Rules and personal circumstances differ. Confirm current details with the relevant official source or a qualified professional before acting.
Add every cash cost
- Finance instalment and account fees
- Comprehensive insurance and the excess you would need after a claim
- Fuel, parking, tolls and car washes
- Services, repairs, tyres, licence renewal and tracking
Include the upfront and hidden costs
A deposit, initiation fee, delivery fee and accessories affect upfront cash. A balloon or residual lowers monthly payments but leaves a large amount at the end. Read the finance quotation, not just the instalment.
Remember depreciation
The car can lose value even when no cash leaves your account that month. Depreciation matters when comparing buying, keeping or selling, although it is separate from monthly cash flow.
A simple example
A R5 000 instalment plus R1 500 insurance, R2 000 fuel and R1 000 averaged maintenance, tyres and licensing is already R9 500 a month before parking or depreciation.
Common mistakes
- Comparing cars only by instalment
- Ignoring a balloon payment
- Assuming a service plan covers tyres, damage and every repair
Quick checklist
- Get an insurance quote before buying
- Calculate fuel from real monthly kilometres
- Convert annual upkeep into a monthly amount
- Read the total cost and balloon on the credit quote
Frequently asked questions
What is the main takeaway from how much does owning a car really cost??
Judge a car by its full monthly and annual cost, not by the finance instalment advertised.
What should I do first?
Get an insurance quote before buying
What is a common mistake?
Comparing cars only by instalment
Use the numbers, not a guess
Try a free calculator or continue with a related South African guide.
Related guides
Reviewed on 27 July 2026. Official links below are the source of current legal, tax or regulatory facts; practical guidance is general.