consultant
Mouseketeer
- Joined
- Jan 8, 2006
- Messages
- 281
I contend your average person over estimates how much money they are saving driving versus flying. For example...
You can currently get a round trip ticket between Washington DC and Orlando during the month of May for $179. So let's say you have a family of 4. That's $716 in airfare. Let's assume someone will drop you off and pick you up at the airport in DC and you have arranged a shuttle in Orlando for $43 each way (in a Lincoln Towncar no less). You don't have any parking fees of course. So total transportation cost is $716+$43+$43 = $802 for a family of 4 flying.
DC to Orlando is 852 miles or 13 hours. That's about 1-1/2 days of driving when you consider bathroom breaks, meals, occasional traffic congestion, etc. Here's the estimated costs of the drive, one-way:
Gas $2.50/gallon (driving a mid-size SUV, say Ford Explorer V6/4WD/AT getting an average 20MPG which is pretty good) - $106.50 in gas
Wear & Tear on car and depreciation of car due to mileage - The standard mileage rate according to the IRS is $0.445 cents per mile = $379 in wear & tear/depreciation. Let's say the car isn't that new and the people reading this are skeptical about the whole wear & tear/depreciation value (until they go to sell their used car.
So let's have the wear & tear/depreciation cost each way to $190.
One night motel stay = $50
1 breakfast, 2 lunches, 1 dinner for 4 at Denny's (including tax and tip) = $20 + 2x$25 + $30 = $100
Number of hours of free time lost driving in car as opposed to flying = 13 hours driving - 3 hours flying = approx. 10 hours times the monetary value you assign your free/vacation time. Let's say $20/hr = $200. Heck lets say you don't value your free/vacation time that much (I value mine at $40/hr) and say $10/hr * 10 hrs = $100
You may or may not have parking fees while you are there. If you do, they will be $10-$15 a day in the resort or at the park. Let's say some people get free or reduced fee parking and just allow an average $5/day for parking/valet fees for a 4-day stay or $20.
So total for driving is:
Gas - $106.5 X 2 (for both ways) = $213
Motel - $50 X 2 (for both ways) = $100
Meals - $100 X 2 (for both ways) = $200
Depreciation of car = $190X2 = $380
Opportunity Cost of Free Time spent driving - $100 X 2 = $200
Parking - $20
Total realistic cost of driving from DC = $1113
Flying = $802
Money saved in exhchange for spending 3 days in a car driving from DC = -$311 (that's a loss of $311 even with a very conservative wear&tear/depreciation cost.)
The example may be a longer drive than your own, but heck, some people might drive from Chicago or Boston which is longer. So I don't think an example of driving 850 miles or a day and a half is unreasonable. You also have to consider the airfare USUALLY gets cheaper as you get closer, sometimes not as is the case with Atlanta.
Now some may argue, the time in the car doesn't cost them anything so I shouldn't add $200 to the driving cost for lost opportunity time. But I should point out the other important point is by spending 20 more hours total on the road than in the plane, the statistics regarding the chances of being in an accident are MUCH MUCH higher driving than flying. Even if the number of hours were equal (3 hours each way in both) the statistics of your chances of getting in a car wreck versus a plane crash are still MUCH MUCH higher (I find it surprising how few people really grasp this fact.) I think that's worth something. It would be the same as free time. You would assign your own personal value to it. So for me, spending those 20 hours less on the road is indeed worth $40/hr to me in combined lowered risk and increased free/vacation time which to me is worth a totoal $800.
By the way, if you want to know how much the difference in risk really is, see "Flying & Driving After The September 11 Attacks" at http://www.americanscientist.org/template/AssetDetail/assetid/16237?&print=yes. They state "we estimate that driving the length of a typical nonstop segment (718 miles) is approximately 65 times as risky as flying."
FYI. The current round trip ticket from Atlanta is $259 and that would only be a days drive so in that case, you *MIGHT* save a significant amount of money driving (provided you assign little or no value to the time/risk saved as discussed above and your cars was pretty old already - otherwise it would still be better to fly) so it does depend on where you are traveling from.
But my point in general is, in most cases, your average Joe is way OVER estimating how much money they are saving in reality by driving versus flying let alone the risk they are putting their family at spending all those hours on the highway. In fact in most cases it is probably a loss or at best a break even unless you live within just a few hours of the park (say 250 miles or less?) And by the way, the risk part can't be argued as it is a statistical fact. It can be ignored, which is what we all basically do when we go on road trips.
