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Secondary costsThe price you pay to buy a car is one thing; the ongoing costs are another thing altogether. In this section, find out all about the secondary or other costs that you need to consider before buying a car. |
Driving a car is not exactly cheap. According to the TCS, a car that costs 35,000 francs and clocks 15,000 kilometres, costs an average of 11,300 francs a year or 940 francs a month. Even a small car can increase the household budget by about 600 francs to 700 francs a month. These costs can be categorized as follows:
Fuel and maintenance costs
Do not underestimate fuel costs. They account for a large proportion of your motoring costs. This is particularly true if you record high mileages. In addition to the fuel costs, you also have to incur costs for servicing and repairs.
Insurance
As a driver, you are required by law to have at least a third party insurance. You have the option of third party or fully comprehensive insurance, breakdown cover, legal costs insurance or other solutions. If you lease your car, you are generally required to take a fully comprehensive insurance. You pay a certain amount every year for the insurance policy.
Vehicle taxes
Vehicle taxes increase regularly and are regulated at the cantonal level. Depending on the size of your car or van, you have to pay a road tax between 180 francs to 1,750 francs. In addition, there is an annual charge for the motorway permit sticker. Contact your local Driver and Vehicle Licensing Agency to inquire about other fees.
Devaluation/Depreciation
Amortisation accounts for the largest part of your motoring costs. The value of the car from the TCS example drops by 10% a year. You can only sell the car later at a price that is well below the original price. If you want to be sure that you have not overlooked anything, set aside the "lost" amount every month. When the old car no longer meets your needs, you will have the money for a new car put aside.
Other costs
You may need to rent a garage or buy a parking pass for your car. The car may suddenly need spare parts, new tyres or an alarm system. If you have financed your car through a finance company, there are bound to be monthly instalments and interest payments for the loan.
Car budget calculation
Further Information
Touring Club of Switzerland
Cantonal Driver and Vehicle Licensing Agencies
Association of Driver and Vehicle Licensing Agencies
Fuel and maintenance costs
Do not underestimate fuel costs. They account for a large proportion of your motoring costs. This is particularly true if you record high mileages. In addition to the fuel costs, you also have to incur costs for servicing and repairs.
Insurance
As a driver, you are required by law to have at least a third party insurance. You have the option of third party or fully comprehensive insurance, breakdown cover, legal costs insurance or other solutions. If you lease your car, you are generally required to take a fully comprehensive insurance. You pay a certain amount every year for the insurance policy.
Vehicle taxes
Vehicle taxes increase regularly and are regulated at the cantonal level. Depending on the size of your car or van, you have to pay a road tax between 180 francs to 1,750 francs. In addition, there is an annual charge for the motorway permit sticker. Contact your local Driver and Vehicle Licensing Agency to inquire about other fees.
Devaluation/Depreciation
Amortisation accounts for the largest part of your motoring costs. The value of the car from the TCS example drops by 10% a year. You can only sell the car later at a price that is well below the original price. If you want to be sure that you have not overlooked anything, set aside the "lost" amount every month. When the old car no longer meets your needs, you will have the money for a new car put aside.
Other costs
You may need to rent a garage or buy a parking pass for your car. The car may suddenly need spare parts, new tyres or an alarm system. If you have financed your car through a finance company, there are bound to be monthly instalments and interest payments for the loan.
Car budget calculation
Further Information
Touring Club of Switzerland
Cantonal Driver and Vehicle Licensing Agencies
Association of Driver and Vehicle Licensing Agencies
