Planning to buy a Maruti Ertiga on a ₹20,000 monthly salary? Discover affordability insights, loan options, EMI calculations, and practical expert advice to make the right decision.

Can You Afford a Maruti Ertiga on a ₹20,000 Salary? An Expert's Insight
Can You Afford a Maruti Ertiga on a ₹20,000 Salary? An Expert's Insight

Owning a car ranks high on many Indian families' wish lists, with Maruti Ertiga emerging as a popular choice for those seeking comfort, practicality, and value. But how feasible is it for someone earning ₹20,000 per month to bring this dream to life? Let’s break down the reality, examine the financials, and offer expert guidance to prospective buyers.

True Cost of a Maruti Ertiga

The Maruti Ertiga’s ex-showroom price starts at around ₹8.64 lakh (base variant) and goes up to approximately ₹13.08 lakh for the higher trims. On-road prices, factoring in registration, insurance, and taxes, can easily add another ₹1–2 lakh, pushing the total cost to nearly ₹9.5–14 lakh.

Can You Afford a Maruti Ertiga on a ₹20,000 Salary? An Expert's Insight

EMI Calculation: Can Your Salary Handle the Hit?

Assume you opt for a loan covering 90% of the car’s on-road price, at 10% annual interest over five years:

  • On-road price (lowest variant): Approx. ₹9.5 lakh

  • Loan amount: ₹8.55 lakh

  • EMI (5 years @ 10%): Around ₹18,100 per month

With a monthly income of ₹20,000, this single EMI would consume about 90% of your salary. Financial experts advise keeping EMIs under 40–50% of monthly income to ensure you can still meet essential expenses such as rent, food, utilities, and emergencies.

What About Other Expenses?

Car ownership isn’t just about EMIs. You must also budget for:

  • Fuel: Approximately ₹4,000–7,000/month (average urban driving)

  • Maintenance & Insurance: Around ₹2,000+/month (annualized)

  • Unexpected Repairs: Variable

  • Personal expenses: Rent, groceries, school fees, etc.

These costs quickly add up, often more than doubling your monthly outlay.

Expert Advice: Is It Wise?

On a ₹20,000 Salary:

  • Buying a Maruti Ertiga is financially impractical.

  • EMI and running costs will severely strain your budget.

  • Loan approval is unlikely unless you have significant secondary income, a substantial down payment, or a co-applicant.

Alternatives:

  • Consider saving for a larger down payment.

  • Explore more affordable hatchbacks or pre-owned vehicles.

  • Grow your income before committing to such an expense.

  • Use public transport or carpooling to reduce financial stress.

Read Before Buy

While the Maruti Ertiga is a superb family car, buying it on a ₹20,000 monthly salary is not viable for most Indians. Financial discipline and realistic planning are crucial—rushing into a high-value purchase could jeopardize your financial stability. Always calculate your total cost of ownership, not just the EMI, and remember: the right car for you is one that fits your budget, both today and tomorrow.

If you’re planning a big purchase, consult trusted financial planners and research thoroughly. Smart choices today lead to a journey full of comfort—and zero regret.