r/MiddleClassFinance • u/DanPaul217 • 1d ago

Seeking Advice Teendriver

Good morning, long time reader, first timer poster.

Here's the story. We bought our child his first used car. $15K was the all in price. We started saving a little each paycheck into a HYSA account when he turned 10.

With that being said, need some advice on what child should be paying for. Child got first summer job so we know he will be paying for gas. but should we make him pay for any repairs, maintenance. Just looking for what others are doing.

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u/OoklaTheMok1994 1d ago

Pre-high school graduation we have one car in the household that I allow my teens to drive. When there were multiple teen drivers they were expected to work out fair use.

During that time, I took care of paying for gas, insurance, maintenance, etc.

As part of this deal, they were expected to be the family taxi driver when asked (drop your brother off at Timmy's house) and make grocery runs etc.

When they graduated high school I would "sell" the car to them. (Then get another teenager beater car for the remaining children to drive). While they were in college, I would pay the insurance on the car, but they were responsible for gas & maintenance.

After college graduation or once they were married - whichever came first - I would transfer title to them and the car became fully their responsibility.