Hot Wheels

Group B
By: AS, AC, BD, CC, KG
 Preview
Get out the
No car door No bad car

No good car E-bike Alternative

 Our Big Idea
To get out of university or collage without any
debt but leaving as many opportunities as
possible for a better future
 Living
Expenses
 Phone
Because our female is a teen, she
would want a good phone with a
enough data to last the month. We
believe that 80 bucks is reasonable
because data is $35 and monthly
payments are about $45.
Entertainment

As a teenager especially in the 21st

century everyone plays games
watches movies or they go to the
movies. On average a video game is
70 dollars. Streaming services like
Netflix can be up to 10 dollars and up
to 15 dollars to go to the movies.
 Food
We think 80 bucks a month is good
because they will want to go to a
restaurant every once in a while. And her
parents will buy groceries since she still
lives with her parents. We plan to eat at
McDonald’s every other week if we want
to eat out, 1 week restaurant, amd 1 week
a cheaper option
 Clothing
We chose 80 bucks a month for
clothing because she is going to
be money smart and only spend
her money on clothes that she
actually needs. Instead of
wasting it on stuff she doesn’t.
We also don’t need to buy
clothes every month we can
save up the months to buy more
when we need to.
 Miscellaneous
We chose $125 because it gives us
enough buffer room if needed. For
example if one month someone was
having a party she could use the
miscellaneous funds towards snacks
and drinks. Or if she’s in a relationship
she has money she can spend on them
for gifts or anniversary
Base Car
Expenses
Car expenses that don’t change
 Car
While we are not getting
a car, two expenses that
would not change in
between different cars
are:
- Gas
- And Insurance
 Gas
You can drive about 320 km per full
tank in gas and there and back from
Atwood is about 20 km which is 16
days worth the driving. It costs about
$80 per full tank and we are filling it
twice per month because 16 days is
not enough for the month. So each
month we are spending around 160
dollars per month.
Insurance
Because we are 17 years old, and we
would be a new driver, insurance would
be higher than an older driver, insurance
at the least would be $300 with a good
policy. So we budgeted a little higher at
$350 so we could get a good policy.
 Reasoning for
not getting a
car
We are going to university for engineering
and want to come out of university with as
little debt as possible. The base salary for
someone who majors in engineering is
around 70,000 dollars. Which is how we can
pay off existing debt and start saving as
soon as possible.
 02
Cars and Loans
The two cars

We have chosen two cars that would be

suitable if we choose to get the car.
 Car 1

The first car is a 2018 Ford

Escape. It costs $21 687.
Needless to say, this car’s loan
is way more than our yearly
savings. It is a higher price
because this car has low km, is
from a dealership, is a newer car,
and has one owner.
Car loan 1 year term

This is just the cost to pay off the

good car in a span of one year.
This is a new car with all features
but this leaves barely any room for
us to pay for our living expenses.
2 year term
4 year term
 Car 2

The second car is a 2012 Nissan

Sentra. It costs $5 997.
Needless to say, this car’s loan
is smaller than our yearly
savings. It is a lower price
because this car has high km,
and, is from a dealership.
 Car loan
This car loan is also within a span of a year. It
leaves room for us to spend on living
expenses. But this car is not in the best
condition and would barely get to and from
Atwood every day. We would spend more on
maintenance than the car.

At 8%
 Car #1 Maintenance

A Ford Escape will cost about $8,721 for maintenance and

repairs during its first 10 years of service but we decided to
bump it up to $10,000 for 10 years do $1000/ year in case of
emergencies and accidents.
Savings
 Savings at McDonalds
As you see, the savings at this job is way
more than the one at Atwood. Even though
the Atwood job pays $1000 more, car costs
and maintenance make the extra money
useless. No car means that other $1100
spent on loans or $600 spent on other car
things like gas and maintenance means less
money being spent and more being saved as
saved
 Savings at Atwood
As you see, this job pays more, way than the
McDonalds job, the car expenses mean
more money being spent, and also less
money in savings, the Atwood job would be
beneficial if we had a less expensive
alternative…
University
and
Expenses
University

The price for schooling for engineering

is around 16,000 dollars we plan to
have 18,000 dollars in savings and
loans. We plan to leave school with
barely any dept but leave and get in a
good engineering job. The average
start for a engineer is 70,000 dollars.
Parents Part in University

We plan that the parents could probably pay

$5000 a year in order to support the female.
After all, the prompt does say that the
female’s parents are able to provide $2000
for the female.
Summer
Saving
Summer jobs

In the summer we have about 4

months off and we plan to work in
those 4 months so we can pay off
our debt
 Summer at McDonalds

We plan to work 40 hours a week at minimum wage.

This gets us $9,344. While this is not enough to pay
for the year at university, this still gets us pretty far in
terms of paying off student debt.
 Summer at Atwood

We would make a lot more money at the

Atwood job then the McDonald jobs but
the car cost and the students loans won’t
cover all of that.
 Debt
Our big idea is that we come out of
school with the least amount of
debt possible. We want less debt
because that loan just grows over
the years.
E-bike Alternative
Alternatives
If we got the E-bike we can't drive it
to work in the winter. So we found
alternatives like taxis which overall
cost cheaper than the payment for
the car. The drive to Attwood cost
about 10 dollars for there and back.
We are spending 20 dollars a day
which gets up to $440 dollars spent
for the winter months and rain days
in the summer. Which is 6 months in
total. If we spread out the cost of
the taxi over all year we would be
spending $220 dollars a month.
 Summary

So this shows that you are able to leave high

school right away and still get out of school with
as little dept as possible. You can find ways
around things without spending 1,500 a month
on a car loan. You can find ways around that
dept with things like the E bike and taxis which
are overall cheaper than paying off a car that's
going to break down anyways. Also on top of
that you can still pay for your life expenses with
money to spare on things like the movies. In the
end it all comes down to the way you manage,
spend and save.