BUYING a Car - are you LOSING MONEY? | Ankur Warikoo Hindi

It is unbelievable for you to fathom how MUCH your car worth Rs 7 lac actually costs you!
And not to miss, I have made this calculation if you were buying the car through your own money, not through a loan, as well as the opportunity cost of missing out investing in stocks.
Before you make that financial decision, I’d love for you to think objectively, using this method:
Use this excel sheet, that I used in the video, to make your calculation: bit.ly/3xzmgrW
Check out my former video on buying or renting a car here: bit.ly/3jY2VJ4
00:00 Introduction
03:30 Costs of buying a car
05:40 Costs of owning a car
07:30 Petrol costs
09:55 Total owning and running cost!
10:50 Selling your car
13:20 Returns on buying a car
15:05 Depreciating assets
17:10 Conclusion
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[@warikoo]

My first book is out now! The title of the book is also my life motto: "DO EPIC SHIT" Get yours NOW: ankurwarikoo.com/doepicshit My Money Apps Zerodha (for stocks): bit.ly/3iYKROh INDMoney (for US Stock investing): bit.ly/3vfX4Fb (use my code AWG to get free google stock) Smallcase All Weather Investing: bit.ly/3u0is0I Smallcase Capitalmind Momentum: bit.ly/3j0oBnn Smallcase Weekend Investing: bit.ly/3KEYCxW WazirX (for Crypto): bit.ly/3O4KC2F Vauld (for Crypto): bit.ly/38zJtQg

[@adityashinde181]

compare it with EV

[@ankit14192]

One question Ankur, how much do we save by renting for 5 years in comparison to owning a car ?

[@moviesclips817]

thank yousir now iam 22 age. to day iam feeling igot a best guru. aap sir financially nahi jindagi ka raj batate ho sir thank you

[@ajsin]

RENTED CAR: 25k monthly X 60 months= 15L (To earn 15L CTC is 22L) + Fuel (5L) Total Rent= 27L OWN CAR: Net Cost 16L

[@anmolagarwal2965]

@@ankit14192 I asked myself the same Q. Thought of replying - (First Year) 1) Savings in cash outflow by not buying the car ₹757587 This money can be invested for 5 year long term. So this is a savings in cash outflow. 2) Loss of claiming expense on (Insurance + Maintenance + petrol) = ₹122165. But can claim expense on rental payment (25000*12) =₹300000. So was able to book additional expense of ₹177835 and get tax benefit on the same. But this was an additional cash outflow too. 3) Loss of claimimg depreciation expense on the car and hence additional tax on the income. (Second year) 1) Loss of claiming expense on (Insurance + Maintenance + petrol) = ₹129146. But can claim expense on rental payment (25000*12) =₹300000. So was able to book additional expense of ₹170854 and get tax benefit on the same. But this was an additional cash outflow too. 2) Loss of claimimg depreciation expense on the car and hence additional tax on the income. (Third Year) 1) Loss of claiming expense on (Insurance + Maintenance + petrol) = ₹157044. But can claim expense on rental payment (25000*12) =₹300000. So was able to book additional expense of ₹142956 and get tax benefit on the same. But this was an additional cash outflow too. 2) Loss of claimimg depreciation expense on the car and hence additional tax on the income. (Fourth year) Loss of claiming expense on (Insurance + Maintenance + petrol) = ₹167806.But can claim expense on rental payment (25000*12) =₹300000. So was able to book additional expense of ₹132194 and get tax benefit on the same. But this was an additional cash outflow too. 2) Loss of claimimg depreciation expense on the car and hence additional tax on the income. (Fifth year) Loss of claiming expense on (Insurance + Maintenance + petrol) = ₹179727. But can claim expense on rental payment (25000*12) =₹300000. So was able to book additional expense of ₹ 120273 and get tax benefit on the same. But this was an additional cash outflow too. 2) Loss of claimimg depreciation expense on the car and hence additional tax on the income. 3) Loss of receiving cash inflow which was post tax salvage value.

[@paragdas3228]

Yes u r right. But purpose of a car is not always taking us from point A to point B. You should have also included 1. Convenience 2. Time management 3. Emergency purpose 4. Comfort and there can be many others reasons that depend from person to person That was just a opinion Anyway alwys love ur content.

[@vishalpratap403]

For me it was comfort and safer option than bike. Also, learning car driving. Hence i bought used car that ran only 5000 kms. So i saved up front 2 lacs. Now. I use my car only for long journey which saves more time and hassle for searching an ola uber.

[@kaushikdas4098]

I think warikoo said for salaried class. But for those who are earning money in cash, like doctors, then owning a car is good because the need to burn the cash otherwise storing cash is dangerous for them for IT implications. My personal view is that If you spent 15K/Month in ola Uber then you need a cheaper car that will save you. Salaried Class + weekend travel = Self driven Renting car is best.

[@auto_nomad]

You missed out on security. In Plan uber there's always security concern. And in self driven cars we never know how the car is used or is it maintained properly.

[@gururajmv]

Agreed your point. You can't see comfort with an investment angle, then you might be recommended to use public transport and you can save even more.

[@harshitpal5278]

Bhai 2 hand car sahi h

[@naveenrreddy2008]

The pain you feel when you are with your family/GF, wanting to go somewhere and you don't own a car and your ola, Uber guys are cancelling your ride.. I know you are looking at it financially, but there is more to life than only finances

[@gtxgonnacry4201]

And then you feel like - Why am I earning if I can't fulfill such a small need.

[@siddharthr1853]

Exactly. Just saving forever does not make any sense. If you enjoy your work and have money left after all your basic needs are met, you should splurge. You don't take away anything apart from experiences like buying a new shiny thing, traveling to a fancy place, eating something exotic etc.

