When you factor in all the costs of owning a vehicle—sales tax, gas prices, insurance, maintenance, and more—car owners in these states are really getting taken for a ride.

Answer:

1. California:  [$28,504]
2. Nevada:  [$27,357]
3. Washington:  [$27,016]

Questions: 

• What factors impact the cost of owning a vehicle?
• What are the benefits of owning your car? What are the drawbacks?
• Do you own (or want to own) a car? Why or why not?

Click here for the ready-to-go slides for this Question of the Day that you can use in your classroom.

Behind the numbers (GOBankingRates): 

"To determine the costs of owning a car for a year in every state, GOBankingRates surveyed and totaled the cost of buying and owning a car for one year in all 50 states. This total included car sales tax, average annual car insurance premiums, average annual gas expenses and average car maintenance and repair costs. These expenses were added to the cost to finance a new vehicle — based on $48,427 MSRP, 20% down payment of $9,649, an average credit score of 716, an interest rate of 6.88% and a loan length of 60 months, which equals $762 per month or $9,144 per year."

-----------------------

Need more budgeting activities? Check out NGPF's Budgeting unit page which is full of ideas to engage your students!

-----------------------

Want to attend NGPF Professional Developments and earn Academy Credits on your own time? Check out NGPF On-Demand modules!

About the Author

Dave Martin

Dave joins NGPF with 15 years of teaching experience in math and computer science. After joining the New York City Teaching Fellows program and earning a Master's degree in Education from Pace University, his teaching career has taken him to New York, New Jersey and a summer in the north of Ghana. Dave firmly believes that financial literacy is vital to creating well-rounded students that are prepared for a complex and highly competitive world. During what free time two young daughters will allow, Dave enjoys video games, Dungeons & Dragons, cooking, gardening, and taking naps.