I just read this article on msn and wanted to share it with you and I feel it was written very well and pretty much makes sense to me so enjoy and don't forget to also click on the video.
This is all about going car free.
https://money.msn.com/car-buying/save...-freedman.aspx

Great starting point, but I guess many people would point out that they live too far from work or the groceries to be able to walk everywhere. Or even bike everywhere. Ditching that car sounds like a good idea, but it isn't something you do whenever gas prices spike. You need some planning and a good vision for where the world is likely to end up in 10 or 20 years.

There's obviously a money saving aspect of going car-free. If the $10,000 figure includes car payments of $400 to $500 a month, then it would be very close to the reality. For those of us who spend a lot less on used cars and then drive them lightly, the cost of a car can go down considerably. My license and insurance costs, maintenance, depreciation and fuel costs work out to less than 30 per cent of that amount. But then, I've been known to go more than three months on a tank of gas. Driving that little means I need less fuel and as a result less servicing than my neighbour who fills up twice a week. And if I keep my car in good condition, it will last me many years before I need to replace it. By that time, my circumstances could change and I could be in a position where I no longer need a car.

I think the $10,000 figure is high for a lot of people who are already smart with their money. But it's hard to get too much under $5,000 if all costs are considered, and that is still a lot of money for some people. When you look at your whole budget and see what portion is discretionary, $5,000 can be a big chunk.

What I have found is that very few people have taken the time to consider all the costs associated with their car. When confronted with even the $5,000 figure, they argue that they don't spend that much, they buy used cars, etc. They will quickly quote you their weekly gas expense, but struggle to give you a real number for anything else, like maintenance.

It's not uncommon to spend $1,500 a year on insurance and maintenance combined. If they are going to spend $3,000 every two years on a used car, then they need to be saving $1500 a year in anticipation. Someone driving 10,000 miles a year would use $1900 a year in gas at 20 mpg. $100 for tax and tags, and there is your $5,000, give or take a little.

Ditching the car may not give back enough to fund your retirement, but it could be enough to buy a modest home for $75,000 or so, take a nice vacation every year, send your kid to college, etc. It can certainly be a positive impact on your lifestyle, if you have, say $1200 a month to spend as you wish vs. $600.

How I wish I could be car free. It'd be an initial investment of moving 5-10mi closer to the places I work/school. But my car is about $10000/year. Average in $400/mo payment. $100/mo insurance/maintenance. $200/mo gas. And a $2000/yr depreciation. But I do love my car. Even if I never drove it I can't stand to think of not owning my little Element

This is what I would call a classic "car-light" strategy. You realize you can't completely do without a car, so you evolve to the level where you still have a car, but you buy something with the intention of putting fewer kilometers on and also with slightly less realibility. Reason is that you have a back-up... the bicycle!

Perhaps you could think about a car-light strategy. Decide to spend less on your 4-wheel transportation and use the bicycle as a back-up. \

Later, you will probably switch this, using the bicycle for your principal transportation and the car as a backup.

At some point, ZipCar may move into your area and you may see another opportunity.

Try to think in longterm goals and not what hitting the pavement just right now.

I think there's some kind of accounting principle that says you can't count both the monthly payment and the depreciation. (You can count both the interest payments and depreciation, I believe.)

So if you keep the car only because you like the way it looks, does that means it stops being transportation and becomes art? If so, you might be better off selling the car and buying a painting or a sculpture that you really like.

I consider some cars to be rolling art...

Aaron

But a honda Element?!

I'd say you are correct. Interest is clearly an expense. So is depreciation. If you estimate the car is worth $100 less at the end of the month, then your theoretical 'car assets' account is $100 lighter.

But, paying off some the principal can not be counted as a cost. You have simply transferred assets from 'cash' to the 'car assets' account. You have not gained or lost anything, in theory. In reality, I'd rather have the cash.

Beauty is in the eye of the beer holder...I mean beholder.

Actually I think the Element is a pretty neat little beast. Interestingly enough they have a pretty substantial following. My company asked if I would drive one as a company vehicle, I told them I had no problem.

Aaron

Is this an example of cubism?