Overanalyzing finances. What are your thoughts?
#76
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Except ... when you look at the charts, the 0.001% have hoovered up much of the cash that used to support the lower-middle and middle class. Then, in turn, the economy soured because these folks didn't have as much money to spend, and jobs were (are?) scarce. Sure, there are certainly some lazy moochers out there but I believe the vast majority of folks are either working (even if underemployed) or wish they were.
#77
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Full disclosure: Financial writer with 25+ years experience in the investment management business.
#78
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Except ... when you look at the charts, the 0.001% have hoovered up much of the cash that used to support the lower-middle and middle class. Then, in turn, the economy soured because these folks didn't have as much money to spend, and jobs were (are?) scarce. Sure, there are certainly some lazy moochers out there but I believe the vast majority of folks are either working (even if underemployed) or wish they were.
Offer freebies off the backs of those who do work for a living and THEY will come hither with open arms.
Regarding the OP's question, there is no way that you are prepared to drive your own Porsche, and equally so, there is no way that my hard earned dollars are going to bail you out because you F'd up by spending when you should have been saving.
Grow up and earn the privledge to own and drive a wonderful car like a Porsche. Those of us who have done so don't want our efforts diminished by those who have not.
Go drive something you have actually earned, and I guarantee that it isn't a Porsche!
#79
Racer
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Now, with that said, it's definitely too early to think about buying a Porsche (unless you'll consider a Boxster or 944 -- which I don't recommend...just wait until you can afford the car you really want, it'll be much more fulfilling). Others have said it, but just in case you aren't sure:
1. Emergency cash savings: 6-months of living expenses
2. Max out Roth IRA and 401k ($5500 + $17,500 = $23k/year). If unable, at least contribute enough to get the employer's match, it's free money.
3. House
4. Cars
Good luck to you...
#80
Nordschleife Master
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where did this animosity come from?
I agree that it is unfortunate that many people are underemployed in relation to their education and skill levels. These are the people who actually want to work and be productive. BUT, there are so many fringe people loving the hell out of Obama's liberal hand outs who feel they are entitled to live like billionaires without having to work for it.
Offer freebies off the backs of those who do work for a living and THEY will come hither with open arms.
Regarding the OP's question, there is no way that you are prepared to drive your own Porsche, and equally so, there is no way that my hard earned dollars are going to bail you out because you F'd up by spending when you should have been saving.
Grow up and earn the privledge to own and drive a wonderful car like a Porsche. Those of us who have done so don't want our efforts diminished by those who have not.
Go drive something you have actually earned, and I guarantee that it isn't a Porsche!
Offer freebies off the backs of those who do work for a living and THEY will come hither with open arms.
Regarding the OP's question, there is no way that you are prepared to drive your own Porsche, and equally so, there is no way that my hard earned dollars are going to bail you out because you F'd up by spending when you should have been saving.
Grow up and earn the privledge to own and drive a wonderful car like a Porsche. Those of us who have done so don't want our efforts diminished by those who have not.
Go drive something you have actually earned, and I guarantee that it isn't a Porsche!
#82
Nordschleife Master
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I agree that it is unfortunate that many people are underemployed in relation to their education and skill levels. These are the people who actually want to work and be productive. BUT, there are so many fringe people loving the hell out of Obama's liberal hand outs who feel they are entitled to live like billionaires without having to work for it.
Offer freebies off the backs of those who do work for a living and THEY will come hither with open arms.
Regarding the OP's question, there is no way that you are prepared to drive your own Porsche, and equally so, there is no way that my hard earned dollars are going to bail you out because you F'd up by spending when you should have been saving.
Grow up and earn the privledge to own and drive a wonderful car like a Porsche. Those of us who have done so don't want our efforts diminished by those who have not.
Go drive something you have actually earned, and I guarantee that it isn't a Porsche!
Offer freebies off the backs of those who do work for a living and THEY will come hither with open arms.
Regarding the OP's question, there is no way that you are prepared to drive your own Porsche, and equally so, there is no way that my hard earned dollars are going to bail you out because you F'd up by spending when you should have been saving.
Grow up and earn the privledge to own and drive a wonderful car like a Porsche. Those of us who have done so don't want our efforts diminished by those who have not.
Go drive something you have actually earned, and I guarantee that it isn't a Porsche!
