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How Much Should I Spend on a Bike

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Are you in the market for a new bike? If so, you’re probably wondering how much to spend. The answer depends on your budget and what type of bike you want. Here are some tips on finding the right bike for your needs and how to stick to your budget.

Before purchasing a bike, consider your finances and your needs. If you are new to cycling, spending a lot of money on a bike can be tempting but not always necessary. If you’re on a tight budget, look for affordable options that will still provide you with a good ride.

If you’re looking for a high-end bike, be prepared to spend at least $1,000. But remember that you don’t need to break the bank to get a good bike. There are plenty of great options available in the $500-$1,000 range. 

When deciding how much you can spend on a bike, consider the following:

Your budget

How much do you have available to spend on a new bike? If you are trying to stick to a strict budget, be sure that the amount you pay is reasonable. If you have a maximum budget of $500, don’t spend more than that. Spend $450 and upgrade a few parts. 

Your needs

What type of riding do you plan to do? Are you looking for a bike to commute to work, go on long rides in the country, or just pedal around town? Different types of bikes are designed for different purposes, so consider your needs before making a purchase.

Your experience level

If you are new to cycling, spending more on a high-end bike can be tempting to ensure you get the best possible performance. However, this isn’t always necessary. There are plenty of affordable options available that will still provide you with a great ride, even if you are just starting.

How much do bikes cost?

The first thing to know is the average prices of the most common bike types. After all, it would help if you always were prepared. Here’s what I’ve found:

Bike TypeAverage Price
Entry-Level Hardtail MTB$600 – 800
Fixed Gear Bike$300 – 400
Entry-Level Road Bike $800 – 1000
Folding Bike$500 – 700
Hybrid/Commuter Bike$600 – 800
Beach Cruiser Bike$300 – 400
Tandem Bike$500 – 800
Electric Bike$1000 – 1500

Read more: Best Fixie Bikes Under $500

How much is too much on a bike?

The quick answer here is that you should never spend more than 2-3% of your annual household income on a new bike. Even if you plan to use it as transportation and don’t own a car, stick to the 3% maximum.  If you’re buying your first bike, you may pick the wrong bike type. Also, keep in mind that electric bikes have more expensive maintenance than regular bikes. You should budget that as well. 

Annual Household Income ( U.S. Dollars ) % of HouseholdsBikes Budget
Under 15,0009.1%Max $450
15,000 – 24,999 8%$450 – 750
25,000 – 34,999 8.3%$750 – 1050
35.000 – 49.99911.7% $1050 – 1500
50.000 – 74.99916.5%$1500 – 2250
75.000 – 99.99912.3%$2250 – 3000
100.000 – 149.99915.5%$3000 – 4500
150.000 – 199.9998.3% $4500 – 6000
More than 200,000 10.3% More than $6000
Annual Household Income Data – Statista.com

Read more: 15 Brilliant Ways to Make Money with Your Bike

How to find cheaper bikes?

Yes, bicycles are costly these days, but fortunately, I can offer a few fantastic tactics here. Here’s everything you need to know about buying a new bike on a deal. 

The first thing you should know is that the best deals on brand new bikes come twice a year. The fall is usually your best bet because then bike shops are looking to eliminate the remaining inventory to make room for newer models. Black Friday is one of the best days of the year for bikes, with prices off up to 40%. 

In some parts of the country where the weather is warm year-round, bike shops order bikes as needed, rather than having extra stock on hand. It’s more challenging to find clearance deals in those places. But you can always buy online to save some money. 

Buying a brand new bike online is probably the best way to save money. As we know, the profit margins of bikes are razor-thin, and most dealers have arrangements with suppliers on how low they can go. Big online retailers like Amazon and REI can offer better deals than small brick-and-mortar bike shops because they sell a ton of production and negotiate prices. 

Other reputable online retailers that often have big deals are Competitive Cyclist and Jenson USA. They also offer good deals on bikes twice per year.

Here is another practical tip: if you find a nice bike on a big sale, throw the link into archive.org to check the original price. This way, you can avoid being scammed with a fake deal. 

How does finance work on a bike?

Here’s what I think about this.

You should never finance the purchase of a bike. If you can’t afford it right now, wait until you save enough money for it. Another option is to sell your car and buy a good commuter bike for a percentage of the sale price. This way, you will save a lot of money in the long run. As we know, bike maintenance is much cheaper than car maintenance.

Read more: Best Bikes for Uber Eats

Are used bikes worth it?

Used bikes are an excellent option for experienced cyclists who know what to look for in an old bicycle. If you’re a first-time buyer, please don’t try to save money with a second-hand bike. The only way you can do it correctly is to find a friend who knows a thing or two about bikes and wants to make a quick inspection on the spot. But never order used bikes online – it’s a recipe for disaster. 

Here is a great article we wrote about the topic: Should I Buy New or Used Bike?

Read more: How Much to Spend on a Vacation

About Alek Asaduryan

Alek Asaduryan is the founder of YesCycling and has been riding bikes and in the cycling industry since 1991. Since then, his mission is to make cycling more accessible to everyone. And each year, he continues to help more people to achieve that. When he's not out riding his beloved fitness bike, Alek reports on news, gear, guides, and all things cycling related.

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