I STRONGLY believe you are in FAR better financial shape than the majority of people here or anywhere. For some, money is a means, and for others its an end. guess which one applies to truly wealthy people. Look at this way- you've already won- you have a comfortable retirement where all your basic needs are met, you get to enjoy stuff and experiences, and you're not alone. Isn't that the dream?

As for taking on debt, if you're on a relatively fixed income, however large, I totally understand not wanting to pay interest. 20% annual returns aren't exactly sustainable and all you're really losing is opportunity cost (not actual dollars) in exchange for peace of mind. i'm all over that.

 

This is such an interesting thread, especially for an old psych major as myself The answer to your question of course, is due to the ole "Keeping up with the Jones'" mentality. The more you make, the more you spend. People naturally want to compare themselves to their peers. From 10000 feet, it's stupid, but on the ground, the struggle is real. also location, location, location. $70k for 2 people in San Francisco IS living in poverty.

 

Gus - post car purchase guilt is inevitable. Enjoy it while you can. We also don't have kids and save as much as possible for retirement, cash, stocks and maxed out 401k's.

With 5 years left on the mortgage, savings will accelerate but my reflexes and ability to enjoy the car will continue to diminish. So we bought a Porsche...

Have fun and post pics when you get the car.

 

Well if I'm being frank, 200K of income is on the low side for purchasing a car like this.

I don't know if there's some formula for how much you should make, but I don't think I'd be comfortable with those figures personally.

However, if you're saving at least 20-25% of your income, and don't carry excess debt outside of a mortgage and the car then it's probably fine.

I just don't see how it leaves much after the fact.

 

This thread is making me kind of nervous. I am single, less than 30 with no kids and earn less annually than the value of my car! I do understand the importance of saving money a little too well but isn't it all about being satisfied? I would not be happy seeing $$ sitting in my bank account, but in the products I bought myself to be happy. Accountants will say things that make their job of managing your risk easier (no flak here, coming from a family of accountants), but why just be a money making machine to be part of the safe thinking rational population.

YOLO also seems extreme because it just validates spending money on every whim you have. There are only a handful of things that make me happy and the chance of owning a legendary sports car is on the top. My priorities will change in the future, but why waste a perfect opportunity to be satisfied now?

On second thought, I am not nervous, I am just glad I have the chance to make a decision I will never ever regret in my life. OP will probably regret not having bought the car more than having bought the car. All that matters is moving forward and upward!

 

There's a lot to it like how stable is your field, your company, and your income personally?

I was coming of age in 2008 in my late 20's and bought my first porsche in 2007. I thought I was invincible and bought an 80K car when I made 120K and a 500K home. The economy tanked and I ended up losing not just the car but my house and ended up on the street.

10 years later, I've changed industries worked my *** off, and decided that I wouldn't buy a Porsche again unless I had substantial income and savings. I didn't buy my 911 until I was able to buy cash, and then I financed since my credit score is an 807 they practically let you borrow for nothing. My income is nearing 7 figures and still, I recognize that 2008 levels of recession are totally possible--hell it feels like 2006 again when you look at the economy! If it happened again, I have tons of reserves, residual incomes, and assets including other cars that are paid off.

I don't say this to be braggadocios, I tell you this because it's a slippery slope to value possessions over financial freedom.

 

Gus. That foolish weird feeling you are experiencing is your gut talking to you.

You should listen to it.

 

No offense, but these "how should I spend all these monies" threads come across as super douchey to me.

Even in "rich countries", most people are worried about paying bills, eating, and having a car that gets them to work. Having the ability to blow six figures on fancy cars or travelling or whatever else you might be into is a very nice thing to have, so go enjoy it and don't whine about not being sure if you're making the right decision. It's your money and your life so nobody else can tell you if it's the right choice for you.

 

You should see the flak I am catching on the 991 GT3 board for suggesting people do something other than wait for a call after putting your name on a list.

 

The OP has received sane, mature, well thought out advice on this thread. Had it been me, I would decided on keeping the 2014. But, a new C4S would be a delight, especially if you have a significant other with which to share your rides. Only you can determine if the marginal benefit of going 2014-2018 is worth the extra $70K in debt.

 

A financial-advisor friend once said to me "The last shirt you wear has no pocket"...

I'd also like to give my respect to the OP for discussing a feeling on this forum. It is different from and more risky than our usual fare of questions, opinions and advice (not that these things aren't valuable), so well done.

For what it's worth I also felt weird about spending what I spent on my 911, but the car is totally worth it and I've never had a moment of regret. It sounds like you've gone into this really thoughtfully, which means it's probably the right call.

You know what they say - decide in haste, repent at leisure!

 

Even my friend Dave Ramsey would tell you to "buy the freaking car, man!".

Like I said earlier, you're fine. Better than fine, in fact.

 

Yes, standard. But not RAS, I don't think. That comes in the Powerkit Package in the 4S. Been a while since I've been on the Configurator though.

 

It's easy to spend money. The more you have, the more you tend to leverage, and it's very tempting to do so because having $10-20k in fixed debt payments (mortgage, car, etc.) doesn't really faze someone who is making millions. Being precise and calculated with your spending doesn't seem worth the hassle either.

I am an example of this. I earn considerably more than most here (or anywhere), but I'm sloppy with my spending. Point in case: I lost $32k on my Jaguar that I just bought in January. I lost $10k on my Lotus that I just bought in January. I lost $8k on my Viper RT/10 that I bought in November. I lost $8k on my Boxster Spyder that I bought in April/16 (worst decision I ever made). I lost $8k on my Carrera cab that I bought in January.

I'm never going to notice the $75k or so gone, but no one can argue those were intelligent financial decisions by any stretch. They were idiotic. Although I partially blame my ex for forcing me to buy the SVR over the first Viper ACR I wanted. Damn her.

In that way, you ought to feel pride for your discipline and saving habits. You're far better than I am. My ex would have loved you (can you guess why she's my ex??)


A couple points....

Firstly, drive a Z06. It's an excellent car. It's extremely over-powered though. And I've never actually complained about the interior quality of a vehicle until I drove a Z06. It's that bad. But it has a removable roof panel. And it sounds INSANE -- almost as good as my SVR did.

Secondly, you're retired. Drive more, FFS!


Thirdly, excellent observation on the GTS. The depreciation is considerably slower than other 911s. I imagine you won't lose more than $30-35k in two years' time.

 

Your annual income is meaningless for the decision on car purchase. Your net worth is a more significant factor. If you can not outlive your money you should say to yourself life is short, I worked for it, I want to have fun and I deserve it and move on.