Recently we reported on the Australian Automobile Association (AAA) findings1 that transport costs had risen sharply in the first three months of 2021. In fact, it was the biggest quarterly cost increase recorded since AAA – Australia’s peak motoring body – commenced its Transport Affordability Index in 2016.
Now the Q2 (Apr-Jun) stats are in, and there’s been an increase on an increase.
Here are the latest results2:
14.9% of income
How much the average household spends on transport as a percentage of household income.
How much the average household spent on transport. Taken together with the Q1 increase, it’s an extra $50 per week since 2021 began.
The index looks at eight key transport costs: car loans, tolls, fuel, public transport, insurance, servicing and tyres, registration/CTP and licence fees, and roadside assistance.
In both Q1 and Q2, the AAA index found that rising petrol prices were a key contributor to the increase. Fuel and car loan repayments account for the largest cost inputs from the household transport budget.
6 ways we can help you save
SG Fleet can reduce your cost of motoring with novated leasing – a clever way to lower your car expenses and help you save on tax. Here’s how:
Car price savings negotiated using our fleet buying power, reducing your amount financed
GST savings on the new car purchase
Reduced running costs – we act for you to avoid over-servicing and over-charging; and
Save the GST on servicing/repairs, insurance, tyres
Savings of at least 10% on fuel (GST savings, plus pre-negotiated fuel discounts)
Income tax savings – since your car expenses are partly paid from your pre-tax salary, your taxable income is reduced, thus increasing your take-home pay
Plus, with all car costs rolled into one regular payment, it makes managing the household budget a breeze.
There are some certainties in life – like tolls, licence and registration – that we can’t do much about. Public transport is also outside our wheelhouse.
But when it comes to reducing your cost of motoring, we’ve got you.