Often times when something looks good to us, we immediately decide we must have it at any cost, because it’s what we really want. Unfortunately, this all too often leads to problems down the road. There’s even a term for it, when it comes to food – “my eyes were bigger than my stomach.”
In that case, the cost might be a stomachache, but when it comes to cars and other purchases the cost could be much more long lasting and ultimately painful. So to avoid this, it’s time to set up a budget. Budgeting sounds simple, but it relies on careful attention to detail sometimes and the ability to practice restraint.
In our business, we want you to get a car you love, but also a car you can afford! So a simple start to budgeting your expenses is to first figure out the amount of money you bring home from your paychecks at the end of a month. Then subtract the amount you pay for rent, household bills, food and possibly entertainment. If you have some money left over, great! Now we can start looking at how much of that can go toward a car payment.
Generally, you want to have a cushion between the total amount you spend and the total amount you make. Not only because saving is a good idea in general, but because when the inevitable expense that’s not in your budget arises, that money has to come from somewhere. So once you know how much you have to spend, make sure to lower that amount some in order to leave you with that cushion.
Here at Easton Motors, we will help you with that process and also come up with our own amount we feel like you can comfortably spend on a car, so help is available! Budgeting is an invaluable tool and even though it might not get you the flashy car you were hoping for (or that extra helping of mashed potatoes) it will keep you and your money in a healthier place in the long run.