I have figured a vehicle costs about 15 to 20 cents a mile however you want to look at it. I use this to try to figure out what vehicle to buy - looking at total ownership cost vs. up front.<br><br>If you buy a new car for $30K, drive it hundred thousand miles and it shouldn't need anything other than basic maintenance, then sell it for 12K, you just spent 18k/100 000 = 18 cents a mile<br><br>Someone buys that van for 12K, drives it for another hundred thousand, probably puts 5000 in repairs along the way, then sells it for 2K = 12+5-2 - 15/100000 = 15 cents a mile<br><br>Next guy buys it for 2K, maybe drives 30K miles and if lucky spends only 3K in maintenance = 17 cents a mile. <br><br>If your handy, you can save some money on the middle one, and really milk the last one for a lot more miles and get your cost well below a dime a mile. But if you need to pay someone to fix your car, then the numbers above might be low, and the new vehicle might actually be the best deal for you. Fixing your own car is one of the most cost effective things you can do to save money. Most small things are very easy to do with a little research and patience.<br><br>So you can use the same rough formula to figure out what to pay for something - cost plus estimated repair cost / number of miles you think you might get should be under 20 cents, preferably closer to 15, or its time to look elsewhere.<br><br>Or at least thats how I do it.<br><br><br>