I had a great question from one of my Money Masters today:
How do you know when it is the “right” time to get rid of your used car and buy something newer?
There is no one “right” answer, but a good rule of thumb is that when your average monthly repair bill + your monthly payment exceeds the monthly payment of a new(er) car, it is probably time.
Keep in mind that regular maintenance, like oil changes and tires, are not included in this calculation since you will have these expenses regardless of what vehicle you own.