Buyers of the new Mercedes-Benz C-Class must earn at least R80,000 per month to be able to “afford” the luxury sedan.
This is according to a calculation done by TopAuto, which follows guidance from financial experts.
Mercedes-Benz recently listed the new C-Class on its local website, with a starting price of R856,080 for the C200.
The product pages state the new C-Class allows buyers to “discover a new kind of luxury”, while the design of the vehicle is sporty and progressive.
Numerous innovative comfort highlights will also make a journey in the car relaxed and comfortable, stated Mercedes-Benz.
Mercedes-Benz announced during the C-Class’s unveiling in February that the sedan range will only be offered with 4-cylinder engine options.
Diesel and petrol engines are available, which include integrated starter-generators that feature a 48 volt on-board electrical system for added power.
A newly-designed turbocharger has also been included, and can add up to 20kW of power on the range-topping C300 model.
To work out how much you need to earn to “afford” an entry-level C-Class, we first need to calculate what it will cost to buy using a vehicle finance plan.
The new C200 starts at R856,080, and we can place its selling price in the formula below.
- Car Price – R856,080
- Payment Term – 60 terms (5 years)
- Interest – 9%
- Deposit – 10%
- Balloon – No balloon payment
- Extras – No optional extras
The result is a monthly car finance payment of R16,080. The total interest you will pay back over the duration of the five-year agreement is R189,450.
We can now calculate how much you need to earn to “afford” the Mercedes-Benz C-Class.
Financial experts recommend that car buyers do not spend more than 20% of their gross monthly salary on vehicle payments.
This means you must receive a monthly income of R80,400 to afford buying the new C-Class.
It must be noted that this calculation excludes fuel costs and insurance premiums, as well as related costs like replacing tyres and out-of-plan services and repairs.