If you pay cash for a $35,000 truck, over ten years the total cost is ~$57,000 and it would be worth about $7,000 (at 15% per year depreciation). Includes depreciation, insurance, gas, routine maintenance, major maintenance (tires, brakes, etc). Assumptions: * truck is driven 10k miles/year * gets 18 mpg * gas is $3/gallon * annual registration is $50 / year (that may be way too low for some states) * insurance is $75/month (you're a good driver without any speeding tickets right?) * oil changes / routine maintenance are on average $100 per year over the 10 years * big ticket maintenance items like tires, brakes, engine service, come to $2,000 over the 10 year period. A new truck would be under warranty at first. Compared to depreciation this is a small part of the picture. Gas represents 25% ($16k of the total $64k out of pocket). In this simulation the price of gas is fixed, so there is a hidden risk if gas prices go up. Insurance is 14% Expenses: Purchase Truck 35000 Gas 140 Insurance 75 Registration 50 Tires 1000 Routine Maintenance 100 Major service 1000 Assets: Truck 35000

Jan. 16, 2018, 7:18 a.m.

Jan. 16, 2018, 7:05 a.m.