#83
Racer
#84
Rennlist Member
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My GF and I were talking about this thread over dinner last night, and her immediate response was similar to some of the more mature & thoughtful responses already voiced here: "does he have 6 months for a rainy day? Is his 401k filled up? Credit card debt?" And I smiled for a moment, imagining she had actually been following the thread herself.
She said, "The thing is, he sounds like a smart kid. If he's in his twenties there's no reason to rush into a Porsche. If he sets his sights on having 15k or more of that 64 in savings, every year, by the time he's 36 the Porsche will make more sense, and he will have all the other things. A very safe cushion, a nest egg, and maybe a home of his own."
All valid points, and for sure smart advice for anyone. But I countered the reality.
Many people don't have a year or even 6 months in the coffee can. Hardly enough people save for retirement. Sure. There are a lot of people on the boards with 100k in the bank, and another 2 or 300k in investments, and they own 991 GT3's along with early 70's RS Clones and airplanes and yada yada yada.
But then there are also enthusiasts. They just love the cars. They can't help it. They're drawn to the cup races, the endurance races. DE, AX, the whole lifestyle.
The OP seems like he's on his game. No college debt, no credit card debt, and the car AND rent are covered with less than one week's pay.
I don't know where he lives, or what his future holds, but it's very easy to have 40k in the bank and then, "meet a girl" and then "POOF" no Porsche for you! It's two kids & Toyota mini-van until 2032.
Personally if I was looking to spend 30-35k on a car, I wouldn't sweat that it's a Porsche. A new KIA optima well appointed is going to clear 30k, and nobody would say boo about a 29 year old in a Kia. The Porsche is a great alternative to what's out there.
Many of you have pointed to the pitfalls, so buyer beware! When it goes to the shop, sometimes the bill will surprise you. But if you are thoughtful and diligent, the car won't spend much time in the shop.
If I remember correctly, you were only going to finance about 18k.
My advice would be to save a little more. You're almost there. Maybe finance only $10k. And be sure that at least one of those extra paychecks is hitting the long term "no touch" savings.
If you have no other debt, and you can put 1 week's pay to the car & rent, & one week's pay to your IRA, you're doing better than probably 75% of your peers.
If you can have the car and save even more? Do it.
And who's to say? In 30 years your Porsche may actually be worth $375,000.00 contrary to a previous response. Maybe it turns out that the 997's become wildly popular in the future, and for sure the dollar will be worth much less, so... Let's revisit in 30 years and see what a 2005 C2 is worth.
Lastly, no. You don't look like a douche rolling up to work in a Porsche. There's probably folks out there that already think you're a douche for having the BMW. You just look like a guy who likes cars. Good ones.
You only look like a douche if you ARE a douche. That's gospel.
Good luck, and let us know what you decide!
She said, "The thing is, he sounds like a smart kid. If he's in his twenties there's no reason to rush into a Porsche. If he sets his sights on having 15k or more of that 64 in savings, every year, by the time he's 36 the Porsche will make more sense, and he will have all the other things. A very safe cushion, a nest egg, and maybe a home of his own."
All valid points, and for sure smart advice for anyone. But I countered the reality.
Many people don't have a year or even 6 months in the coffee can. Hardly enough people save for retirement. Sure. There are a lot of people on the boards with 100k in the bank, and another 2 or 300k in investments, and they own 991 GT3's along with early 70's RS Clones and airplanes and yada yada yada.
But then there are also enthusiasts. They just love the cars. They can't help it. They're drawn to the cup races, the endurance races. DE, AX, the whole lifestyle.
The OP seems like he's on his game. No college debt, no credit card debt, and the car AND rent are covered with less than one week's pay.
I don't know where he lives, or what his future holds, but it's very easy to have 40k in the bank and then, "meet a girl" and then "POOF" no Porsche for you! It's two kids & Toyota mini-van until 2032.
Personally if I was looking to spend 30-35k on a car, I wouldn't sweat that it's a Porsche. A new KIA optima well appointed is going to clear 30k, and nobody would say boo about a 29 year old in a Kia. The Porsche is a great alternative to what's out there.
Many of you have pointed to the pitfalls, so buyer beware! When it goes to the shop, sometimes the bill will surprise you. But if you are thoughtful and diligent, the car won't spend much time in the shop.
If I remember correctly, you were only going to finance about 18k.
My advice would be to save a little more. You're almost there. Maybe finance only $10k. And be sure that at least one of those extra paychecks is hitting the long term "no touch" savings.
