Ever since I’ve started tracking every penny I spend on my new car, I got this feeling that I put a whole lot more value into it than it is returning. So for me this was definitely an area which needed to be looked into and optimized a little bit.
Category: Personal Finance
I’ve pretty much learned my lesson about depreciation with my first car. I’ve bought it new and after 6 years I donated it to my father, mostly because it lacked AC and engine power. Because it was an
affordable cheap car, I gave it everything to keep it in tip-top condition, but didn’t “invest” in improvements. I didn’t track every penny spent on that car, but the values returned by the Car Running Costs Calculator alone hurt. A lot.
To be honest, I did not hear about personal financing until I started working. I had some idea about saving, because I’ve always been saving for something when I was a child: a new bike, a new computer or after I have turned 18, a car. But I shouldn’t be surprised, since in this corner of the world only a few people have some financial education and the chances that you have such a person in your circles who could act as a role model in this area are very low. Unfortunately in our country most people don’t trust the banks (which is not necessarily a bad thing) and instead of creating deposits, they hide their money under their mattresses. A lot of people only use their cards to withdraw money from the ATM and still use cash when paying in supermarkets.