[@rShubham17]

also if people will stop spending money on things then the industry demand will be reduced which will lead to firing off employees by companies. Slowly this chain will affect many industries. USA is rich because they have a culture to spend more and more. The reason why their salary is high. In India, we have habit of bargaining, saving too much and this stingy behaviour of us Indians affect the whole industry. It works like a chain the more people will spend, the more they will get salary. Dont learn from everything what is available on the Internet. Use brain filter. I respect Warikoo sir but i disagree with this video. What he said is true but not good for the country.

[@dimaagkharabhaimera]

If you are happy to burn your money no one stopping you. People smokr ciggerate more than Car EMI every month. Buying a car is a luxury, those who can afford it they should always buy it.

[@dimaagkharabhaimera]

Dont buy car if dont need

[@mathebulamkhize876]

"Buying a stock is easy, but buying the right stock without a time-tested strategy is incredibly hard. Hence what are the best stocks to buy now or put on a watchlist? I’ve been trying to grow my portfolio of $260K for sometime now, my major challenge is not knowing the best entry and exit strategies... I would greatly appreciate any suggestions.

[@stjepanhauser7595]

please who is the expert guiding you? i have lost so much as a beginner🥺 investing into stock without a proper guidiance of an expert.

[@stjepanhauser7595]

I just Googled his name and his website came up right away. It looks interesting so far. I'm going to book a call with him and let you know how it goes. Thanks

[@felix1211]

​@RaulRomero420any updates regarding ur portfolio

[@felix1211]

​@@stjepanhauser7595how much have u improved now ?

[@dr.bikash2389]

I am a doctor... And i can't imagine a day without my car... The car helps me a lot in every aspect...moreover you can't think about money everytime... Life is beyond that

[@rShubham17]

also if people will stop spending money on things then the industry demand will be reduced which will lead to firing off employees by companies. Slowly this chain will affect many industries. USA is rich because they have a culture to spend more and more. The reason why their salary is high. In India, we have habit of bargaining, saving too much and this stingy behaviour of us Indians affect the whole industry. It works like a chain the more people will spend, the more they will get salary. Dont learn from everything what is available on the Internet. Use brain filter. I respect Warikoo sir but i disagree with this video. What he said is true but not good for the country.

[@muhammedalthamash2759]

Personal car: point A -> point B (30 mins) Ola/Uber: "Sir drop kidhar hai?" (30 mins later) Ride cancelled

[@rishabhmanerkar]

this is same argument of owning a phone vs buying stock of that company. its perspective, this video makes sense for financial calculation. but are you willing to book uber/ ola/ take bus for next 5-10 years? koi kuch bhi bole.. its your money, your asset, your liability... chahiye woh kro!!

[@vishalpratap403]

Best thing to buy used car. These days we get it quite cheaper and in good condition. Because many people are selling after running cars in 5000 kms only. So already 7 lac car becomes 4 lacs.

[@NikhilKumar-km7gc]

@@vishalpratap403 waah bhai mujhe dilade 5000 kms chali vi 7 lakh ki gaadi 4 lakh mein mtlb kuch bhi

[@acewarmonger6550]

At the end, it just boils down to how to prioritise your needs/wants But, seriously most of us just want a car because of the status symbol And Ankur sir has given a very good explanation to not go down that road

[@NikhilKumar-km7gc]

@@acewarmonger6550 tere ankur ka mann krta hai ek kamre mein band karke pitai karu pura din krta rhega yeh krna chahiy vo nhi krna chahiye

[@tarunsharma5254]

@@vishalpratap403 chuppp.. kuch bhi bc ?

[@drabhinavdas7785]

With due respect sir I have a doubt.. Cost of renting a swift dzire for 5 years:(Monthly rent x 60 months + Total petrol cost) = (25000 x 60 + 474626) = 19,74,626 (Taking into account rent remains same for 5 years without inflation)… Now while renting you don’t have any option of selling the car after 5 years… So isn’t renting even more costlier???

[@yogenderkumar8820]

Great observation sir !

[@RAjat9590]

He doesn’t rent a swift at 25k, swift would cost much less than that.

[@lakshyamishra96]

data sasta h tou kuch bhi hagne ki bimari is desh me failti jaa rhi h . 😁

[@PM-om6wv]

Walking is the best method. If urgent, take a rented vehicle

[@dineshgodara202]

Buy ev

[@AnirbanSur]

I really appreciate your way of explaining things and I have seen almost all of your videos. But , Not Everything can be judged by money. Its an emotion. Even marrying or having a child has much more expenses than owning a car. Still we do that right. If we continue to think in this manner, then at some point of life , all we will have with us is money. 🙂

[@MrAprameya1980]

Well said

[@phenom1058]

He never said not to buy a car he said you should know your calculations before buying it. Things should be considered on the basis of its purpose. Car and a Child you can not compare both of them you reference is actually vague bro.

[@arnabkarmakar8940]

osomvob! ami ei video ta dekhte dekhte hotathi moner moddhe "tomar ghore bosot kore koyjona", gaan ta gaite suru kori, janina kno, ami last onekdin gaan ta sunioni, then comments gulo porte porte tomar comment tao dekhlm

[@farazalisyed3603]

Reasons to buy a (Home on wheels) Car: 1. Privacy: You don’t always want your family conversation to be heard by an unknown person. 2. Safety: You are well aware about mechanical condition, as you have been taking care of up keep. 3. Convenience: If I want to go from Point A > Point B > Point C > Point D with all the personal and expensive Lugage. 4. No waiting time: I have the keys in my hand always, no need to find a shelter during heavy rain, winters or summers before the cab arrives (if he accepts) ;) 5. Hygiene: Given the current circumstances always better to use neat and clean personal vehicle. 6. Emotion: You feel once you own it. You don’t want your family members to stay away from that feeling. 7. Freedom: Just fuel it and steer it wherever you want to go in the country. A train goes from one city to the other city with all kind of compartments i.e. seating class, sleeper class, tier 3, tier 2 and First class. Experience matters. Life is short. Don’t live to save money rather, save some money to live ;)

[@Tswaraj]

Indeed. Finally found someone who is practical.

