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by brianwawok 2322 days ago
US median household income is 63k. So for a two income house, that would mean two cars costing a total of 31.5k max.

A 2020 yaris starts at 15,650. With fees, should be around that mark.

The problem is, the median US household does not buy a Yaris. They spend more like double that. So 30-40k PER car, two cars per household.
1 comments
perl4ever 2322 days ago
For a coherent analysis, you should use the median income of two earner households. Two people where one makes $75K and the other makes $50K equals a household of $125K.

And it seems obviously extravagant to me for a middle class family to have two new cars. One maybe, but two? But even so, by the formula, the family can afford two $30K cars.

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syshum 2322 days ago
in 2005, the last actual data I could find that lists 2 income households, the median income was $75,293, assuming that income kept pace with inflation that would be $98,562 today not 125K,

Such a family would not want to spend more than 49K total on their cars. so that is 1 car for 49K or 2 for 24K

and that IMO should be the extreme absolute limit

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