There are a few expenses in the course of your life that you know you’ll have to save for and think about carefully. Buying a new home, buying a new car, and investing in extensive travel are just a few examples of these expenses. You want to be absolutely sure you’ve chosen the right new car or new home, but it can get to be overwhelming.

Should you buy an SUV or a sedan? Maybe you need an RV, especially if you have to travel on the horizon. Should you buy used or new? How much money does it cost to get peace of mind when it comes to an automobile you can trust? These are just a few of the questions that arise when you’re figuring out the art of budgeting for large expenses at home. Read on for some tips on everything from car insurance to spending extra on a newer model.

What are you going to use your car or RV for?

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The first thing you need to think about is what you’re going to be using this car or RV for. Are you just driving it down the road to drop the kids off at school or go to the supermarket? Then you probably don’t need a full-on motorhome complete with a warranty—a Sedan will do the trick nicely, and a used one at that.

If, on the other hand, you have travel on the mind and are thinking of making a life on the open road for a little while, an RV with a warranty may actually be a very good choice. Especially when traveling around the U.S., you wouldn’t believe how much you’ll save on accommodations just by driving around in an RV.

Also, you’ll be far more comfortable because you won’t be dependent on the amenities at various sketchy metals around the United States. You’ll be bringing your bedroom, living room, and kitchen with you on vacation, right there in your RV. That being said, the last thing you want on a road trip is to be stuck with mechanical failure and no roadside assistance on the side of the road in the middle of nowhere. So if you decide to go this route, make sure to get an RV extended warranty for that extra peace of mind.

Don’t forget the extras—car insurance, RV warranties, and regular maintenance.

Remember, even if you finance your vehicle purchase at the dealership, you’re still on the look-out for car insurance, RV warranties, and any repairs or maintenance that aren’t covered by your insurance company. A more expensive car is more expensive to buy an insurance policy for, too, so bear that in mind as you’re shopping for a new automobile or RV.

It’s a good idea to research car insurance online before you settle on a model to purchase. Make sure that, beyond the number on the auto insurance quote, you’re checking what is covered as well. Some things to look for are comprehensive coverage, collision coverage, and various exclusions. By knowing how much you’re likely to spend on both a car loan (which will depend on your down payment and credit score) and your car insurance you can plan your monthly budget in the best way possible.

What’s your upper limit when it comes to a large expense?

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Be very honest with yourself—what do your finances look like? How much do you have in your savings account and what kind of income can you expect to have in the coming months? If you’re a homeowner, you may be able to leverage your equity towards another large purchase but that can be an extreme measure.

Don’t drain your savings account or emergency fund in order to buy a new car or a new RV. It’s just not worth it. Don’t use your whole paycheck on your car loan, either. It can be worth it to spend more money on a new vehicle if that vehicle will give you better gas mileage or has up to date mechanical components so that you spend less on the cost of repair. That being said, if you can’t afford it, don’t force it. You don’t want to max out your credit cards and ruin your credit just to save on repairs down the line.

How much you end up spending on a new vehicle is, ultimately, up to you. There is no universal best price. Make sure to read the fine print on any auto insurance quote and consider what you want your vehicle to do for you. Whatever you decide, remember to enjoy the open road!