The salary you need to afford the new Toyota RAV4 in South Africa

You will need to earn around R84,000 per month to afford the new Toyota RAV4 if you decide to finance it, according to a TopAuto calculation.

Toyota recently launched the next-gen RAV4 in South Africa alongside two other new cars, the Land Cruiser FJ and the electric bZ4X.

A midsize SUV, the new RAV4 is available in five specifications with prices ranging from R770,500 to R1,043,900.

There are three powertrains to choose from, starting with a traditional hybrid (HEV) that combines a 2.5-litre petrol engine with a small electric motor to produce 176kW.

These units feature an E-Four all-wheel-drive system and a CVT transmission, and achieve an average fuel consumption of 4.5l/100km.

Next is a 2.0-litre naturally aspirated petrol option with 127kW, which is front-wheel-drive and also uses a CVT, consuming roughly 6.3l/100km.

The last option is the range-topping plug-in hybrid (PHEV), which links the 2.5-litre engine to a more powerful e-motor, giving it an output of 225kW.

The e-motor is powered by a 25.4kWh battery, giving it an electric range of 142km.

Moving on, the base GX trim level comes standard with LED headlights and daytime running lights, 18-inch alloy wheels, a full-size spare alloy wheel, and electric side mirrors.

It also has keyless start and entry, fabric seats, a multifunction steering wheel, an electric driver’s seat, six speakers, a 12.3-inch digital instrument cluster, and a 10.5-inch infotainment screen with Apple CarPlay and Android Auto.

Driving and safety aids include cruise control, front and rear parking sensors, a reversing camera, traction control, stability control, and seven airbags.

The mid-range VX expands on this with adaptive headlights, rain-sensing wipers, an electric tailgate, a moonroof, leather upholstery, a leather steering wheel, electric front seats with heating, ventilation, and memory settings, a nine-speaker JBL stereo, a wireless charger, a larger 12.9-inch touchscreen, and a head-up display.

Buyers also get more assistance features, such as blind-spot monitoring, lane-keep assist, adaptive cruise control, and a 360-degree camera.

If you want something with a bit more visual flair, the GR-Sport option will add exclusive red brake callipers, paddle shifters, and Gazoo Racing seats and badges.

Each purchase comes with a 3-year/100,000km warranty, a 6-year/90,000km service plan, and an 8-year/160,000km battery warranty for the hybrid units.

What you need to earn

We can use the following formula to work out the monthly payments on the new Toyota:

• Car price – R770,500 / R1,043,900
• Payment term – 60 months (5 years)
• Interest – 10.50%
• Deposit – 0%
• Balloon – No balloon payment
• Extras – No optional extras

According to this, you’ll need to pay at least R16,656 per month for the GX, and up to R22,532 per month for the PHEV.

Financial experts then recommend that you do not spend more than 20% of your gross monthly salary on vehicle payments.

This means you’ll need to earn anywhere from R83,280 per month to R112,660 per month to afford the RAV4 on a finance plan, assuming you don’t pay a deposit.

Note that this figure does not account for insurance, fuel, and maintenance, which must all be factored into your budget.