Well the obvious answer here is to earn more but that’s in an ideal world where every employer gives you a significant year on year pay rise with your general expenses staying the same. But let’s face it, this doesn’t happen.
So you have to find means on how you can manage to afford a brand new car without breaking the bank or sacrificing the more important things in life.
Whether its buying a new car outright or paying monthly finance on contract hire lease cars you still have to budget for that extra money somehow. You will find the latter more attractive as you can lease a car without a deposit but that most probably will mean your monthly’s will increase in proportion as the idea is you have to pay towards the vehicle for the period you have it. on the other hand, you may need to save a considerable amount for a deposit to being your monthly payments down to an affordable amount.
The key is financial planning and here are a few tips you can consider to get you closer to smelling that new interior every morning on the way to work
Cutting your expenses
You can start by cutting down on your expenses by first making a list of all your regular expenditures and start highlighting the things you can do without or reduce on. Shortening this list will immediately release money back in the bank to pay towards that direct debit you will be paying for your brand new car.
Some things you may feel like compromising but letting go of one lifestyle to suit another may be a little tricky and may not keep you a happy bunny after all. So try thinking this through properly when it comes to cancelling your gym membership in exchange to a daily run in the park or downgrading the TV package.
Save more
Rather than cutting down the consumption of food you can try changing your supermarket and collecting rewards points to save more. So shop around, go for special offers every now and then as every little thing helps.
Fuel is a big one and if you try to plan in advance you can save a few pounds every month.
TIP: You may be surprised to know that brand new cars are far more fuel efficient than their predecessors and if you opt for low CO2 green cars or hybrids you will be saving a bucket more. So buying a new car could instantly reduce your daily expenditure which could be seen as offsetting towards the cost of owning a new car.
Be Practical
Buying a new car is exciting and you can easily get carried away with the choice available especially when you are leasing. A difference in £50 per month could get you more choice but don’t forget to consider your insurance premium and servicing that could mean you are paying double the amount when added together.
Getting a coupe may be something you always wanted but if you have a family it’s going to be a squeeze so instead of taking two cars on a family day out try to consider a more practical saloon that will do the task in one saving more fuel and running costs of having two cars.
If you are temporarily financially tight with higher expenditures in the pipeline, then why not consider mid-tiers cars over luxury brands. A brand new car for the first 2-3 years are all pretty much reliable as each other. The bigger and better engineered brands show their strength in reliability after this period. There are 100s of cars available under £100 per month on personal contract hire that practically do the same thing but in slightly different shapes and comfort. But we all start somewhere.
