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I've been taking 540 from 64 to 40 every day since it opened. Yesterday the rush hour traffic volume definitely increased to almost double what it had been. Was 55 any lighter than normal? Will see what happens once the tolls kick in.
The real cost of toll needs to be grossed up for taxes paid on income to pay them
Quote:
Originally Posted by cheapdad00
when calculating costs of driving dont forget the benefit of increased gas mileage due to driving at highway speeds as opposed to stop and go traffic. That plus stress less driving and time savings make it a no brainer for me.
Good point, but also remember that you have paid tax on the money you use to pay the tolls. Assuming 220 commute days a year, the total cost of using the full length of the 540 toll road would be $1161.60. Gross that up for state and federal taxes and the cost becomes $1,742 of gross income, assuming total tax rate deduction of 33% for illustrative purposes.
You also need to pay for the gas you use on the toll road and assuming 18.8 miles each way on toll road, 25 mpg and $3.20 a gallon gas, then the cost of 220 days commuting the full length of the toll road is $1060 a year. Gross that up for taxes and the gas cost is $1600 of 'gross income'. That's a total cost in gross income terms of $3342 a year to travel to and from work without taking into account wear and tear costs of vehicle. Think of the additional mortgage that would pay to live closer to work, and avoid the toll road and the commute time necessary, if choosing to live in Cary/Morrisville, (or even North Raleigh where there are no tolls to use 540), instead of Holly Springs for lower housing costs.
People think of salary in gross income terms and when choosing to live further away for more affordable housing they need to consider how much of that gross income will be used just to get to work. So to me the real cost of 540 tolls is typically $1742 a year, increasing by 5% a year in the early years of the project as the N&O explains. That is a BIG chunk of change for toll payments and the toll is more than the gas used with a typical 25 mpg vehicle.
Good point, but also remember that you have paid tax on the money you use to pay the tolls. Assuming 220 commute days a year, the total cost of using the full length of the 540 toll road would be $1161.60. Gross that up for state and federal taxes and the cost becomes $1,742 of gross income, assuming total tax rate deduction of 33% for illustrative purposes.
You also need to pay for the gas you use on the toll road and assuming 18.8 miles each way on toll road, 25 mpg and $3.20 a gallon gas, then the cost of 220 days commuting the full length of the toll road is $1060 a year. Gross that up for taxes and the gas cost is $1600 of 'gross income'. That's a total cost in gross income terms of $3342 a year to travel to and from work without taking into account wear and tear costs of vehicle. Think of the additional mortgage that would pay to live closer to work, and avoid the toll road and the commute time necessary, if choosing to live in Cary/Morrisville, (or even North Raleigh where there are no tolls to use 540), instead of Holly Springs for lower housing costs.
People think of salary in gross income terms and when choosing to live further away for more affordable housing they need to consider how much of that gross income will be used just to get to work. So to me the real cost of 540 tolls is typically $1742 a year, increasing by 5% a year in the early years of the project as the N&O explains. That is a BIG chunk of change for toll payments and the toll is more than the gas used with a typical 25 mpg vehicle.
I'm sorry, but I kind of lost track: Were you doing the math evaluating the consequences of using the new Tollway, or of living closer into the city?
I agree that when looking at this kind of question (one that has significant dollars associated with it), that the Big Picture should be considered. However, the analysis should be chosen to minimize the variables. IE: Do I drive on the tollway, & pay the fee but benefit from a shorter commute? The analysis should be on the differential.
FYI: I analyze a lot of things, but I do it all post-tax, because there are many other factors that adjust the tax amounts. And the difference between analyzing
the amount of the Commute Differential pre-tax, vs
the amount of the Commute Differential post-tax
is itself pretty small. And the post-tax results are easier to visualize, since they are "wallet-cash" rather than "1040-credits".
Anybody try the new section yet? Toll free until Jan 2. I may give it a go tomorrow.
Hubby took it both ways on Thursday. Saved him 8 minutes going to work, but coming home it was bumper to bumper 20 mph trying to exit at Holly Springs. I'm hoping that's just because of the time of day (6:00pm) and the fact that it was the first day and free.
I was able to test out the new road yesterday and managed to get up to RDU and RTP in about 25 minutes with no traffic. But this is only a 5-10 minute saving, so I guess for many it will not be worth the additional expense. I would imagine the time saving will be greater during peak times. Nice view of Shearon Harris from the on-ramp btw.
The dead-end at 55 in Holly Springs will definitely be an issue with all of Fuquay and Holly Springs having only one access point. Will only get worse when the new shopping center arrives in a few months. Remember when Holly Springs was a sleepy little town? Like in March!
The abrupt end of the freeway is due to the design which nods to future Southeast Extension completion. A lot of the traffic exiting at 55 will then exit at the Holly Springs Road intersection.
All we need to know is if Garner will be summarily sacrificed to support extension of the road.
I took the road twice now, I think the ending design looks abrupt on 55 (going towards Holly Springs) but that 3rd lane continues south all the way past the entrance to the self service dump. I think once people get used to it they could ride in that 3rd lane for a little while although it will only take one person stopping at the end of the ramp to cause trouble (similar to the free moving merge from main street onto 55).
I took it for the first time today. I had an appointment near Southpoint. Googlemaps told me it would take 49 minutes from my house near FV. (They didn't have the new segment.) I made it in 35 minutes each way. I was only going about 69 on 540 (speed limit is 65), but once I got on I-40, I was going 70 just to keep up with traffic. I had a few cars blow by me, and saw one car pulled by a trooper. Had no trouble exiting onto 55 going home.
I could get very used to that road! Luckily I don't have to go that way every day, but since I have occasional medical appointments at Duke, it makes the commute a breeze!
Hubby took it both ways on Thursday. Saved him 8 minutes going to work, but coming home it was bumper to bumper 20 mph trying to exit at Holly Springs. I'm hoping that's just because of the time of day (6:00pm) and the fact that it was the first day and free.
I heard some interview from the DOT recently that mentioned $6-8 daily and that the toll road saves 20 minutes each way.
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The real cost of toll needs to be grossed up for taxes paid on income to pay them
Fuquay to RDU/RTP in 25 minutes
