I live 15 km from my work place and drive daily for 5 days a week. While thinking of selling my car and going for another car, I realize to do some interesting math that I like to share with you all and seek an opinion on "WHY DO YOU BUY CAR?"
COST OF REAL OWNERSHIP OF CAR
All calculation are based on 1 year of car ownership of 100K AED car, to make math simple:
30 Km / day X 20 days / Month = 600 Kms / Month = 7,200 Kms / Year.
Fuel cost: 14L / 100 kms = 7 kmpl = 7,200 / 7 = 1,028 liter / year = 1,028 x 1.78 AED / Liter = 1,830 AED / Year
Insurance = 3,500 AED / Year
Car wash and maintenance = 2,000 AED / Year
Parking = 4,500 AED / Year (based on new RTA rates now)
Registration = 500 AED / Year
Salik = 2 crossing per day = 8 AED x 240 days = 1,920 / Year
1 year car depreciation = 15% = 15,000 AED.
Total Running Cost: 1,830 (fuel) + 3,500 (Insurance) + 2,000 (Maintenance) + 4,500 (Parking) + 500 (Registration) + 1,920 (Salik) = 14,250 AED / Year
Total Cost of car ownership: 14,250 (running cost) + 15,000 (depreciation) = 29,250 AED / Year.
RIDING TAXI DAILY
240 days per year X 54.07 AED (as per RTA taxi calculator) X 2 (both directions) = 25,954 AED / Year.
Though this math is very interesting, but it's VERY FUCKING DISTURBING to see that riding taxi's in Dubai is lot cheaper for work than our own car.
I can actually sit at back and take a 15 min power nap twice daily than fighting with traffic. I can listen to music / watch movie / podcast anything I like.
I don't have to worry to find a car park every day and walk for few meters in hot sun and bake myself in heated car for 10 minutes, and at end of 15 mins I reach home with sweated back.