How much you need to earn to afford the cheapest hybrid in South Africa – TopAuto
logo
Latest News
Follow
Friday / 27 May 2022
HomeFeaturesHow much you need to earn to afford the cheapest hybrid in South Africa

How much you need to earn to afford the cheapest hybrid in South Africa

The cheapest hybrid vehicle in South Africa requires buyers to earn just over R40,000 a month to “afford” it.

This is according to a calculation by TopAuto.

The cheapest hybrid currently available in the country is the Toyota Corolla Cross 1.8 Hybrid XS, which retails for R425,400.

The Corolla Cross uses a continuously-variable transmission in combination with a 1.8-litre petrol engine and an electric motor to deliver an output of 90kW and fuel consumption of 4.3l/100km on a combined cycle.

For your money, the Corolla Cross offers a considerable number of features, too.

This ranges from a multifunctional leather steering wheel, partial leather upholstery, automatic dual-zone air conditioning, and cruise control – to a six-speaker wireless infotainment unit with voice control, and support for Apple CarPlay, Android Auto, and Toyota Connect.

The exterior is similarly kitted out with 17-inch alloy wheels, daytime running lights, LED headlights, front fog lights, retractable side mirrors, rain-sensing wipers, and black roof rails.

Also included is a 3-year/100,000km warranty, a 6-service/90,000km service plan, and an 8-year/195,000km battery warranty.

What you need to earn

To work out how much one would need to earn to “afford” the cheapest hybrid in South Africa, we would need to establish how much we would have to pay each month when purchasing the vehicle on a finance plan.

We can do this using the formula below:

  • Car price – R425,400
  • Payment term – 60 terms (5 years)
  • Interest – 9.5%
  • Deposit – 10%
  • Balloon – No balloon payment
  • Extras – No optional extras

The result is a monthly payment of R8,135.

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

According to this, we can surmise that, in order to “afford” the Corolla Cross hybrid, buyers will need to earn a monthly salary of at least R40,675.

It must be noted that this calculation is an estimation, and does not constitute financial advice.

Show comments