According to a study by finance group Savvy, the cost of owning the family car is on the rise. So how much do we spend on our cars in terms of fuel, upkeep and maintenance.

First up, the study found, as a national average, we spend about 15 percent of our income on transport costs, the average medium sized vehicle costing $13,782 a year. Costs in the last 12 months rising by around 18.6 per cent. Savvy suggests it’s not just about fuel costs, our petrol prices are weighted somewhere in the middle compared to the rest of the world.

Australian cars generally run on 91 Octane fuel at an average $1.43 a litre, 56 cents of which is made up of GST and Government Excise. Insurance costs also play a large part , premiums as a national average around $25.76 or about $1,340 per year. Savvy suggesting the average car loan repayment across Australia is $166 week.

They also suggest that despite car prices rising in the last 12 months due to supply chain shortages consumers are winning on much lower car finance rates, the lowest they suggest there going to be in our lifetime. As such now is the time to lock in a low-rate car loan which will save you money at the end of a five-year term.

I’m David Berthon.

Teen girl at the gas station filling up the fuel tank in her gas efficient car.

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