There are budget categories in life where sooner or later, money will be spent. It may be $500 on a repair this month, and $400 on a new product next month. Over the course of the year, we can average out and prepare for these expenses.
There are four categories of unexpected expenses that will be addressed one at a time over the next four weeks, so be sure to keep up with us for these valuable money tips!
Expense 1- Auto Repairs: Auto repair costs, or at least “reasonable maximum costs” can be predicted with relative accuracy based on the age of your vehicles and whether warranties continue to be in effect. For an 8-year old car, expect to spend up to $1,500-$2,000 on repairs and regular maintenance, and would like the car to make it beyond 100,000 miles. For a 3-year old car, the number is much smaller, perhaps $500 per year for things like tires and oil changes, although with the warranty now expired, you will need to re-consider this amount.
Keep in mind that more expensive repairs may be required, such as your vehicle’s air-conditioning or the transmission, for example. If your vehicle is older and out of warranty, it may be worth a costly repair rather than the purchase of a new vehicle. The trick is to put aside a little money each pay period for unexpected expenses. Over time, you will accumulate enough savings to cushion the unexpected financial blow.
Do you have any great ideas or tips concerning auto repairs? Post your thoughts and ideas; you can help someone else with a helpful tip!