No Car, No Problem: How I Saved Over $14K a Year by Going Car-Free
Written by
Jake Safane
Edited by
Jenna Klaverweiden
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Cars are deeply ingrained in American culture. The majority of U.S. households have at least two cars, and only 10% of Americans rarely or never drive, according to Pew Research Center.
However, car ownership can also be a big drain on your finances. Unlike other assets like houses or stocks, cars tend to decrease in value over time. Even if you’ve paid your car off, you still likely have significant expenses, such as fuel and maintenance.
If you can make it work for your situation, going car-free can be a big money-saver.
Going Car-Free
Take Donna Thomas-Rodgers, Ed.D., founder of the Turn Around Doctor. While she does still have access to her daughter’s car, she ditched having her own car four years ago and has been enjoying the mental and financial freedom that came as a result.
The decision came about due to Thomas-Rodgers’ car being on its last legs in May 2021, and it was going to cost more to repair the car than the vehicle’s worth, she explained. At the same time, her daughter, then 18 years old, needed a new car for her business. So while her daughter went forward with purchasing a midsize SUV, Thomas-Rodgers realized car ownership was something that she felt was based on expectations, not something she truly needed for herself.
“I was 48 years old and had had a car my entire adult life. I asked myself why and it’s because I am from Detroit, ‘The Motor City,’ where you are defined by having or not having a car, then further by the type of car you have. The car dying in May of 2021 was also my relationship with having a car dying too. It has been four years, and I still do not have a car,” she said.
By not having her own car, Thomas-Rodgers estimated that she saves $14,000 to $16,000 per year. Between car loan payments, auto insurance, maintenance, registration, gas, car washes, etc., the costs per year really added up, she explained.
Mental and Financial Freedom
In addition to the direct savings of over $1,000 per month, on average, Thomas-Rodgers has enjoyed her car-free lifestyle.
“My daughter does the driving now. However, most of the things I need are walking distance from my home. I drove myself around for 33 years. I am enjoying being a passenger and simply car-free,” she said.
Plus, getting rid of her own car helped her see the rat race that can come from car ownership.
“I have not felt this free in my adult life. I always drove nice vehicles. At one point, I had a Mercedes-Benz, and I always needed to either valet or park far away. I was so concerned with door dings,” she explained.
Plus, a premium car like that required premium gas, expensive oil changes, higher insurance premiums, etc. And that was all for something she didn’t really need.
“The Motor City had me caught up in curb appeal. There was so much of my identity attached to ‘my car.’ This mindset is no longer present in my life,” Thomas-Rodgers said. “What’s interesting is that, in the last four years, not one person that I have met has asked me, ‘What kind of car do you have?’ It has been a huge shift for me — a release of my former self and an embracement of this new sense of self. Currently, car-free is the life for me.”
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