View Poll Results: Responsible Individual Net Worth to own a $100-$150K Car?
$400K
24
13.87%
$500K
10
5.78%
$700K
11
6.36%
$900K
2
1.16%
$1M +
126
72.83%
Voters: 173. You may not vote on this poll
Responsible Net Worth for Owning a $100K-$150K Car?
02-28-2013, 02:38 AM
#46
GT3 player par excellence
Lifetime Rennlist
Member
Lifetime Rennlist
Member
u are talking about CF, which is different than net worth.
i would say in CA, u need net worth WAY over $1MM. for out of staters, you must heard CA real estate is $, take what you think is $, multiply it by 10, you are just about right.
i would say in CA, u need net worth WAY over $1MM. for out of staters, you must heard CA real estate is $, take what you think is $, multiply it by 10, you are just about right.
02-28-2013, 02:58 AM
#47
GT3 player par excellence
Lifetime Rennlist
Member
Lifetime Rennlist
Member
we must have the same finance prof.
There are a lot of variables, but I don't necessarily look at current 'worth', more of what percent of your annual gross income your car purchase is. I have kept car value at around 1/3 of annual gross. So if you're making 100k, you'd get up to a 33k car using my philosophy. I think this is more aggressive than the average non-car person though.
my thinking too.
seriously my net worth is a funny # since most of my money is tied up in commercial RE it doesn't mean a lot. Disposable income is what I use. At 63 years young I have no debt and like it that way. 
my kids are still here, but i already spend their inheritance and i often send them out to sell lemonade to help pay for R6's
impressive.
i have PM'd you wiring instructions. pls wire your 100k asap.
Life is too short to work this hard and not enjoy life. I view the GT3 (and other cars) as an investment in my happiness.really, there's no correct answer to this. just buy what you like and be happy.
02-28-2013, 03:51 AM
#48
Rennlist Member
02-28-2013, 08:35 AM
#49
Advanced
Join Date: Sep 2012
Posts: 56
Likes: 0
Received 0 Likes
on
0 Posts
IMO
I didn't allow myself to step onto this slippery slope until I was debt free and all foreseeable future needs were met. Kid's college funds, wedding funds, retirement, long term medical , etc paid in full. Zero debt, assets hedged and strong passive income... I enjoy sleeping at night. Also waited to take this step until AFTER I sold my companies. I always felt it was bad optics for employees when the boss / owner was living a flashy lifestyle.
02-28-2013, 08:44 AM
#51
More about disposable income than NW (e.g. NW maybe high and very illiquid so end up with not enough cash to live). If nothing else in your financial life needs to materially change, then go for it. If i had to budget tightly to get it, would probably pass. Too many moving parts to really answer...function of your outlook on life, financial goals, other financial responsibilities, risk tolerance, day to day priorities, stability of future income streams, yadda yadda.
02-28-2013, 09:22 AM
#52
Three Wheelin'
Join Date: Oct 2010
Posts: 1,291
Likes: 0
Received 0 Likes
on
0 Posts
I would agree normally but with car loans down at 1.49-1.99 it's better to borrow and invest the cash into a return generating fund that then offsets the depreciation on the car.
As to how much you should be worth there are many variables that I think you should consider, marital status, children, projected earning curve, years to retirement.
The entire financial package really needs to be considered so just saying and income of x is really not the answer. Hope this give you reasons to think.
As to how much you should be worth there are many variables that I think you should consider, marital status, children, projected earning curve, years to retirement.
The entire financial package really needs to be considered so just saying and income of x is really not the answer. Hope this give you reasons to think.
In order for me to use it worry free that's the attitude I have going in. Maintenance and insurance costs are also factored in during the purchase decision, not after.
02-28-2013, 09:42 AM
#53
Drifting
I'm way more conservative than that. Any toy I buy I have to be willing to write off immediately. I literally have to be able to buy it and be able to walk away from it if need be. If I'm worried about residuals and marginal cash flow in, in my mind I can't afford it and I don't buy. If I buy it on a loan that calculation doesn't change- I need to be able to clear the loan immediately if I have to or it doesn't get bought. After all, it's a toy so it's a want, not a need.
In order for me to use it worry free that's the attitude I have going in. Maintenance and insurance costs are also factored in during the purchase decision, not after.
In order for me to use it worry free that's the attitude I have going in. Maintenance and insurance costs are also factored in during the purchase decision, not after.
Last edited by GSIRM3; 02-28-2013 at 11:18 AM.