You can currently get a round trip ticket between Washington DC and Orlando during the month of May for $179. So let's say you have a family of 4. That's $716 in airfare. Let's assume someone will drop you off and pick you up at the airport in DC and you have arranged a shuttle in Orlando for $43 each way (in a Lincoln Towncar no less). You don't have any parking fees of course. So total transportation cost is $716+$43+$43 = $802 for a family of 4 flying.
DC to Orlando is 852 miles or 13 hours. That's about 1-1/2 days of driving when you consider bathroom breaks, meals, occasional traffic congestion, etc. Here's the estimated costs of the drive, one-way:
Gas $2.50/gallon (driving a mid-size SUV, say Ford Explorer V6/4WD/AT getting an average 20MPG which is pretty good) - $106.50 in gas
Wear & Tear on car and depreciation of car due to mileage - The standard mileage rate according to the IRS is $0.445 cents per mile = $379 in wear & tear/depreciation. Let's say the car isn't that new and the people reading this are skeptical about the whole wear & tear/depreciation value (until they go to sell their used car.
So let's have the wear & tear/depreciation cost each way to $190.One night motel stay = $50
1 breakfast, 2 lunches, 1 dinner for 4 at Denny's (including tax and tip) = $20 + 2x$25 + $30 = $100
Number of hours of free time lost driving in car as opposed to flying = 13 hours driving - 3 hours flying = approx. 10 hours times the monetary value you assign your free/vacation time. Let's say $20/hr = $200. Heck lets say you don't value your free/vacation time that much (I value mine at $40/hr) and say $10/hr * 10 hrs = $100
You may or may not have parking fees while you are there. If you do, they will be $10-$15 a day in the resort or at the park. Let's say some people get free or reduced fee parking and just allow an average $5/day for parking/valet fees for a 4-day stay or $20.
So total for driving is:
Gas - $106.5 X 2 (for both ways) = $213
Motel - $50 X 2 (for both ways) = $100
Meals - $100 X 2 (for both ways) = $200
Depreciation of car = $190X2 = $380
Opportunity Cost of Free Time spent driving - $100 X 2 = $200
Parking - $20
Total realistic cost of driving from DC = $1113
Flying = $802
Money saved in exhchange for spending 3 days in a car driving from DC = -$311 (that's a loss of $311 even with a very conservative wear&tear/depreciation cost.)
The example may be a longer drive than your own, but heck, some people might drive from Chicago or Boston which is longer. So I don't think an example of driving 850 miles or a day and a half is unreasonable. You also have to consider the airfare USUALLY gets cheaper as you get closer, sometimes not as is the case with Atlanta.
Now some may argue, the time in the car doesn't cost them anything so I shouldn't add $200 to the driving cost for lost opportunity time. But I should point out the other important point is by spending 20 more hours total on the road than in the plane, the statistics regarding the chances of being in an accident are MUCH MUCH higher driving than flying. Even if the number of hours were equal (3 hours each way in both) the statistics of your chances of getting in a car wreck versus a plane crash are still MUCH MUCH higher (I find it surprising how few people really grasp this fact.) I think that's worth something. It would be the same as free time. You would assign your own personal value to it. So for me, spending those 20 hours less on the road is indeed worth $40/hr to me in combined lowered risk and increased free/vacation time which to me is worth a totoal $800.
By the way, if you want to know how much the difference in risk really is, see "Flying & Driving After The September 11 Attacks" at http://www.americanscientist.org/template/AssetDetail/assetid/16237?&print=yes. They state "we estimate that driving the length of a typical nonstop segment (718 miles) is approximately 65 times as risky as flying."
FYI. The current round trip ticket from Atlanta is $259 and that would only be a days drive so in that case, you *MIGHT* save a significant amount of money driving (provided you assign little or no value to the time/risk saved as discussed above and your cars was pretty old already - otherwise it would still be better to fly) so it does depend on where you are traveling from.
But my point in general is, in most cases, your average Joe is way OVER estimating how much money they are saving in reality by driving versus flying let alone the risk they are putting their family at spending all those hours on the highway. In fact in most cases it is probably a loss or at best a break even unless you live within just a few hours of the park (say 250 miles or less?) And by the way, the risk part can't be argued as it is a statistical fact. It can be ignored, which is what we all basically do when we go on road trips.

60000.00
