How Do I Use “Set Replacement Autos”? Button

Sometimes a convenience can seem difficult, at least to understand.  The Set Replacement Autos button is an example.  Why is it there, and what does it do?

The fact is that routine transportation is one of the very most important expenses in life, in terms of the number of dollars involved.  And also because it is so easy to seriously underestimate it’s impact or overlook it altogether.  The design of PlanButVerify centers on making it more likely that you think of everything you need to when you enter your financial information into the system.

Unless you walk everywhere, or take public transportation as a matter of course, you will either own, or lease, a life-long series of vehicles.  One after another.  It doesn’t stop, as long as you still drive yourself.

So, now the stage is set as to why the Set Replacement Autos button exists.  Simply, you need to make sure that your spending information reflects this life-long dependence on autos.  To avoid your having to enter an incredibly tedious number of Other Property entries into PlanButVerify, clicking the Set Replacement Autos button presents a one-time screen in which you can describe, in general terms, the price, expected service life, and financing of the number of autos you will probably need in the future.  You use current dollars when filling in the one-time screen, and the future impact of buying, and financing, autos will be calculated for you.

I guarantee that the computed projections will be far more accurate than anything you would work out on your own.

Now, this issue of making sure you accurately project auto ownership cost into the future is avoided if you enter an auto lease cost into the Spending Plan.  The current lease amount is projected into the future for you and is correctly reported by the system, for life.

So, there you have it.  Why its there and what its good for.  And I feel obliged to say, in any post involving driving vehicles, be safe!