Submitted by sunlifeee t3_yipwxz in personalfinance
[removed]
Submitted by sunlifeee t3_yipwxz in personalfinance
[removed]
Yeah I definitely will hate seeing all that go away transportation.
I've owned a lot of cool cars.
Not one of them has ever given me as much joy as not worrying about my finances.
With less than 10% of your income left after you pay your bills, you will worry about your finances.
Really? There was no cool car you owned that was worth it?
Yeah you’re right. I’ll barley have anything left. But everyone I come across this car I get an itch. I can’t afford it but I want it lol
All the ones I could afford were worth it. I couldn’t afford all the ones I bought. You can’t afford this one.
Is the car worth 100s of thousands in retirement? Where is your retirment allocation? You don't need us to tell you this is an incredibly stupid idea. What car could be so special that made you wait a really long time for at only 27?
Probably not lol it’s a BMW m340i. Yeah it is a stupid idea, I just need to talk myself out of it. This is helping. I know I can’t afford it lol
Let me guess: you are single?
Yes
What's the car? What is your current car? How much is your current insurance+gas? What are the terms of the loan (interest rate and length and loan amount)? What is the total cost of the car? What's your down payment? How much is in your savings today?
Do you currently and consistently have an extra $1k ($300+$650) left over at the end of the month, what are you doing with that money today?
The car is 2023 bmw m340i $57k msrp, $0 down. I drive a Honda Civic $250 lease + $100 insurance $200 gas = $550 total. The BMW would come out to about $1150 total. I have $5k in savings right now, sitting in the bank.
What I gather is you want to lease a car that costs almost as much as your annual income. That is just nuts. You should be looking at buying a quality used car somewhere in the $20k range. That would be much better financially. Leases are typically more expensive in the long run than buying.
Yeah well not buy but lease for 3 years and then give it back. Now that you put it that way it does sound bad. My current car is worth about $20k so I should probably keep it.
Also one more thing, I’m in the middle of interviewing for another job. Which would put me around $5k net income. Could I reconsider then? Or still no
$5k per month? Yes.
Doing a new lease every few years means you are always paying for the steepest part of the depreciation curve. You would be much better off to buy a used car that is a few years old and past the worst part of depreciation or a new car and keep it for a long time. Even at $5,000 per month net, the car you are thinking about does not make sense.
[deleted]
I had this same dilemma in another life. I really wanted to get an M3 and I lived in Germany at the time so I could get a US spec M3 for cheap. I could semi-afford it, probably more so than you in this situation. It was sooooo tempting. What eventually deterred me is how paranoid I'd be with the car. I'd be worried about scratching her up or having her stolen or some other shit. I also didn't have a garage so she'd just be exposed to the weather and god knows what else out there (if I were in the US I'd be a lot more worried about it).
I just realized it wasn't worth it. As someone else said here, the mental relief/satisfaction of being in a good financial state AND not worrying about a car of all things is priceless. I ended up getting a Volvo, travelling to Sweden to get it, and vacationing with it for a few days before bringing it home. Good times and absolutely no regurts.
What is the 1500 other stuff? Food cant be that much, maybe you cut down on some of that. Can't blame you for a car but that's a liability for many years, but he6 we all have guilty pleasures
Is it new, used, make model year miles, etc etc? I mean, it's clear it's a dumb move financially speaking or you wouldn't make this post.
Any thing happens and you need cash, lose your job, something breaks on the car... You're SOL. Potentially homeless or car repo after a few months.
[deleted]
>I really really want this car
You know it is a bad idea and want other people to validate your poor choice.
You have no money left to enjoy life or even pay for basic maintenance like oil changes and tires.
[removed]
Rule of thumb is total car costs no more than 1/6 income. I am guessing pretax $5900, total costs $1150 for 20%. A little high, but may be 1/6 after couple raises.
sonnyfab t1_iujva4m wrote
>Im 27 and want to enjoy my life a bit with this car.
You won't enjoy life with how much you spend each month on your lease payment and insurance.