time job will come in handy.

Earning a job as a promoter teaches communication with people and increases stress resistance, and also brings a good additional income. Source: reklama072.ru

On the Internet there are many ways to make a stable additional income. You can start to run a channel on YouTube, making educational or entertaining videos. For example, if you are good at math, you can shoot a video tutorial. In each video, short ad units are inserted, for which the author of the video gets money.

The channel on Yandex.Zen works roughly the same way. You can not only write articles, but also publish videos, for which you also get money.