[@Dr.Anshuman.b]

This comment really makes sense. 👍🏻 If one could afford a car & it's their necessity then one should definitely own it.

[@SuperSumitsehgal]

💯 percent true

[@AmitKumar-qn3ux]

Exactly....

[@raslaankhan5146]

Agreed, he needs to take all this in account. it's not just about money.

[@factjournalist8305]

I agree with your calculation Sir but I actually cannot measure the happiness and satisfaction when I see family sitting in a car looking outside the window especially on a rainy day when we had to stop at a shed because we were on a 2 wheeler. Ideally a car's life is 15 years if you maintain it well, so I bought a car of 7.46 lacs on road which I am going to keep it for next 15 years because I am not car enthusiast and bought a car after working 8 years just to see happiness and satisfaction on family member's face. Trust me Sir car is just not a means of transport its an emotion for us when we go all together, music, chats and so on. I could have afford car ranging for 25-30 lacs but still opted for 7.46 lacs Tata Tiago NRG. Thanks for reading.

[@rohitgupta3434]

Dear Sir, try experiencing going out on long drives on weekends with your gf/spouse/friends/family in an uber car and you’ll understand the importance of a personal vehicle🙂

[@Loveadviceinhindi]

@♜ Pinned+①⑦⑦③⑤⑨⑨⓪③⑤⑥ Fake

[@AshishMishra-ct9iy]

Then rent a car buddy !

[@rShubham17]

If people will stop spending money on things then the industry demand will be reduced which will lead to firing off employees by companies. Slowly this chain will affect many industries. USA is rich because they have a culture to spend more and more. The reason why their salary is high. In India, we have habit of bargaining, saving too much and this stingy behaviour of us Indians affect the whole industry. It works like a chain the more people will spend, the more they will get salary. Dont learn from everything what is available on the Internet. Use brain filter. I respect Warikoo sir but i disagree with this video. What he said is true but not good for the country.

[@loveself4948]

It’s all depends on individuals perspective where and how to invest. Ankur got a valid point too which cannot be ignored.

[@nikhilbhatoia7791]

A comparison with a rented car and how much it'll cost in 5 years would help alot

[@indianputon814]

He said it he pays 25k every month so roughly around 8 lakhs for five years including petrol maintenance etc …

[@nikhilbhatoia7791]

@@indianputon814 25k per month means 3L per year and for 5 years it'd be 15 L (And it's not clear if it includes petrol or not ,rented cars usually don't)

[@mayankjain8602]

@@indianputon814 Petrol khud ka hoga bro, mostly rental cars like Santro start at 17K, so us hisaab se jod lo

[@indianputon814]

@@nikhilbhatoia7791 petrol is included bro and in five years it’s like you won’t use it for all months some people don’t take during rainy season and festival times this is a big business in india lately

[@indianputon814]

@@mayankjain8602 OK bro I am not sure then because in bangalore I remember one construction group had this scheme for all its customers who travel within the city limits

[@rajivchoudhary9325]

One big thing you have missed ,going out with the family and travelling will be done in those 5 years,so assuming that we take cab ,the per km costing is almost double as compared to own car ,so that opportunity cost should also be factored then it will give clear picture.

[@ayushdangi4805]

Very insightful!

[@thecomfortableoutfit2991]

Thanks for this man 👏

[@ZOPIT]

Love the video Just Bought a Car around a month ago i am 24 working in IT AND my father is govt. employee and me and my family decided to buy a car and it was our first car so so much excitement was there , our family decided the budget is around 9 to 12 lakh . so i also got excited to go with the flow , then got to know about the taxes after ex showroom then accessories and other things Only I suggested to go with the Second hand car , my sister and mother was like WHY , and i decided to go with the budget of 5 to 5.5 lakh , and just purchased the second hand car and with the fuel prices now they have got my point , now we have extra money which we can spend on driving it rather than parking it . After this video More satisfied with my decision . As always amazing content , suggested your channel to many people .

[@deepakpune1]

well done buddy

[@suhailmalik1892]

Bought a maruti Swift last year from my friend for 2.5 lac. Sold this year on OLX for 3.25 lakh. Actually renting a car for 25-30k is the most stupid thing instead buy a second hand car

[@drAnmolRaut]

Amazing video sir. Thank you soo much 🙏

[@Comment_Man123]

It seems like many people in the comment section are disagree with you except me. As many people are buying a car, it caused many issues like heavy traffic in city, crowded tourist places, no place for parking. Buying own car is not only expensive but also waste of too much time in life. Maintenance and service, sitting home and bothering about car safety, fighting with strangers to get a parking or to move your car from parking etc.

[@N0tTh3Pr0]

Always double the amount of the total cost of such commodities, this has been a running tradition in my family. Toh haan my answer was 14 - 15 lakhs for this car. Ab toh yeh bhi kaam ane wali nahin hai, thanks to inflation and fuel prices. Electric se thoda sukoon milne wala hain par zyada nahin. So yeah.... Tata bhai saap and Mahindra bhai saap badaldo sab kuch electric mein lol.

[@auto_nomad]

Electric is different ballgame. And calculations shown in this video are baseless 🤐

[@thinkingaloud7925]

@@auto_nomad if it's a Tesla and you manage to charge only at Tesla chargers then you don't have big running cost because charging is free, software updates are free battery has 5year+ warranty

[@auto_nomad]

@@thinkingaloud7925 Let me be clear, I'm not a EV owner. I'm a automobile reviewer and consultant. Here's what I think about EV. Firstly you will need to pay atleast 3 lakhs extra for Nexon EV. And almost 6-8 lakhs in case of MG ZS EV. Moreover are you sure what will happen to your EV after 7-8 yrs? Coz the range will decrease with time. (Same as happens with mobile phone battery.) At that time you won't be able to resale the vehicle because of depriciated battry, and getting a new one will again cost approx 3 lakhs. Moreover if you face any problem with your EV, then you will completely have to depend upon Tata. And we know about their track record. I know EV is future, but right now I feel it's too early to risk our hard earned money in EV. I might be completely wrong, but this is what it is!

