{"id":1112949,"date":"2019-04-26T16:18:13","date_gmt":"2019-04-26T16:18:13","guid":{"rendered":"https:\/\/dailyreckoning.com\/?p=107274"},"modified":"2019-04-26T16:18:13","modified_gmt":"2019-04-26T16:18:13","slug":"watch-out-for-these-hidden-expenses-before-you-buy","status":"publish","type":"post","link":"https:\/\/juniorminingnews.com\/?p=1112949","title":{"rendered":"Watch Out for These Hidden Expenses Before You Buy"},"content":{"rendered":"

This post Watch Out for These Hidden Expenses Before You Buy<\/a> appeared first on Daily Reckoning<\/a>.<\/p>\n

More Americans than ever are behind on their car payments.<\/span><\/p>\n

The number of loans at least 90 days late exceeded 7 million at the end of last year, the highest delinquency rate since 2012, according to the Federal Reserve Bank of New York.<\/span><\/p>\n

Consumers paid on average a little more than $36,000 for a new car, up roughly 3%, according to Kelley Blue Book. And if you\u2019re a savvy shopper, you know very well the cost of buying a car doesn\u2019t end at the sticker price in the showroom. <\/span><\/p>\n

Unfortunately, there are a lot of people finding this out the hard way.<\/span><\/p>\n

The \u201ctrue cost to own\u201d a car factors in costs beyond the final sticker price, like gas, maintenance, repairs, insurance and depreciation. In order to have an accurate cost of ownership, you need to calculate all these numbers in addition to the final sticker price. <\/span><\/p>\n

Lucky for us, websites like Edmunds and Kelley Blue Book offer tools to help<\/span><\/a><\/strong> figure out how much the \u201ctrue cost to own\u201d will be for a particular make and model. But beyond cars, what else should you be considering the true cost to own? <\/span><\/p>\n

I\u2019ve noticed a lot people don\u2019t consider the \u201ctrue cost to own\u201d for things like appliances, lawn mowers, leaf blowers, laptops and other electronics. All these relatively large purchases should be looked at beyond their shelf price. <\/span><\/p>\n

Figuring out the true cost to own before you buy is part of being a smart shopper. It helps you see past the sticker price and choose the product that will best serve you in the long run.<\/span><\/p>\n

So, how do you do it? <\/span><\/p>\n

You might have read that last paragraph and started wondering if you should be calculating the cost to own a dozen eggs or 24 rolls of toilet paper? No. Most purchases you make will not require any calculation beyond the store price tag. <\/span><\/p>\n

But it\u2019s worth taking the time to calculate the true cost of ownership when you buy items that meet the following criteria:<\/span><\/p>\n

    \n
  1. <\/b>If It\u2019s a Long-Term Purchase<\/b> <\/span><\/li>\n<\/ol>\n

    Anything that is considered a one-time buy, like big pieces of furniture, a new tool, really nice pair of shoes. Stuff you plan to keep for many years before replacing. <\/span><\/p>\n

      \n
    1. <\/b>If It\u2019s a Significant Purchase<\/b> <\/span><\/li>\n<\/ol>\n

      You\u2019ll probably keep a new pair of underwear for a few years, but the cost of a 3-pack of boxers is too small to worry about. Do the math when you\u2019re shelling out significant sums of money. <\/span><\/p>\n

        \n
      1. <\/b>If It Has Recurring Expenses<\/b><\/span> <\/b><\/li>\n<\/ol>\n

        There are some things you buy once and never expect to spend money on again, like books or decorations. The true cost of ownership for these items is the sticker price. But other items you buy will continue to cost money after you\u2019ve bought them. <\/span><\/p>\n

        Almost anything that runs on electricity adds cost and things that require upkeep like, a bicycle, have hidden costs. <\/span><\/p>\n

        Only do the math on a purchase if it meets all three of these conditions. <\/span><\/p>\n

        So what are the hidden costs to owning appliances, electronics, tools etc? Let\u2019s look at a few category examples:<\/span><\/p>\n

        Appliances<\/b><\/span><\/h2>\n

        In a lot of ways, appliances are like cars. A large appliance is a big purchase \u2013 it uses energy, and it occasionally needs repairs. Therefore a lot of the costs are similar to the costs of owning a car. These include:<\/span><\/p>\n