Looking for ways to free up some cash? Look no further than your driveway. As was pointed out in a recent _MSN_ article, the average U.S. household spends a whopping $8,000 a year on transportation. That includes car payments, insurance, gas, repairs, and public transportation.
h3(matt). Matt’s View
p(matt). Breaking the cycle of financing cars is one of the wisest steps anyone can take toward wise money management. It might take a little while, but a great first step is deciding to keep your car as long as possible. You don’t need to cross the million-mile threshold like a Wisconsin salesman did recently with his ’89 Saab. But the U.S. Department of Transportation reports that the average life span of a vehicle is 12 years or 128,500 miles. That’s a lot longer than the average person keeps their car (4 years/55,000 miles).
p(matt). Once your car is paid off, take the amount you were sending to your finance company and send it to a money market fund. In three to four years you should have enough for a quality used car. And you’ll have a sizable chunk of cash each month that you can put toward other goals.
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