Question 1

What costs are included in total cost of ownership?

Accepted Answer

Total cost of ownership includes: monthly finance payment, insurance, fuel, maintenance and services, tyres, license disc renewal, tolls (if applicable), parking, car wash, and depreciation (loss of value). Most people only think about the finance payment and fuel, but insurance and depreciation are often the biggest hidden costs.

Question 2

How much does car insurance cost in South Africa?

Accepted Answer

Comprehensive car insurance in SA typically costs between R800 and R2,500 per month depending on the car's value, your age, driving history, and where you live. A R300,000 car might cost R1,200-R1,800/month to insure. Third-party only is cheaper (R300-R600/month) but doesn't cover your own car.

Question 3

How much does a car depreciate per year?

Accepted Answer

On average, a new car loses 20-25% of its value in the first year, then about 15% per year after that. After 5 years, most cars are worth 35-45% of their original price. Some brands (Toyota, Land Cruiser) hold value better. Luxury cars and bakkies depreciate differently.

Question 4

How much should I budget for car maintenance?

Accepted Answer

A good rule of thumb is R500-R1,500 per month for a car under 5 years old, and R1,500-R3,000 per month for older cars. This covers services (every 15,000km), unexpected repairs, brake pads, battery replacement, and other wear items. Japanese cars (Toyota, Honda) are typically cheapest to maintain.

Question 5

Are toll fees included in the cost?

Accepted Answer

If you drive on toll roads regularly (like the N1/N3 in Gauteng or the N1/N2 between cities), you should include this. E-tolls in Gauteng are technically still active but enforcement is minimal. National toll roads (SANRAL) between cities can cost R200-R500 per trip depending on distance.

Question 6

How many kilometres does the average South African drive per year?

Accepted Answer

The average South African drives about 15,000 to 20,000 km per year. If you commute daily in a city, it's likely 20,000-25,000 km. If you work from home or live close to work, it could be as low as 8,000-12,000 km. Your annual km affects fuel, tyre, and maintenance costs significantly.

Vehicle Total Cost of Ownership

Monthly Costs

Cost Breakdown

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