How Much Car Can You Afford?
Calculate the maximum vehicle price you can afford based on your income, expenses, and desired payment.
15% Rule
Total car cost (EMI + insurance + fuel + maintenance) < 15% net income। ₹50,000 net: max ₹7,500/month total। Insurance ₹1,500, fuel ₹3,000, maintenance ₹1,000: EMI budget ₹2,000। = ₹1-1.5 लाख finance possible।
Reality
Used car 2-3 years old: 50-60% of new price, 95% life remaining। Maruti, Hyundai: highest resale। First car: used Maruti Swift/i20 is smartest financial decision।
The IRS standard mileage rate for 2026 is 70 cents per mile, which represents the average total cost of vehicle ownership including depreciation, insurance, fuel, maintenance, and financing. At 12,000 miles per year, that is $8,400 — the true annual cost most people underestimate.
