Easy Ways to Save Up Money for Your Dream Car
Photo: Nissan
You bought your current car because it’s what you could afford. But now that you have a stable job and better financial situation, you’re considering trading up for the car you really want. Unfortunately, your desired model is a bit pricier than your budget can afford. Instead of financing the entire amount and risking defaulting on your payments, spend some time pinching pennies to save up money for a down payment on your dream car.
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Limit your utility usage
If you rent an apartment or have a mortgage, you’re probably paying a lot of money on your water, electricity, and gas bills. Find ways to curb these.
Take shorter showers. Turn off lights when you’re not in the room. Rely on natural light during the day. Loosen your control on your house’s temperature by a couple of degrees. Unplug electronics you aren’t using or put them on power strips to stop phantom loads.
Stop eating or drinking out
Dining at a restaurant should be a treat, not a habit. If you frequently go out for meals, cook your own meals at home instead. If you don’t have time to cook every day, make meals in bulk and freeze them. Plan a date at home where you cook with your partner and make your favorite childhood meals. Cut your Starbucks addiction, too.
If you have to eat out, do so sparingly and skip the drinks, appetizer, and dessert. Choose a place you can find a coupon for.
Adjust your phone bill
If you pay for a high amount of data allowance each month, see how much you can reduce that usage by and change your plan accordingly. Only use the internet when you’re connected to a secure Wi-Fi network. Download music and videos to watch on the go instead of streaming them directly. Limit how often you’re on social media (which is a healthy move for more than your wallet).
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Pause your subscriptions
You can go without Netflix or Audible for a couple of months. Use your local library instead. Many libraries actually offer free movies and ebooks in their eCollections so you can still read and watch on your personal device. Exercise at home or the park instead of paying for a gym membership.
Buy a used dream car
You don’t have to buy your dream car brand-new. You can save a lot of money by waiting a couple of years and buying a substantially more affordable certified pre-owned version. While it might not feel as satisfying as buying a brand-new car, the money you save on avoiding initial depreciation is well worth the sacrifice.
You may not save up enough money with the first few months, but after a year or two of persistent saving, you’ll have more money in your bank account to afford your dream car — plus the higher insurance premiums that come with it.
Aaron is unashamed to be a native Clevelander and the proud driver of a Hyundai Veloster Turbo (which recently replaced his 1995 Saturn SC-2). He gleefully utilizes his background in theater, literature, and communication to dramatically recite his own articles to nearby youth. Mr. Widmar happily resides in Dayton, Ohio with his magnificent wife, Vicki, but is often on the road with her exploring new destinations. Aaron has high aspirations for his writing career but often gets distracted pondering the profound nature of the human condition and forgets what he was writing… See more articles by Aaron.