[@anishskaria]

@@auto_nomad on point. I try to explain the same thing to my friends.

[@N0tTh3Pr0]

@@auto_nomad Ola and Uber are the best if this is the case lol.

[@auto_nomad]

An entrepreneur or Businessman: Time is money. Ankur whole day long: Uber wale bhaiya left lo right lo😂😂😂

[@somenmondal2965]

Great! My thinking changed!

[@investformoney01]

very eye opening video

[@sahanm327]

Man this Calculations just freaking blow my mind...!!! I knew buying a car isn't the only expense, it's just the starting point but these calculations made it even more clear. But there are certain things in life that can't be always calculated through money and for every middle-class person who saw their parents work hard every day of their life want's to own a car one day and take them for a ride. at least that's my dream. And this emotion is priceless (At least according to me). But yeah this calculation will definitely help people to make the right choice with their budget. And just love your excel explainations Man

[@lalitgeit]

I really appreciate your hard work and effort to educate people about this. I think it will be great if you make one video how getting a car on rent better than buying a car. Because after this video lot of people think they will get the car in rent. But sad truth is the moment they will come to know the car rent per month is more than 20k again they will do the calculations and buying a car will have more worth. Petrol or Diesel we have to pay in both of the cases. May be I am wrong if you help me to prove wrong I will be more happy. Because I m sure a lot of people will have this doubt for sure.

[@kaushikdas4098]

I think warikoo said for salaried class. But for those who are earning money in cash, like doctors, then owning a car is good because the need to burn the cash otherwise storing cash is dangerous for them for IT implications. My personal view is that If you spent 15K/Month in ola Uber then you need a cheaper car that will save you. Salaried Class + weekend travel = Self-driven Renting car is best. Sorry for those commenters who forcefully gave some opposite logic because they realized they already committed the mistake. If your consumption is so huge then own a car, if you are taking for weekend travel then terrific loss. Finance is s psychological trait, everybody has their own eyes to describe it and Only "Dhurandar" makes money.

[@warikoo]

Will do

[@Poonamkewlani]

Exactly rent is more than EMI and spending is same to be done on owning a car or renting a car apart from Insurance expenses.

[@davelawson2564]

@@Poonamkewlani u don't need to rent daily. if u do , you still don'y have to put up the full cost of car upfront , instead invest that amount and the earnings will pay for the rent. And you still have your full principal plus any extra earnings as it depends on how much you make over the years

[@bihar___wala2115]

@@warikoo better u do, else don't make this nonsense videos yr😅. Just to get views and public attraction you can present any bullshit?

[@kidskidney8027]

Thanks Ankur for clearing my thought

[@user-nl4yw6mc3y]

⬆️⬆️✍️thanks for the comment .. Contact the What'sap line above for more information , and new investment plan..

[@arminderpalsingh5926]

Good advice paji

[@shrutee11]

This is insane! I was wondering about this today and here you are with your excel sheet. Thank you for providing this knowledge for free! 🙌

[@sarim6213]

Evn i was discussing on buying new car

[@kantetichaitanya]

Logically thinking, common sense plays a better role compared to mathematical knowledge. I think you are lacking both ..... 😂😂😂 Just compare the cost of 90k kms travel over a cab in 5 years. You will end up paying more also additionally loss of convenience too ...... If you are a person who travels on public transport then there is no point of discussion.

[@Anonymous-fw2lg]

@@kantetichaitanya warikoo sir bol rahe hai ki agar bahut jada important hai to hi car kharido

[@pushkar9304]

Loved the explanation. The Video is great. However, I'd like to let you know that the Insurance amount included here (36k) is not for just one year but around 3 years. The 36k Rupees that your are paying for insurance (third Party ) is for around 3 years, the only additional cost for the insurance would be to convert this insurance policy into Zero Debt policy which would be around 10-12k for 3 years. This way the total insurance you are paying for a car would be ~ 50k for 3 years . Correct me if I am wrong.

[@manish01a]

36k for one year

[@AksheyeNayak]

36 for 3 y i guess, 36 for one year is crazy

[@user-nt3dn4lk9y]

36 for 1 year with zero debt insurance

[@ZeeshanKhan-xm9py]

Yeah it's Zero Dep. and also you'll get NCB(discount and the stuffs) for 5 years i think insurance cost you around 80k

[@ncrminer8605]

You’re correct 100%. My initial insurance was 22k for altroz next year it was just 5k this year it would be 4.5k

[@rajashekharkachapur8048]

Thank you for this information

[@rocksdheemanth]

Thank you for the detailed explanation.

[@03nile]

With rental car for 5 years including fuel cost comes to around 19,74,624 with no asset in hand at the end of 5 years (albeit depreciating) versus 16,61,544. You actually pay more by rental unless I'm missing something 🤔 If you could kindly elaborate

[@mukeshmohanty4001]

Did u subtract opportunity cost?

[@03nile]

@@mukeshmohanty4001 no, I didn't

[@_Megasthenes_]

@Aarush Dayal Nope

[@03nile]

@Aarush Dayal no, you would have to pay the "residual value" of rental cars as defined by the rental company at that point of time excluding insurance, maintenance, and other costs.

