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Car Affordability Calculator

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Most people budget for the car repayment and forget the rest. In reality, the repayment is often less than half the true cost of running a car in South Africa. Here is the full picture.

The full monthly cost breakdown

CostTypical monthlyNotes
RepaymentR4,500On ~R230k financed
InsuranceR1,200Comprehensive
FuelR2,500Average commute
MaintenanceR900Services, tyres set-aside
LicensingR50Annual fee, monthly
True total~R9,150Double the repayment

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Depreciation — the invisible cost

A new car can lose 20–30% of its value in two years. On a R300,000 car, that is up to R90,000 gone — a cost you do not see monthly but pay when you sell or trade in.

How to reduce your true cost

  • Buy a 2–3 year old used car to skip the steepest depreciation
  • Shop around for insurance annually — it adds up
  • Keep the car longer once it is paid off — those are your cheapest years
  • Stay within the 15% repayment and 25% total-cost rules

Run your real numbers through the car affordability calculator, then check it fits your monthly plan with the lifestyle affordability calculator.