By Chris G
Brett makes $60,000 a year, and has a monthly car payment of $450. With 30% of his income going to taxes, Brett takes home $42,000 a year. Brett makes $3,500 a month. Subtracting $450 from that amount, Brett keeps $3,050 a month. Brett can afford to make maximum payments of $1,220 a month, which is 40% of his income per month, which leaves him with $1,830 for gas, food, and spending money. Averaging $60 per trip to the supermarket every week, he spends $240 on food. Adding to that, he fills his car up once a week for $60, adding another $240, he still has $1,350 to do with what he wants.