# \$60,000 Car Loan

What's the monthly payment on a \$60,000 car or truck?
Purchase Price
\$
Down Payment
\$
Interest Rate
%
Loan Term
After down payment, the auto loan will be \$48,000.
At 5.95% interest with a 48 month loan:
Monthly payment = \$1,126
Total yearly payments = \$13,514
Payments by Interest Rate
Interest Rate Monthly
2.0% \$1,041
3.0% \$1,062
4.0% \$1,084
5.0% \$1,105
6.0% \$1,127
7.0% \$1,149
8.0% \$1,172
9.0% \$1,194
10.0% \$1,217
Payments by Amount Down
Down Monthly
\$0 \$1,408
\$2,000 \$1,361
\$5,000 \$1,290
\$8,000 \$1,220
\$10,000 \$1,173
\$15,000 \$1,056
Payments by Loan Length
Length Monthly
24 months \$2,126
36 months \$1,459
48 months \$1,126
60 months \$927
72 months \$794
84 months \$700
Can I afford a \$60,000 car?
What's the salary needed for a \$60,000 vehicle? A general rule of thumb for buying a car or truck is the 20 / 4 / 10 rule.
20 / 4 / 10 Rule:
• Make a down payment of at least 20% cash. For a \$60,000 vehicle, this would mean saving up \$12,000.
• Pay back the loan in 4 years or less.
• Don't spend more than 10% of your income on payments and insurance. Rough estimate: your annual income should be at least 2.5 times the purchase price. So to afford a car that costs \$60,000, you would need to make at least \$150,000 per year.
Yearly Household Spending on Transportation
Source: U.S. Bureau of Labor Statistics, 2018–2019
Metro Area Spending
Washington, D.C.\$13,646
Anchorage\$13,313
Baltimore\$13,255
Phoenix\$12,525
Houston\$12,352
Denver\$12,331
Boston\$11,779
San Diego\$11,704
Seattle\$11,506
Detroit\$11,260
St. Louis\$11,123
San Francisco\$11,103
Minneapolis\$11,049
Los Angeles\$10,959
Miami\$10,915
Tampa\$10,692
Dallas\$10,472
Atlanta\$9,862
New York\$9,255
Chicago\$9,084
Honolulu\$8,403