If i bring home like $1,000 a month, what would be a decent car payment monthly?

Question

Like in ratio so i won't be like swamped with gas, insurance, and other stuff. I don't have to pay tuition, so i was thinking of buying a car instead.

So what do you think is ideal so that i have money left over for other stuff?

Answer 1

No more than $200 a month.  Buy used.  Insurance and gas could cost you another $400 depending on how much you drive and your age/driving record.  That only leaves $100 a week to live off.  So yeah, no more than $200!

I would warn you against buying a dirt cheap car and setting aside money each month for repairs.  While it may have merit on paper, in the real world it just doesn't work out.  Every time that dirt cheap car breaks down, you'll be out of transportation until it is repaired.  Not to mention the cost--a tow bill alone can easily be $100 or more!  

A reliable vehicle you make payments on will cost you less in the long-run than a dumpy hunk of junk you have to keep shoveling money into.  A car loan will also help you build a credit rating.

Answer 2

Great question. You are wise to ask this question at your age. When I was in college, I bought a shiny red car that "towed" along $264 payments. I took home appx $700/month. That worked OK while gas was $1/gallon. Then, new tires, tuneups, shocks, etc forced me to go into credit card debt, and to this day, I've REGRETTED that decision. I'm now 42 and one year away from finally being debt free except for my home mortgage.

Watch this video and follow the advice. If you can follow this advice, you will retire a wealthy person. If only I had seen this 20 years ago. Hear the voice of regret!!! :-)

Good luck!! Remember, "normal" is broke!

http://www.daveramsey.com/etc/lms/drive_...

Answer 3

ride your bike, until you can save enough to not have to make payments

Answer 4

you will have to get a small car for the price you will have to pay.  Maybe something like $250 a month.  Insurance depending might be about $100 per month or more.  Gas forget it because that will just keep going up.  Depending on what kind of car you can spend all the way up to $600 a month depending on the make and model of the car but I wouldn't advice it because that wouldn't give you much money to do anything else and if you buy new you will be tied down at least for the next 5 to 6 years making monthly payments.  So be smart when choosing.  Take many things into account like who will be with you in the car, how far will you be going, etc.

Answer 5

I've gone through the same thing -- still a bit painful,here is the resource help me a lot.http://carinsurance.expertsupport.info/a...

Answer 6

you should pay cash for a car  buy what you can afford than put aside say #200 per month for repairs you will save on insurance as you will only need liability  save that cash as well and when you have enoulf cash buy another car trade up  this is the best way trust me

Answer 7

If you bring home $1000 per month you should NOT be taking on a car payment and associated costs (insurance, repairs, gas, etc...).

Answer 8

Keep in mind, most lenders want to see at least $1500/month income.

Answer 9

you need to buy an old beat up, but running, four door sedan. It will be cheap on the insurance for being old and non sport.. You want to save money on insurance because you're male and you're only 18.. Insurance companies are charging people like you alot of money..and money is something you're not getting enough of. If you're only making 1K/month, I don't think a car payment would be in your best interest. If you find a car, get something that can be paid off quickly, so you won't have to carry collision very long. I know it sounds "Not Fun", but it's the truth until you get the 3 years driving experience under your belt.. And then you need to find another job. 1K/month is less than minimum wage. It's about 5.77/hr..

And the rising gas prices aren't helping at all... I'm a dealer at a Suzuki place in North Carolina... You know why I'm doing so good on sales?? Because Suzuki's save alot on gas, and they're cheap on insurance for young people.. All we have is four-doors.. But if you're looking for a two-door sporty looking car later on down the road, check out Suzukiauto.com

Then click on 'Concept Cars'...Suzuki's coming out with some awesome cars soon... It's going to blow everyone else's away... I mean that. Good Luck to you!!

Answer 10

It actually depends on what your other expenses are.  $1000 doesn't leave you with a lot left over if you have to pay for rent and food.   If you have none of that, I think no more than $200.