02-28-2013, 10:06 AM
#54
Rennlist Member
02-28-2013, 10:26 AM
#56
Rennlist Member
when this type of question arises from time to time, i'm always curious how many high end car enthusiasts - not just P-car, but ferrari, lambo, too - are able to afford these toys and hobbies because they are trust funders or because they were "heir-ed" into it. (i.e. groomed into the family biz and perked with cushy high-paying VP jobs etc.)
hey, i ain't knocking it. i wish i had breaks like that - along with better smarts, more drive and determination, more ambition!
- i'm just always curious about the ratio of those who "made" it to those who "inherited" it.
hey, i ain't knocking it. i wish i had breaks like that - along with better smarts, more drive and determination, more ambition!
- i'm just always curious about the ratio of those who "made" it to those who "inherited" it.
02-28-2013, 10:52 AM
#57
Rennlist Member
You must have missed the sarcasm in my reply. This topic is silly. Now trying to answer quantitatively, even more so.
02-28-2013, 11:02 AM
#58
Sure they can be but typically living check to check doesn't equal 5 digits a month lol.
Mine as well. All retail now. Office wasn't so great.
Very sound advice. The most sound advice in this thread imo. I'm the same way. In my mind financing is for absolute necessities, and even then having the determination to pay that off asap is the way to go.
I think this sort of 'curiosity' is why we have who we have as potus, wouldn't you agree?
I've never found having a conversation about money or the responsibility that goes with it to be silly.
Anyway, I think this was a good exercise. Looking at the poll and the the prevailing opinion, mine parallels most here.
I'm way more conservative than that. Any toy I buy I have to be willing to write off immediately. I literally have to be able to buy it and be able to walk away from it if need be. If I'm worried about residuals and marginal cash flow in, in my mind I can't afford it and I don't buy. If I buy it on a loan that calculation doesn't change- I need to be able to clear the loan immediately if I have to or it doesn't get bought. After all, it's a toy so it's a want, not a need.
In order for me to use it worry free that's the attitude I have going in. Maintenance and insurance costs are also factored in during the purchase decision, not after.
In order for me to use it worry free that's the attitude I have going in. Maintenance and insurance costs are also factored in during the purchase decision, not after.
when this type of question arises from time to time, i'm always curious how many high end car enthusiasts - not just P-car, but ferrari, lambo, too - are able to afford these toys and hobbies because they are trust funders or because they were "heir-ed" into it. (i.e. groomed into the family biz and perked with cushy high-paying VP jobs etc.)
hey, i ain't knocking it. i wish i had breaks like that - along with better smarts, more drive and determination, more ambition! - i'm just always curious about the ratio of those who "made" it to those who "inherited" it.
hey, i ain't knocking it. i wish i had breaks like that - along with better smarts, more drive and determination, more ambition!
- i'm just always curious about the ratio of those who "made" it to those who "inherited" it.Anyway, I think this was a good exercise. Looking at the poll and the the prevailing opinion, mine parallels most here.
02-28-2013, 11:30 AM
#59
answer is simple - - --
if before buying the car you have to do calculations - - or the idea makes you even slightly uneasy - -
stop and save your money
plan for the worst and keep your family secure
if before buying the car you have to do calculations - - or the idea makes you even slightly uneasy - -
stop and save your money
plan for the worst and keep your family secure
02-28-2013, 11:32 AM
#60
Rennlist Member
Quote:
Originally Posted by 85Gold
Kids gone and I'm spending their inheritance as fast as I can. seriously my net worth is a funny # since most of my money is tied up in commercial RE it doesn't mean a lot. Disposable income is what I use. At 63 years young I have no debt and like it that way.
Peter
commercial RE, best investment. that's my gig.we should talk. MF or retail/office?
Mooty
A little of everything. Office, Warehouse flex space, a little retail and apt. Don't really like retail/apt rentals but they just happened. I am small potatoes since my brother and I split the business but my health is 1000% better.
Peter
Originally Posted by 85Gold
Kids gone and I'm spending their inheritance as fast as I can. seriously my net worth is a funny # since most of my money is tied up in commercial RE it doesn't mean a lot. Disposable income is what I use. At 63 years young I have no debt and like it that way.
Peter
commercial RE, best investment. that's my gig.we should talk. MF or retail/office?
Mooty
A little of everything. Office, Warehouse flex space, a little retail and apt. Don't really like retail/apt rentals but they just happened. I am small potatoes since my brother and I split the business but my health is 1000% better.
Peter