Vehicle Affordability Calculator South Africa 2026
Find out how much vehicle you can afford based on your income
Financial advisors recommend vehicle payments should not exceed 20% of gross income.
Frequently Asked Questions
How much vehicle can I afford?
A common rule: your vehicle payment should not exceed 15-20% of your net monthly income. Total vehicle costs (payment + insurance + fuel) should stay under 25%.
What is the 20/4/10 rule?
Put down at least 20%, finance for no more than 4 years, and keep total monthly vehicle costs under 10% of gross income.
Does my credit score affect vehicle finance?
Yes. A higher credit score gets you lower interest rates. SA banks typically offer vehicle finance rates from 9-18% depending on your credit profile.
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How the vehicle affordability calculator works
Affordability is an instalment question, not a price question. Work out the maximum instalment your budget can carry after rent, food, debt and savings, then convert that instalment into a financed amount and add the deposit.
On R30 000 a month with a 20% ceiling, the instalment is R6 000. At 11,75% over 60 months that instalment supports a loan of R271 268, so with a R30 000 deposit the affordable price is about R301 268 — before insurance, fuel and maintenance.
Add comprehensive insurance of about R1 200 a month and the real cost of that car is R7 200 a month, or R24,00% of income.
What changes the answer in South Africa
The National Credit Act requires the lender to assess affordability from bank statements and existing obligations, so a dealer pre-approval is not a guarantee. Insurance is compulsory on financed vehicles, and the premium depends on the car’s value and the driver’s profile. A balloon lowers the instalment and raises the amount owed at the end.
Common questions about the vehicle affordability calculator
How much of my salary should a car cost?
Keep the instalment under 20% of gross income — R6 000 on R30 000 — so that insurance, fuel and maintenance still fit.
Does a deposit help?
Yes, rand for rand against the price: R30 000 of deposit buys R30 000 more car for the same instalment, and lowers the interest.
Should I include insurance in the calculation?
Always. It is compulsory on a financed car and can add 10–30% to the monthly cost of ownership.