I know I promised my readers more financial advice for retirement, especially those who are recent graduates just hitting the job market. Before I returned to that conversation, I wanted to write a quick post about saving money on the subway in NYC. Nicole recently told me something that was very money conscious, which I know my readers always appreciate.
Nicole told me that she recently invested in a monthly subway card in NYC. For those unaware of how the subway works in NYC, essentially, you pay $1 for the metro card and each transit costs $2.50. This means that if one were to simply use the subway as a means of commuting to work and nothing else, they would pay $5 a day and spend $115 a month on subway transportation. ( This logic assumes 23 workdays a month * $5 a workday which comes out to $115 a month).
Nicole does not use the subway card just for work purposes, in fact, Nicole uses the subway every weekend. She travels to see her relatives, to buy groceries, and for “get-together” with friends. This means that she is traveling back/forth from her apartment every single day of an entire month. If we assume that she is only traveling back/forth on the eight non-workdays in the month, (which is absurd to begin with because on weekends she is constantly on the go) then she is spending a baseline amount of $5 * 8 days or $40.
The monthly subway card costs $118 dollars a month and can be used for as many trips and as many rides as needed in the monthly period. This means that Nicole could be spending as little $155 without the monthly pass, but she thought this decision over quite frugally, and instead she is saving $37 a month on transportation.
Now I know who should be paying for dinner next time I visit 😛