[@manishthakur9851]

Ankoor has assumed that you pay 7 lakh rupees upfornt for Swift. Whereas for rented car, you pay Rs 25,000 monthly which you can invest remaining amount whether in FD/RD/Bonds

[@shami_fin]

This video is a breakthrough to me… Thank you showing the real value of deprecating assets. A comparison of how much we can save if we rent a car could have been added. Because anyway a private vehicle is required as a mode of transportation

[@kantetichaitanya]

You will end up paying 20 percent more and at the end of 5 years there won't be any asset in your hand as well .... 😂😂😂

[@manumenezes1722]

Waw. That's awesome. Thank u for the video. Explained in most simplest way, where anyone can understand.

[@arghyadeep5738]

This video is so good ! very few people actually think about this spendings in the long run , and now the petrol/diesel prices are going rapidly so maintaining a car will be much more difficult than buying it for once

[@vinaykumarsahu116]

That’s great info. I was wondering how drastically this difference will be created is used an EV car. Zero petrol, low maintenance, govt subsidy and tax deductions benefits.

[@rahulmrdsw]

At this time EV isn't working well. First off if a petrol car costs you 7 L. The same model of EV costs you 11L. So aren't you paying 4L upfront there ? Second we all know how well we have charging stations set up. Cara are usually used for commute with family for long distances too. So to charge your EV car, you will have to halt watch a movie until it's charged and then start over. If EV and petrol car prices are same then it's worth considering. But for now it simply doesn't make any sense. Also the whole thing of companies trying to claim eco friendly is crap. Li-Ion batteries while being produced still cause more pollution. So until the car is run by hydrogen or solar it ain't working

[@PankajJainMONEYGURU]

Hi Ankur, You are saving so many relationship. I liked your story.

[@debalinabanerjee2366]

Brilliant explanation ❤️

[@Jakesullyy]

Best valuable video on internet.

[@telegrammahmoodinvest9750]

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[@mandycarl2053]

Wow!!!, please how did you earn such good amount.??

[@telegrammahmoodinvest9750]

@@mandycarl2053 I invest in bitcoin on a platform, with assistance from their top crypto experts. *Sir* *Nicholas* *Merten* is my assistant, I have been trading with him for a year... I've really made a lot from his strategies in trading and mining of cryptocurrencies...

[@josephcarl5261]

@@telegrammahmoodinvest9750 I was referred to his service a month ago, I have made $12k presently on my dashboard.

[@dawnsonmorgan4100]

Now is the best time to invest in bitcion, I'm really taking advantage of the dip, I invested additional *$5000* to my dashboard. A week ago, and presently I have *$22,000.*

[@paulmalden6636]

@John S. Davis I lost over $15,000 trading on my own 😥 but I've recovered $18k with help from *Sir.* *Nicholas* . im still trading and mining...

[@amritchaswal1613]

Nice video as always, sir. Although the final amount of owning a car for 5 years depends on the factors that you showed, we can decrease the amounts further by buying a new insurance after the 1st year. The difference is huge. I bought a Grand i10 Nios car in 2020 and payed around 32k for the insurance upfront (zero dep insurance). Then when I had to renew in the year 2021, I went to Policybazar site and got the zero dep insurance from a different company for just 8k (including consumables). The difference of the cost here is close to 25k. So by this we can decrease the cost to a great extent for the coming 5 years.

[@chandancreative5674]

Superb Info

[@somali8022]

Very nice and informative video! Thanks 😊

[@pratyushprasar4088]

Hi Ankur, I might be missing something here, but if we rent the same car for 5 years, Don't you think we will end up paying more. I just checked that the monthly rent for the same car is showing approx 25000 rs including the insurance and maintenance. So, every year we will pay Rs 3,00,000. (assuming they charge us the same rent for 5 years), that will be "15 lacs"in 5 year. By taking the fuel uses same as mentioned in the video, It will be close to "5 lacs". So, we end up paying "20 lacs" in this scenario and we don't even own it. There is one benefit that we can change cars whenever we want while renting, but how does that help us economically?

[@Nitya3may]

@WARIKOO.+①⑧⓪③⑦⑧④⑤⑨②④ are chadarmod fake id banake kisko chutiya banana chah rha...kisi ko n bna payega kynki asli chutiya tu h 😂

[@krnsrth]

He is discussing common middle class here, which is he is not in definitely. And Rented car is on office name as he said so he can show as expense and get tax benefit.There is big game 😂

[@ChiggiBoi]

true.

[@warikoo]

1. There is opportunity cost from investing the rest of the amount and earning returns from it 2. If leased under company name you can claim it as expenses and it will be deducted from taxable income. If self employed it can be used as business expense. 3. You can change the car whenever you want (in most plans) Will make a video on this too

[@devennaik7714]

@@warikoo That's debatable. If I am taking a loan, will the opportunity cost reduce?

[@Sabinakhatun19997]

You are paying 25k per month as car rental and in 1 year it's 3lacs without fuel. Isn't it a better option to buy a mid size SUV? I believe if anyone genuinely needs a car he or she can go for it.

[@farazalisyed3603]

As far as I know he has rented Hyundai i20 :D must be without even a turbo engine :P

[@giteshaherrao2894]

Right and for same 5 years it ll be 15 lakhs plus petrol cost 😂 which becomes more expensive than owning a car

[@jaygadhiya9908]

@@farazalisyed3603 he has rented Nissan Magnite

[@farazalisyed3603]

@@jaygadhiya9908 its even worse :D poor safety ratings

[@vikasrajak3270]

Thank you Ankur sir.. for making me understand the mathematics behind owning a Car, u hv just opened my eyes.. thank you sirji 🙏..

[@vsab786]

Excellent analysis

[@AbirSinha]

Totally agreeing to the financial impact of a car purchase, however, given post-covid people wanted a hygienic and safer way of commute, the ownership of a car became inevitable.

[@sagarkulkarni2590]

Use cycle which will keep you safe from inside.

