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Cars vs. Rideshare in Florida: What are the Cost Benefits of Each

Tropical Financial Credit Union
By Tropical Financial Credit Union - June 15, 2024

It seems as though we are always finding ways to save money. Would you agree? From buying the generic brand to budgeting just to afford iced coffee, you could say Florida goes to the extreme. Can you really blame us though? We live where people vacation, which means it’s expensive. So expensive, that some people are ditching car payments and instead using rideshare services. If you’ve been thinking about doing this check out the cost benefits of cars versus rideshare in Florida.

Cost Benefits of Having a Car in Florida

Allows for Social Distancing

Many people have been hesitant to be in public due to the coronavirus pandemic, using rideshare services in included in that. A benefit of owning your own car is that it eliminates any unnecessary contact with individuals. If you’re thinking, “Why would I get a car payment just for something temporary,” consider that social distancing may be around for the length of an auto loan, so investing in one could be worth it for you and your families safety. Another thing to consider is the cost of a hospital visit compared to an auto loan? Potentially spending less to keep yourself safe sounds like a healthy investment. 

Car Payments Don’t Last Forever

The good thing about having a car in Florida is that if you aren’t a frequent leaser and own a car, that loan eventually gets paid off. Once a car loan is paid off then you’re done making car payments. If you compare this to using rideshare services, in the long run it can save you money as rideshare services will always require you to make a payment.

No Tips Necessary

How much do you usually tip for a rideshare service? According to a study done by TheVerge.com the average tip is about $3 per ride. That adds up pretty quickly, especially if you’re taking multiple rides a day. With a car payment, you can cut those costs since you’re your own personal chauffeur.

Cheaper Month-to-Month

Think about all the places you go in a day. Now think about how much you’d spend getting wherever you’re going having to pay for a ride there and back each time. Some people have found that rideshare services are cheaper, but if you’re someone who lives far from work and goes more places than just work and home a car payment could actually end up being cheaper. Another thing to think about is that some rideshare services fluctuate in price based on demand, so even if you calculate it based on average you might not always be able to exactly budget whereas with a car payment you’ll always know what you’re paying month-to-month.

auto loan cta with blue car

Cost Benefits of Rideshare in Florida

Save on Gas and Insurance

Major expenses that come with having your own car is having to spend money on gas and insurance. Florida is one of the most expensive states when it comes to car insurance and gas just feels like a mundane expense. When choosing the rideshare route, you have the opportunity to cut out these expenses and not deal with them anymore.

No Need for a Registration

Expenses aren’t just associated with money, in fact time is a large expense. How often do you find yourself wasting so much time and money trying to renew a registration for a vehicle? By choosing rideshare services there’s no need for a registration, leave that up to the drivers. All you have to worry about is when your ride is arriving.

Cheaper When Using Carpool Rides

There’s a big opportunity to save some money when it comes to rideshare services. Many offer carpool rides (when there isn't a pandemic), which makes the cost of your ride a bit cheaper. If you’re really trying to stick to a monthly budget and have some free time on your hands, this option could work well. Saving money by riding carpool can help you focus on other daunting expenses such as student loans.

Living in Florida isn’t cheap and neither is transportation. Whether you choose a car payment or decide on rideshare services, think about these cost benefits and which best fit your situation. Don’t get lost in the hype of thinking one is automatically cheaper than another, each have their own costs associated with them, whether you’re trying to save in one area so you can spend in another, just make sure whatever option you choose helps your financial situation.

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