By John P. Anderson
In May my family moved to North Park and we promptly had our bicycles stolen from our garage, including the trailer we used to transport our young daughter. Bummer, big time. One plus side was the encouraging messages and help I received from many sources in San Diego, including the Free Press.
Another plus side was that we’ve chosen to live close to where we work and as a result have only one car for our family of four. AAA does an annual study to calculate the average national annual cost of vehicle ownership. For 2013 this study estimates that a medium sedan driven 15,000 miles costs $9,151 per year. Since this is a national average and California tends to have higher gas prices it’s probably a bit higher here.
Although it’s not fun to have a bicycle stolen it’s some comfort that having bicycles has made it possible for us to avoid the costs of owning a second vehicle. My bicycle cost about $650, which is a pretty nice bicycle, but I could buy 14 bicycles per year for the annual costs of one car. This got me thinking, what else could I buy for the annual cost of a car?
A lot of things, including:
- 80 two-adult annual passes to the San Diego Zoo
- 12 55 inch LED televisions
- 14 Giant bicycles
- 13,726 packs of bubblegum flavor Orbit chewing gum
- 1,830 San Diego craft beers (at $5 a piece)
- 36 round-trip flights from San Diego to Seattle (at $250 a piece)
I doubt that many people need or want 12 55 inch televisions, but it does give an indication of how much automobile ownership takes out of the average household budget.
What would you buy if you found an extra $9,000 in your bank account this year?
John P. Anderson
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As an accountant myself, I run every life decision through a cost/benefit scenario. Every life decision has been made based on running the numbers to maximize value. So with regard to transportation…
I typically rent (or nowadays use lyft) for the few times a year I need to use a vehicle. It’s typically been under $1,000/year for the few weeks we’ve had to rent a vehicle. As a result of never having owned a vehicle I get to spend the savings on my big splurge which has always been food and drink. I don’t spare costs when it comes to where I source my food, wine or beer from. I’d much rather eat and drink quality than have a vehicle and eat crappy food.
I’ve had a driver’s license since I was 17 and so it’s been 15 years that I’ve not owned a vehicle…that looks like a $135,000 savings (not accounting for interest, inflation or other adjustments). Not bad, I say.
If you could quantify what really is important in life it wouldn’t be associated with “things”. But, we do enjoy indulgences and I would not willing give up the incalculable value that my car gives to me in independence and mobility for any other “thing” or things. The cost is irrelevant compared to the abject ability to go and enjoy going in my own “personal space” mode of getting from point A to B and beyond. I may not make it to the moon but the world is my oyster and my car makes it all attainable, even if I don’t go farther than Ralph’s most days. A trip to golf and then the PUB is invaluable to my peace of mind and peace of heart, and, there is no real substitute other than the time that I actually get to spend with family or friends, which is always supported by that expensive (in dollars) car I have. The day may (and surely will) come that I can’t go to the garage and turn the key and then “float” on to the path that I desire but until then I am FREE and there is no cost associated with that feeling that can be measured in cash or other human forms of judging wealth. Long may the car or other personal freedom vehicle rule and exist.
I completely agree. My car (paid for since I bought it used, 23yrs ago) was in the repair shop for a month, this past summer. Luckily I was able to have my groceries delivered by Von’s (which has higher prices than my usual store) and my family helped out by taking me to the pharmacy, discount stores, etc. a couple of times. Other than that, I was housebound and inconvenienced the entire time. There’s more reasons for me to own a car than not–doctor, dentist, vet appts, bargain shopping, emergency runs to Home Depot, etc.
$$$ “Incalculable,” you say? Well, then, who needs to think any harder?