Thread: Diesel prices!

I sold my v6 petrol Pajero because it ran on premium fuel. Than, diesel was cheaper than standard ULP. Now I have the TD5 D2 and diesel is the dearest. I think someone just trying to S**t me off.
We're planning a central Oz trip this year. But I'm starting to have misgivings. Fuel prices up, mortgage up. Overtime cut back.
Ive herd of some Truckies having they're tanks drained while they sleep. How long before truckies get pulled out of there trucks at gun point just for the thousand odd litres in the tanks ? Or Fourbies ?
"you can keep your jewlery, just gimme ya fuel"

Originally Posted by Ralph1Malph

Just bought a brand spankers 1.9 Golf TDI. Love it.
On the highway we have had 5.7l / 100, around the burbs 6-7l / 100. Thats a 1000km from a tank (highway)!
The two litre is 20% per grunt but add a litre / litre and half to my numbers above.

We drove from Bne to Marlborough and back to Rocky before refill.

Compliments the Disco just right, economical motoring during week, free's up the cash to feed the disco on weekends.

Do it, test drive one today.
(I do not have any commercial spotters fee arrangement with VW, just remit the spotters fee to me and I'll pass it on)

Ralph

OK, I gotta ask here....

How can spending $40k on a new car be a saving????

You lose $5k driving out the driveway....

Then have repayments to make on top of the running costs...

Assuming you keep it a few years.... And servicing is free during warranty (Is it?) then you have monthly payments and depreciation, plus fuel costs.

You spend around $10.00 to travel 100km...I spend $15.00

Even if I travel 3 times as far as you per month I still outlay less cash...

How can that be a saving? Please explain..... Seriously.....

Even a freehold V8 driven the same distance will cost less overall per month than repayments on the car + its fuel cost.

BTW And this is a generalization to all - Fuel is cheap fun... No matter how much it costs, the experience of being in the bush outways the cost.... And means nothing more than another meal at home rather than fast food or restaurant or a pack or 2 less smokes, or one less carton of grog!

Originally Posted by mousie

Bye the way, salary sacrifice (if your employer allows this) is sort of simple

Just imagine all, and I mean all expences being tax free including loan interest and not paying the GST components. Sounds great eh!

But, the capital outlay of the vehicle is the benefit and subject to FBT so you commence paying the additional tax.

Now the tricky part. The FBT reduces at 15K 25K and 40K limits. So ideally it starts to be cost effective from 25K as only 11% FBT per/year and at 40K only 7% FBT.

Stills sounds good. But wait, if your in the 41.5 tax you get the most benefit and if only 31.5 it reduces the benefit.

So for example you earn under 75K, and do say 20klms then a $20K vehicle is perhaps going to work out about the same.

Also there are many little things like max age of vehicle is 7 years and must be purchased from dealer (keeping the industry going) and trades are not considered in dollar terms.

I hope this gives some a quick insight as I do the above. Any further and I'll sound like an advisor to which I'm not.

Geoff

And we have had advice at work that the Federal Gubbernutz are looking to remove Novated leasing etc to close the tax loophole....

Apparently in the not too distant future

We have a lot of people leasing through work... If the rules change I can imagine a lot of AUDI, BMW, MERC, etc owners getting Commodores and Falcons

Originally Posted by wannalandy

They were saying on the local news tonight that the amount of people on trains and public transport has already gone up by 16% in the last 3 weeks .

I get free travel on public transport.

I never use it.

I drive.

To come to work by car takes me less than 20 minutes. To come by train (and I work on a railway station) would take me 50 minutes and I'd get to work 20 minutes early - in other words, about 50 minutes longer each way.

Originally Posted by Tombie2

OK, I gotta ask here....

How can spending $40k on a new car be a saving????

You lose $5k driving out the driveway....

Then have repayments to make on top of the running costs...

Yep. That's why I stayed with my P38A and rebuilt the engine. Fuel is the cheapest part of the equation.

When fuel costs rocketed back in the 70's, it was amusing to watch people sell their V8s for peanuts and to buy new 4-cyl cars. They were mesmerised by the cost of fuel at the pump. They didn't look at the whole cost of motoring.

Agree with Tombie2 and Ron - I have not worked it out in detail recently, but even using the best possible figures, unless you do a very high mileage, it is very hard to make fuel get anywhere near 50% of costs, and in most cases it is less than 30%.

In almost every case, the biggest (often over 50%) cost is depreciation plus cost of capital (either opportunity cost or borrowing cost), closely followed by insurance and taxes and then maintenance and repairs before you get to fuel!

Because of this the most economical motoring will come from buying second hand and keeping your car for as long as possible - and making a good choice of car. Fuel consumption is a relatively minor cost, and although it looks as if the only way is up, it is difficult to see it getting to be the major cost. Also note that recent interest rate increases have lifted the cost of capital by probably as much as the fuel costs have gone up for a lot of owners.

John

Originally Posted by p38arover

I get free travel on public transport.

I never use it.

I drive.

To come to work by car takes me less than 20 minutes. To come by train (and I work on a railway station) would take me 50 minutes and I'd get to work 20 minutes early - in other words, about 50 minutes longer each way.

mines the reverse takes 20 minutes on the train (with a 10 minute walk at the end and a 2 minute drive at the start) and 50 minutes in the car if i leave at 6:10am!

it costs me $3.68 each way on the train, in the car i get 750 ish k's per tank (say 80l usage @ $136 per fill) so thats 18.1c per k and work is about 35k's each way... so that makes the trip $6.33 EACH WAY! deisel is still cheap to run tho.. and i wouldnt sell if it goes up more, not when i have the train and the bike to use.., i'd just cut back on the k's at the weekend.

bugger thats the first time i have worked that out.. the train is cheap here!

Thanks

Steve

I agree with what Tombie and Ron are saying, however I think that when are car is about due for replacement due to it being about to die ( I'm not just taking about Landrovers here ) most people will look for something smaller and economical in this type of environment. I know you can take public transport but I'd rather have a small run about during the week and have the D2 for weekends. The cost of fuel has not pushed me towards that yet as the D2 is still the daily drive but if fuel gets to 2.00 a litre and it will, the only question is how soon, I might have to go down this path.