Compensation
#572
Race Director
Wouldn't straight hard cash be even better. How does straight cash vs vouchers is the better alternative in your instance? Don't get it. Straight cash u have every flexibility. Like winning the powerball u want monthly or straight cash out. U sir have to much latitude. mike
First time I've ever been told I "have too much latitude" (maybe you really mean that I'm too understanding). Anyway, I try to be fair and call 'em as I see 'em, so I can live with that.
#574
Rennlist Member
hello people, wake up, vouchers would be great, anyone here understand Im not an accountant but would cash=taxable income
vouchers =promotional, discount not income, tax would decrease your cash value by 50% as for being locked into the car, Im keeping my car, giving away cash devalues my vehicle for having a "replaced motor" , and it affects my resale value, I want Porsche to do something that maintains an emotional connection with my vehicle. If you can use the vouchers for the seats or PDE great, I would like it if you could transfer between family members. My ED got cancelled, I'm started to get excited again, hopefully I can get my car soon. It sounds like Porsche is stepping up to address the problem, Im hoping they'll also give us a few special perks, like maybe we get first allocations of next GT3 as long as we still own this GT3, Ive got other ideas too, lets see what happens
vouchers =promotional, discount not income, tax would decrease your cash value by 50% as for being locked into the car, Im keeping my car, giving away cash devalues my vehicle for having a "replaced motor" , and it affects my resale value, I want Porsche to do something that maintains an emotional connection with my vehicle. If you can use the vouchers for the seats or PDE great, I would like it if you could transfer between family members. My ED got cancelled, I'm started to get excited again, hopefully I can get my car soon. It sounds like Porsche is stepping up to address the problem, Im hoping they'll also give us a few special perks, like maybe we get first allocations of next GT3 as long as we still own this GT3, Ive got other ideas too, lets see what happens
#575
Rennlist Member
Join Date: Jan 2013
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hello people, wake up, vouchers would be great, anyone here understand Im not an accountant but would cash=taxable income
vouchers =promotional, discount not income, tax would decrease your cash value by 50% as for being locked into the car, Im keeping my car, giving away cash devalues my vehicle for having a "replaced motor" , and it affects my resale value, I want Porsche to do something that maintains an emotional connection with my vehicle. If you can use the vouchers for the seats or PDE great, I would like it if you could transfer between family members. My ED got cancelled, I'm started to get excited again, hopefully I can get my car soon. It sounds like Porsche is stepping up to address the problem, Im hoping they'll also give us a few special perks, like maybe we get first allocations of next GT3 as long as we still own this GT3, Ive got other ideas too, lets see what happens
vouchers =promotional, discount not income, tax would decrease your cash value by 50% as for being locked into the car, Im keeping my car, giving away cash devalues my vehicle for having a "replaced motor" , and it affects my resale value, I want Porsche to do something that maintains an emotional connection with my vehicle. If you can use the vouchers for the seats or PDE great, I would like it if you could transfer between family members. My ED got cancelled, I'm started to get excited again, hopefully I can get my car soon. It sounds like Porsche is stepping up to address the problem, Im hoping they'll also give us a few special perks, like maybe we get first allocations of next GT3 as long as we still own this GT3, Ive got other ideas too, lets see what happens
#576
Rennlist Member
I'd need to double-check with my accountant, but compensation for diminished value is not taxed as income. It is like selling part of the car. Not sure about loss of use, but if tax code was fair and logical (big "if", especially in California), it would not be income as well (compensation of loss by a party that caused the loss). So I'll prefer cash.
#577
Burning Brakes
Porsche isn't choosing vouchers over cash for your benefit; they are doing so because the expense to them is a mere fraction of the face value of the voucher.
Put down the kool-aid and sober up.
#578
Respectfully, you are seriously overthinking this and applying some skewed logic in the process. How Porsche chooses to compensate you has zero correlation with perceived market value. The car will have a definable market value regardless of compensation form, and it will be adversely impacted by this whole engine swap drama, as well as the months which will have gone by, and the imminent arrival of a new model year. Porsche isn't choosing vouchers over cash for your benefit; they are doing so because the expense to them is a mere fraction of the face value of the voucher. Put down the kool-aid and sober up.
The exact figure of that diminished value is very subjective and vague (especially since a situation like this has not happened to a GT3 type car in recent memory), but early adopters--many / most whom have had standing or a long history with Porsche to even be in the position of being allocated 1 of the first 785 units worldwide--are hoping that PAG will take a longer term view toward client relationships with how they approach this issue.