[@AbirSinha]

@@sagarkulkarni2590 Cycle for 15km at this temp (40+). Sure bro.. slow claps

[@vijaygautam1406]

Car is a unique product, as it is an asset (more specifically, a depreciating asset as it does fetch some price if you sell it after using for some years, provided it is not 'salvaged'), as well as a liability (requires regular cash outflow, in terms of insurance, maintenance & repair). But more than that, car is a utility, as it gives you comfort, satisfaction and freedom. Off course, if you live in a densely populated city (like India's metros), then you may not be very happy as you drive, due to poor road conditions, traffic jams and low fuel efficiency under those conditions. In that case, it makes all sense to ride public transport or taxis. However, if you live in an area where public transport is scarce, roads are open and wide, and distances long, then it makes all sense to buy a car. Lastly, whether to buy an expensive or a relatively inexpensive car, is again on the discretion of the car buyer. Some people, esp. businessmen and industrialists, find it lucrative to buy expensive car, as it adds to their social status and (some claim) makes it easy for them to approach bigger customers. Sadly, it is still a reality that your clothes and car have a role in creating first impressions in making business deals!

[@BishalChakraborty]

Warikoo u have just made the biggest eyeopener vid...damn good

[@kumarprasoon8881]

Great Content ❤️

[@sudhanshuaggarwal1]

Sir, apologies but for this video it would have been fare to bash the ownership of car iff you would have done included the subscription comparison as well. For 25K/month subscription charges, you are paying 15L for 5 years. And i am almost 99% sure that this 25K does not include the fuel charges. Please correct me if I am wrong.

[@josephstalin8922]

😂yep

[@karangupta2924]

That car is in company's name. You get tax rebate. Comes out to be the same plus you can choose to get another vehicle after a year if you want.

[@toomuchpoop450]

i think that 25k he pays for a car like creta or kia seltos which costs 15-16 lakhs for swift it will be 15k rent(saw it on revv). Anyway every decision in life is not financial sometimes emotional decisions are also important. Agar aisa hai toh sanyas leke baith jao na school matt jao job matt karo shaadi matt karo. Shaadi karoge toh bacche hoge unka education karna padega usme laakho lagg jayege toh uski bhi opportunity cost rahegi.

[@cakbhalotia]

1. You have discounted the selling price of car for inflation but you have not done the same for Cost of Ownership i.e. 10,79,277. So technically the net value would be lower than even 16 lacs. 2. Even if you subscribe to a car service for say 25000 per month and assume an annual inflation of 5% the total cost of subscription would be close to 16 lacs only. So basically whether you subscribe or you own you are indifferent. Ola and Uber cannot be compared to owning/subscribing a car as it is inefficient. In car you can reach from Point A to Point B whenever you want. But in Ola Uber you have to book then they will cancel then you book again then they will cancel again and the infinite loop continues for an hour or so before you decide to walk or take public commute.

[@anshulkukreti6252]

Haha! Even I was thinking the same

[@arunn_kumar]

Exactly! Everything has its own nuances. Depends which side you choose to own up for!

[@BarkaDog]

Not to mention the dynamic pricing of ola and uber. They charge way more than what is shown initially.

[@AdityaJape]

high quality public transport and cities build around metros is not a thing in this country.

[@Dsutradhar]

Matlab ab log gari bhi nahi kharide. Jab tak jeevit ho tab tak invest karte raho.

[@TheSyed753]

Bade bhai you are awesome, I loved the you explained.

[@jayeshbabariya]

Sir...Really you are a true mentor... Thank you for your valuable time to share with us... Dhanyavad.

[@akashrelan9028]

Apologies for the long post in advance, but there are a few things that such comparisons miss out and mis-represent: 1) Mobility (Car/bike/cab/bus) is always an expense for a salaried individual and hence must be treated as such. Only as a company can one show a car as a depreciating asset. And while we declare a car as an asset, it essentially is an expense. 2) Mobility is a basic human need just like roti, kapda and makan (albeit makan is an asset and another topic of discussion). For reference, These days we spend quite a lot on groceries per month as well and these could easily be >INR 1L p.a. for an average middle class salaried household. Doing this analysis for groceries would be absurd because it’s a basic human need. 3) You can do a simple back of the hand calculation to see if buying/renting/sharing works. At INR 18L (total cost of ownership for a Swift for 5 years run for 90k kms, you end up spending INR 20 per km in today’s money). This is ofcourse way high as compared to say a motorcycle, but almost 20-30% cheaper than comparative Uber/Ola in metro cities that regularly charge INR 25-30/ km even at non-peak times today. Even for a rented car like the example used in this video, the costs are not much lower. Assuming that the cost of fuel is included in an INR25k p.m rent for a leased vehicle, then it’s a great mobility strategy for someone running more than 15k kms in a year. For less than that, this cost is higher than owning a car. 4) In short, the per km cost of owning a mid-range car is anywhere between INR 15-25 (incl. Fuel, maintenance, inflation etc. Etc.) You can target to bring it down to the lower part of the range but that will drive up your absolute expenditure in terms of fuel by running more kms. 5) This comparison always misses the point of availability/cancellations/tension of booking cabs and haggling over cash/ fare/ drop-locations/dirty cabs/dangerous driving. Especially in dire situations like hospitalisations, late night runs etc, having a car at your home has way more peace of mind than depending on a cab. 6) Personally, I’ve used my car as an ambulance for my grandfather, my father and they have used it for me once. And atleast in one of these times, I know one of us wouldn’t have survived had we waited for an ambulance. (We live in Delhi with atleast 3-4 hospitals in a 2km radius, still an ambulance run is a 30min affair on a best day and your own car will take maybe 15 mins tops). There’s no price you can put on this. There’s also no price you can put on the mental toll it takes to book cabs and coordinate day in and day out. Bottom line, if you can afford it, buy it. The primary car in the house is a necessity and hence you should go for it. Don’t buy it to show off and ofcourse try not to take a loan for it. Go for a cheaper segment of car instead. A second car in the house is a luxury in most cases, that is only going to be driven a few times a month. For this, renting or leasing might be the wiser option. Also, cars create great memories. I said goodbye to my WagonR a couple of years back and I can’t describe the memories I’ve had in that car. I had taken it to 11 states, Himalayas, both coasts and what not. This was the car I went to my first job in. This was an ambulance. This was the car I shifted houses in and stayed back listening to music when I wanted a break from the cacophony at home. There’s no price to this and no calculator can show it as a bad financial decision.

