Is 40k too much for a car?

Is 40K too much for car in Australia depends on income, with average new car $40K to $50K and used $20K to $30K, with $40K reasonable if income $80K+ and mortgage $500K, but too much if income $50K and mortgage $500K. In Australia, average new car price $40K to $50K in 2025, with Toyota Corolla $32K, Mazda 3 $35K, RAV4 $45K, with $40K car like Toyota Camry $40K, Mazda CX-5 $40K, reasonable for middle income. Financial rule 20/4/10 says car should be 20% down, 4 year loan, 10% income for car costs $400 per month for $80K income, so $40K car with $8K down, $32K loan $700 per month over 4 years 10% interest, total car costs $800 per month including insurance $100 and fuel $150, which is 12% of $80K income $6,667 per month, reasonable. If income $50K $4,167 per month, $800 car costs 19% income, too much, should buy $20K car $400 per month 10% income. So $40K not too much if income $80K+ and mortgage $500K manageable, with $40K car reliable and low maintenance $500 per year, but too much if income $50K, high mortgage $500K and other debts, as $800 per month car costs plus $2,500 mortgage = $3,300, 79% of $4,167 income, too high. So $40K reasonable for $80K income, too much for $50K income, average new car $40K to $50K.