Auto Affordability Calculator

How much car can you really afford — not just what the dealer says

The dealer-approved price is usually too much. Most people buy cars that eat up 15-20% of their gross income. Financial advisors recommend keeping car expenses under 10% of gross income, or 50% of your net take-home.

This calculator shows what you can actually afford based on your income, existing debt, down payment, and the true cost of ownership (payment + insurance + gas + maintenance).
Your Finances
Loan Assumptions
Your Car Budget
Max Monthly Payment
—
total car budget
Max Loan Amount
—
with down + trade
Total Purchase Price
—
most you should spend
Insurance/Gas/MTN
—
fixed ownership costs
Available for Payment
—
for loan + interest
Income Spent on Car
—
of gross income

Estimates only. Actual rates vary by credit profile. Get pre-approved before visiting dealerships.

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Frequently Asked Questions

How much car can I really afford?

The 20/4/10 rule: 20% down payment, 4-year loan max, total monthly vehicle expenses under 10% of gross income. This assumes you have other debts. Financial advisors often suggest keeping vehicle costs under 15% of take-home pay.

Should I lease or buy a car?

Lease if you want a new car every 3 years and don't drive much. Buy if you keep cars 10+ years or drive high mileage. Leasing makes sense for business use where you can deduct payments. Buying is always cheaper long-term.

What is the true cost of owning a car?

Depreciation (biggest cost), financing, insurance, gas, maintenance, registration, and repairs. A $30K car costs $5,000-8,000/year on average. Luxury cars cost much more due to depreciation and maintenance.