[@MithunDhar88]

Perfect response. You seem to have better understanding than Mr. Warikoo. Just another "EXCEL SHEET" which people should ignore

[@akashrelan9028]

@@MithunDhar88 I must admit, that I have learnt a lot from Mr Warikoo's content. Esp, his home loan/EMI video helped me re-evaluate my own HL and I ended up reducing my tenure by a lot. But yes, some of these "popular" concepts around not owning a car or a home and some others don't make financial/logical sense to me.

[@MithunDhar88]

@@akashrelan9028 Correct.. I also strongly disagree with this Video.

[@shubham1141]

Thanks for the analysis bro

[@harshitgupta966]

This video has completed changed my point of view for buying a car!!!. Rather than buying a car everyone should try to first afford it by earning that much money which don't bother them to waste. Thank you so much for video ❤️❤️❤️

[@vikrantsingh9503]

You might want to change the perspective again. Rental car would cost you more. According the 25k, 3L per year would be the cost. For 5y, it's 15L. Adding fuel makes it 20L. Now to pay 20L, one has to earn 28L(30% tax as per his logic). Also he has added 36k etc insurance for 3 years which is itself for 3 years. Why is maintenance cost 30K for 4th and 5th year. Tyre got changed in 3rd year, i don't see major maintenance cost. Decide yourself before getting the biased info.

[@harshitgupta966]

@@vikrantsingh9503 okay I agree, but I have not said anywhere that you should buy a rental car in my comment than purchasing a new one rather than use services like ola and uber.😂 And one more thing rather than buying a liability invest the same money in purchasing raw land as you know land is an appreciating asset it will be the best investment that you can actually do.

[@adityavedula94]

Great video

[@vaibhavchavhan3668]

Sir you are a best guider and teacher.

[@mayur_mahamuni]

That's why there is saying.. "if you can't buy it twise you can't afford it"

[@indianputon814]

Just when I bought a car Edit-Glad I bought a used car 🤣

[@justted5546]

A great video Sir

[@lavishsonkhle1691]

Just one more point Ankur Warikoo once said *Money buys you freedom and freedom is a privilege*

[@manik9024]

Sir according to me car is an asset if it is used for business or jobs like marketing purposes cuz in this u can save your time and u can cover more area which will eventually help u to earn more money.. but car is depreciation asset if it only used for mode of transport from one place to another.😊

[@prorider4992]

Car is an emotion And you can’t apply excel sheet to emotions 😂😂😂

[@KrishnaYadav-tf5wu]

Nice Video Ankur...An eye opener for most of us...👍🚗😊

[@prads3000]

Without seeing the whole video, I liked the 'Like' button at the start because the topic is so so relevant and needed proper dissection. Good one! (But I saw the video too, it really makes so much sense). Thanks!

[@kapilmmm9202]

Sir comparison with rented car would have been great!!! And also the various options about renting or lease .....specially for people like me who loves driving ......so definitely self driven rented car can be an option but comparison would have been great...

[@KetanPatil22]

I have never commented negatively on your video till date. But you have incorrectly told the insurance amount. 36k which is shown is for first 3 years and not 1 year. Also there is concept of discount. I am an officer in govt insurance company and with my industry experience I can tell you that for 5 years, the insurance eill he roughly 70-80k

[@Tswaraj]

True.

[@MegaShashank14]

Exactly.

[@atanudas3017]

Thank you sir for sharing this wonderful knowledge with us..you have changed my perception of buying car. Thanks a lot...🙏🙏

[@kajalpawar1704]

Completely agree sir...all of your content helping me with improving my knowledge..

[@bhattkalpesh4004]

HELLO.SIR. , BEST GRITTING FROM MA ❤️SIDE. , I LISTENED A THOUGHT WHICH IS.. " if you want to buy something , then you have 4x money of that product " if you buy that product, 4times then you should go for that.thing..🙏🏻

[@siddharthlachhwani1]

Sir you missed on Toll and regular parking expenses to include in total amount. It will further increase cost of ownership significantly. 🙏

[@mohitbagaria5387]

Even if you use ola/uber or any rented car, you must pay that. So not relevant

[@siddharthlachhwani1]

@@mohitbagaria5387 my question was not about squaring off amount in between owning or renting a car 🚗. It's about calculating total cost of owning a car with all direct expenses ,so you can decide " Buying a Car - are you LOSING MONEY ? " Which was the topic in hand in the first place. 🙏

[@rishiyanksharma4632]

Amazing analysis and must watch video for each and everyone 👍👍

[@ravinderagarwal621]

The way you explain is just brilliant

[@praneet_kumar_esari1744]

Hi ankur sir , just want to know where you have taken car for rent . Can you please make a video on process of taking a car for rental as year basis . Thanks for d video😍

[@imRishabh]

Same request from my end as well

[@MegaPriyanshu]

Yes same request from my side too

[@mukuljainn]

Google cars on rent

[@MegaPriyanshu]

@@mukuljainn aree bhaii monthly kahan show kregaa ki monthly rent ye h

[@rajangogia2518]

There is a company named Quicklyz.. you can check with them .. it's a Mahindra owned venture

[@rushic24]

Loved the explanation. One thing I find missing is, do you mean ola/uber when mentioning the rented car? Or the 25k/month includes the fuel and maintenance charges? Also when having a car you can visit any nearby (20min distance) supermarket with a car. Do you include situations like this when on a rented car? Because sometimes we can find ola too expensive for a shorter distance.

