Originally Posted by GatorBuzz
I'm curious how some of you save for a car you know you'll need in four, five, six, seven, etc. years. Thanks in advance,
We figure we'll always have two late model vehicles for the foreseeable future, costing about 15k each used. I simply budget 750/month ($30k, 3yrs @8%), which I allow to accumulate in a MM or CD. Then we pay cash for the vehicles. Just the difference between earning interest and paying interest on vehicle costs puts you WAY ahead. We generally drive the vehicles way more than three years, but this gives me a big cushion for repairs, etc.
I don't have a separate account per se.