Mr. Money Mustache: New Cars and Auto Financing: Stupid, or Sensible?

In this blog, Mr. Money Mustache describes buying a new car and whether or not it is reasonable.  He says that there is no point in wasting all of your money, let alone more than all of your money.  He says that the key to optimizing your automotive expenses is in thinking about total cost per year and cost per mile rather than cash outlay per month.  That is ONLY if  you have enough money saved up for one.  He says that it is necessary to live close to work and walk or ride your bike when possible.  He says these things are the most important.  Nobody should depend on their car.  Think of it as a luxury instead of a needed appliance.  Mr. Mustache stongly advises buying a new car, but if you must you should make sure you're much more than financially stable. 

Mr Mustache thinks that buying a new car is not financially smart, but if you must buy a new car, look at the long-term costs.  I agree with Mr Mustache, but it is hard to follow.  The idea is both workable and practical.  Having a new car would be helpful in a few ways, but also bad in a couple ways.  A new car could be great in many ways.  First off, cars are normally good for 200,000 miles.  If you keep a car its entire life it will last you a very long time.  A new car is also a cool thing to show off to your friends.  The cons about having a new car is mostly just the expenses.  Cars are obviously expensive.  They can financially wreck a person.  On top of the expected monthly car payment and insurance and other things like that, there are unexpected expenses.  What if something goes wrong with your car? A tire can blow or maybe you just want to make it look nicer.