"CAN" they decide to choose black and white and calculable profit and loss? And is it completely within their purview to do so? Absolutely. "WILL" they? That's the real question. I, for one, hope not. Oftentimes, building brand equity and customer loyalty means doing things far above and beyond what "must" be done--it separates companies at the top, specifically in the premium / luxury space.
Soon, we'll have our answers (or some of them, at least!) and we can sound off based on concrete facts. I'm still hoping for the best, preparing for the worst, and looking forward to a resolution...finally.
#579
Burning Brakes
I think a sticking point for many is the possibility of a compensation package whose value helps to negate (at least in PART...) the expected finished value that 2014 cars may suffer in future resale.
The exact figure of that diminished value is very subjective and vague (especially since a situation like this has not happened to a GT3 type car in recent memory), but early adopters--many / most whom have had standing or a long history with Porsche to even be in the position of being allocated 1 of the first 785 units worldwide--are hoping that PAG will take a longer term view toward client relationships with how they approach this issue.
"CAN" they decide to choose black and white and calculable profit and loss? And is it completely within their purview to do so? Absolutely. "WILL" they? That's the real question. I, for one, hope not. Oftentimes, building brand equity and customer loyalty means doing things far above and beyond what "must" be done--it separates companies at the top, specifically in the premium / luxury space.
Soon, we'll have our answers (or some of them, at least!) and we can sound off based on concrete facts. I'm still hoping for the best, preparing for the worst, and looking forward to a resolution...finally.
The exact figure of that diminished value is very subjective and vague (especially since a situation like this has not happened to a GT3 type car in recent memory), but early adopters--many / most whom have had standing or a long history with Porsche to even be in the position of being allocated 1 of the first 785 units worldwide--are hoping that PAG will take a longer term view toward client relationships with how they approach this issue.
"CAN" they decide to choose black and white and calculable profit and loss? And is it completely within their purview to do so? Absolutely. "WILL" they? That's the real question. I, for one, hope not. Oftentimes, building brand equity and customer loyalty means doing things far above and beyond what "must" be done--it separates companies at the top, specifically in the premium / luxury space.
Soon, we'll have our answers (or some of them, at least!) and we can sound off based on concrete facts. I'm still hoping for the best, preparing for the worst, and looking forward to a resolution...finally.
#580
They will make a value determination for what they want to pay for the 2014 versus other vintages of the 991 GT3.
#581
I think those who believe that the vouchers can be used to pay for their car are sadly mistaken. I don't think for a second that Porsche would allow people with cars at port who have not paid for their cars to get a discount, while owners with paid cars in the garage have to purchase overpriced Selection merchandise.
The same risk mitigation logic that dictates issuing vouchers instead of cash will apply to the purchase of the car. We all bought it at msrp, and PAG will keep it that way. PAG will make sure that 50 cents on the dollar for the voucher will apply to everybody.
I'm fine with vouchers, and about any dollar amount, and most of what I hear/read here, but if unpaid owners can discount their cars with vouchers while paid current owners have to take merchandise, then I can honestly say that's the end for me with Porsche.
The same risk mitigation logic that dictates issuing vouchers instead of cash will apply to the purchase of the car. We all bought it at msrp, and PAG will keep it that way. PAG will make sure that 50 cents on the dollar for the voucher will apply to everybody.
I'm fine with vouchers, and about any dollar amount, and most of what I hear/read here, but if unpaid owners can discount their cars with vouchers while paid current owners have to take merchandise, then I can honestly say that's the end for me with Porsche.
#582
#583
Rennlist Member
Respectfully, you are seriously overthinking this and applying some skewed logic in the process. How Porsche chooses to compensate you has zero correlation with perceived market value. The car will have a definable market value regardless of compensation form, and it will be adversely impacted by this whole engine swap drama, as well as the months which will have gone by, and the imminent arrival of a new model year.
Porsche isn't choosing vouchers over cash for your benefit; they are doing so because the expense to them is a mere fraction of the face value of the voucher.
Put down the kool-aid and sober up.
Porsche isn't choosing vouchers over cash for your benefit; they are doing so because the expense to them is a mere fraction of the face value of the voucher.
Put down the kool-aid and sober up.
#584
You think everyone is a long term customer? People track a variety of cars, some may move to Mclaren. Some people have a real loss in the car. Porsche owes them compensation regardless of whether they are long term or short term owners.