*List At Bottom
I have a few cars, but the one I drive the most is probably the biggest junker on the road today. It has been shot, axed, stabbed, kicked, punched, body slammed and more. But when people ask me why I still drive it I tell them these 7 reasons.
REASON #1: No Payment
I bought my current Subaru from a friend who purchased a brand new car. I picked it up for $500. The biggest reason to drive a not so great car around is to save money, so you can do more things you like and begin to free yourself from that living paycheck to paycheck mentality we are nearly forced to adopt with all this advertising by friends and companies. That $400 payment every month over 5 years adds up too 24000, if you invested that $400 a month into an average performing mutual fund with a return of 12% you would end up with over 30000 after 5 years. Pretty Cool.
REASON #2: No Worries
My other favorite reason for having a cheap car is that you never have to worry if someone door dings it, or if your friends get a little crazy, it doesn’t matter if there’s a small scratch or dent here and there. I personally took it to the extreme and let my friends kick and punch my car at will, but that’s what’s beautiful about the crappy car. Another added bonus is if a BMW is trying to cut in front of everyone in a lane that ends you can calmly look over and laugh while you refuse to let them in, because they clearly care more about their car then you do.
REASON #3: Very Cheap Insurance
My insurance is around $60 a month with only liability coverage because if the car gets totaled and its my fault ill go buy another one. This may not seem like a big savings but it is over 2000 a year over the policy on my jeep.
REASON#4: Never Worrying Where You Park
This is especially true in downtown areas, and may not seem like a big deal but the level of stress involved with parking goes way down. Who cares if there’s a bunch of homeless guys around who may want to route through your car. let em!
REASON #5: Maintenance
This is another example of cost savings. Having an older car will require more maintenance, but the parts will be cheaper and anyone can work on them. Not relying on a dealership (who make there money on service and add-ons) will save you a fortune.
REASON #6: Depreciation
This is a big one. The average depreciation of a new car over the first year of ownership is 20-30%, a huge loss on your initial investment. up to $9,000 on a $30,000 car. Would you invest in my company if i offered you a -30% return on investment? Probably not. With an older car the depreciation is pretty much already out and you can usually sell that car for close to what you bought it for unless you ruin it like I did, but that’s a lot of fun for $500. You can also write off $.58 per mile if driven for work.
REASON #7: Ego
This is one of the only reasons on this list that isn’t painfully obvious. But, I think it can be one of the most important. We all go through life doing what people want us too, while they do it too. Having to rely on who you are as a person, not what you drive almost forces your personality to grow because it can’t hide in the reflection of shiny things. This has helped me immensely as it is so easy to let your ego take the wheel.
Obviously your car does not need to be, in fact really shouldn’t be as ridiculous as mine, but just consider the freedom that comes with the security of having money saved. I have seen many people spend all their time and money trying to be somebody, and in turn neglecting to ever discover who they truly are, becoming a caricature of a character. If we can get past our egos we can live a life of adventure, which will undoubtedly take sacrifice, but the rewards are immeasurable.
Thank you for reading and subscribe for more unsolicited advice!