If you have no other debt, and you can put 1 week's pay to the car & rent, & one week's pay to your IRA, you're doing better than probably 75% of your peers.
If you can have the car and save even more? Do it.
And who's to say? In 30 years your Porsche may actually be worth $375,000.00 contrary to a previous response. Maybe it turns out that the 997's become wildly popular in the future, and for sure the dollar will be worth much less, so... Let's revisit in 30 years and see what a 2005 C2 is worth.
Lastly, no. You don't look like a douche rolling up to work in a Porsche. There's probably folks out there that already think you're a douche for having the BMW. You just look like a guy who likes cars. Good ones.
You only look like a douche if you ARE a douche. That's gospel.
Good luck, and let us know what you decide!
Last edited by Comanche_699; 03-02-2014 at 03:20 PM. Reason: iPhone Autocorrect Fail
#85
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I have a buddy who has been unemployed for almost a year now -- he's a paralegal and law firms have been downsizing -- and he gets by. But just gets by, mostly on his wife's salary (also a paralegal, but for a different firm).
#86
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To the OP...don't be discouraged by posts like these. While Porsche owners certainly have a reputation for being a$$holes, it's only due to a small minority. For the most part, you'll find people here just like yourself, that love the cars and want to be a part of a community.
Now, with that said, it's definitely too early to think about buying a Porsche (unless you'll consider a Boxster or 944 -- which I don't recommend...just wait until you can afford the car you really want, it'll be much more fulfilling). Others have said it, but just in case you aren't sure:
1. Emergency cash savings: 6-months of living expenses
2. Max out Roth IRA and 401k ($5500 + $17,500 = $23k/year). If unable, at least contribute enough to get the employer's match, it's free money.
3. House
4. Cars
Good luck to you...
Now, with that said, it's definitely too early to think about buying a Porsche (unless you'll consider a Boxster or 944 -- which I don't recommend...just wait until you can afford the car you really want, it'll be much more fulfilling). Others have said it, but just in case you aren't sure:
1. Emergency cash savings: 6-months of living expenses
2. Max out Roth IRA and 401k ($5500 + $17,500 = $23k/year). If unable, at least contribute enough to get the employer's match, it's free money.
3. House
4. Cars
Good luck to you...
#87
Drifting
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Name one single person, just one, who "live[s] like [a] billionaire" on their $1,000-1,500 a month unemployment check. Which, by the way, is INSURANCE, not a hand-out, that they paid into while working. I have a buddy who has been unemployed for almost a year now -- he's a paralegal and law firms have been downsizing -- and he gets by. But just gets by, mostly on his wife's salary (also a paralegal, but for a different firm).
Last edited by GSIRM3; 03-03-2014 at 09:45 AM.
#88
Rennlist Member
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I also agree there's A LOT of financial irresponsibility here in the U.S.. I know a lot of people who own a truck or car that is new and cost half to all of the amount that they make in a year. It's the American way these days. But that doesn't make it less risky.
#89
Three Wheelin'
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I say go for it. Your expenses are LOW. From how I read it, you could afford the payment and still increase your saving rate (substantially). I don't see this as living beyond your means but I do agree that you should be saving like mad. When I was your age I was still in school amassing education debt. I lost out on a lot of time for saving and compounding growth. You shouldn't! Anyway, 997s of that vintage are fairly well depreciated. If you need to free up cash down the road, sell the car.
#90
Rennlist Member
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I see a lot of criticism in this thread but no constructive criticism. For example, Dasams - what should he look at buying for a car? What should his pricing budget be? Now that you know his finances and believe he needs a 1M net to own a 35k car, I'd like to know what he CAN afford in your opinion....
I worked hard and set aside money for years, specifically to buy a 997. It serves as a means of transportation, hobby, piece of artwork, project, speed demon and therapist all in one. I have a great friend who is a Porsche Master Tech and I buy all of my parts from Suncoast and have him do the installations.
This has been easily the cheapest car to own and maintain that I've ever had. We aren't talking about 1997 Ferrari's here...
I worked hard and set aside money for years, specifically to buy a 997. It serves as a means of transportation, hobby, piece of artwork, project, speed demon and therapist all in one. I have a great friend who is a Porsche Master Tech and I buy all of my parts from Suncoast and have him do the installations.
This has been easily the cheapest car to own and maintain that I've ever had. We aren't talking about 1997 Ferrari's here...