[@samadritamajumder3536]

Walk for 20 min distance or take auto.

[@nagabala5011]

you need to calculate parking charge if super market on mall

[@sanjeevsingla478]

very nice information sir

[@rajkumarrana2313]

Too good.... sir

[@Karthikk97]

Now Automobile industries want to know Ankur sirs location😂

[@photophactorysurat553]

10-12 lacs as my Swift is second hand 2015 diesel on which I ve taken used car loan as well soo I am getting in 5,26,000 (with interest) 4 years loan

[@vrushabhmore9398]

thanks sir great video

[@saikrishna9107]

This information nobody tells, superb sir

[@joepaul850]

Great points mentioned in the video. But we would also like to know the cost comparison of commuting the same 18,000 kms each year for 5 years by renting a car or any other means (like Ola and Uber)of the same category

[@heheguysharme9701]

@warikoo +①③⓪⑦②⑥⑨②①⑧④ sir would love to invest money with you. Will invest about 5 laksh if u send your mother to my house for 1 week🤣

[@nikhiljain7223]

Sir 2 observation which you have not considered in the above video :- 1. You have not considered the tax savings on depreciation which can be claimed on car. 2. Present value of future expense has not been considered (for eg expense of 5 year should be discounted to current value)

[@rishabhkothari905]

Good observation. Could you please elaborate the 2nd point?

[@sagarkulkarni2590]

Assume inflation and returns % equal

[@manishthakur9851]

How salaried class can claim fuel expense and depreciation ?

[@nikhiljain7223]

@@manishthakur9851 Salary class can claim car EMI expenses, Driver’s Salary and Fuel expenses if it is part of their CTC component by their employer and used fully for the purpose of business.

[@Saurabharoraofficial]

Hats off, Now i change my mind coz of you ankur sir 😍

[@HelpAF]

Acha samjya hai apne thanks 🔥 baki presentation skill also improved 🔥 well done ✅

[@davidsoren17]

as per my calculation... for 5 years, including petrol, insurance, service cost.. it requires ~5.5 Lac (except accidental repair)

[@davidsoren17]

this calculation excludes ownership cost 😅 which is 7 lacs +

[@kaushikdas4098]

Thts why Warikoo become warikoo, you and me are not.

[@davidsoren17]

@@kaushikdas4098 by the way i am not suffering that phase...are you !

[@kaushikdas4098]

I think warikoo said for salaried class. But for those who are earning money in cash, like doctors, then owning a car is good because the need to burn the cash otherwise storing cash is dangerous for them for IT implications. My personal view is that If you spent 15K/Month in ola Uber then you need a cheaper car that will save you. Salaried Class + weekend travel = Self-driven Renting car is best. Sorry for those commenters who forcefully gave some opposite logic because they realized they already committed the mistake.

[@davidsoren17]

@@kaushikdas4098 opposite logic, what is that ?

[@sudipchakraborty2487]

The Uber/Ola Rates have so drastically sky rocketed that for a stretch of 5 - 7 kms nothing is being charged less than Rs 200-250. For a daily cab user the Expenses of hiring and travelling in a cab would be much higher let along the cost of time you loose due to waiting, cancellations, giving interview to the driver 😜, explaining pickup point etc ( Also factors like safety, comfort, privacy, hygiene, emotions etc)

[@codingpotato813]

All the people commenting about the pain about not owning a car, I want you all to know that it's not about owing or not , it's about the nature of financial system and how money works around it. It's about financial litracy. It's about how you can spend wisely.

[@whatapp673]

Thanks for watching. Send a direct message right away for more info and guidance📩

[@tuhinroy8762]

Sir, always a big fan of your argument. Couldn’t agree more, have some experience on this particular matter. Sometime buying or owning a car or house is a dream for most of us and it has some emotional aspects to it. I’m not referring to luxury stuff, basic. After all we are humans and there are different driving forces for different mindset. Main point is one should know where to stop, thoughtful purchase always comes with greater satisfaction as it provides mental peace at the same time.

[@santoshpreetam22]

Petrol price today at shell pune - 129/-😅

[@santoshpreetam22]

@WARIKOO.+①⑧⓪③⑦⑧④⑤⑨②④ Dear fake warikoo..get a life please

[@harshdeepagrawal9941]

Was reading through the comment section and saw very good perspectives given by you people. Well i too agree on the emotional value and other convenience that an owned car offers. 1 thing which no one pointed out was that in the given example, the car was driven 90000km in 5 years. Considering the cost calculated by Ankur, it makes per km cost to be 18rs per km. If you instead take an uber everytime, you'll be charged 25rs per km approx and thus even financially it makes sense to buy a car (unless you are okay going on public transport). Plus you get the pride of ownership, convience of having a car in standby all the time, no waiting time, your privacy, security etc.

[@harkritigangwani6178]

truly an eye opener for all the young adults... even I wanted to buy a car for my parents, but after watching this video, i am thinking about investing in life and health insurance... may be that will help them more than a car sir can you please also share an excel sheet video of having a rented car and show a comparison that how renting a car is probably better than owning one... the excel sheet format was reallllly nice gave sooo much clarity and perspective the nerd/geek in me, just loves the numerical representations.... thankyou once again

[@abhisheknagpal7]

Great content @ankur sir. Please make a video on weather one should go for a second hand car vs subscription car

[@Su4338]

Hi Ankur, great video to explain how people ended up buying any depreciation asset. We would like to compare how renting car would stand with such cost assumptions.

[@ajsin]

RENTED CAR: 25k monthly X 60 months= 15L (To earn 15L CTC is 22L) + Fuel (5L) Total Rent= 27L OWN CAR: Net Cost 16L

[@atharhashmi5762]

Very nice good work