Yeh right. But what we’re really looking at here is the cost of having a life outside of work. Employees also change jobs and companies more frequently than they used to, so then incorporate the cost of moving house to be within 7 miles of your new job, every time you change. There are so many holes in this, I’m not sure what the point is.
Here’s an idea: Ride a bike and that extra mile will probably cost you a second sandwich at lunch time (not to mention increase your energy levels and productivity).
So each mile you live from work steals $795 per year from you in commuting costs. $795 per year will pay the interest on $15,900 of house borrowed at a 5% interest rate. In other words, a logical person should be willing to pay about $15,900 more for a house that is one mile closer to work, and $477,000 more for a house that is 30 miles closer to work. For a double-commuting couple, these numbers are $31,800 and $954,000.
Adapting the numbers for a $7.50 minimum wage earner, each mile of car commuting cuts $1.43 from your workday. If you drive 10 miles to go work a 5-hour shift at the Outback Steakhouse, your effective hourly wage is more like $5 per hour after subtracting car costs and adding drive time.
The True Cost of Commuting | Mr. Money Mustache
I love stuff like this.
(via mattlehrer)
(via nickcrocker)
