There's nothing smart *** about my comments.

I pay cash for my cars. Does that help you in any way with regard to some kind of income-to-car payment formula?

I finance 100% of my cars. That only tells you that I make enough to pay for some monthly payment, but I could be shorting myself in other areas to make this payment.

Both of these examples offer different "percent of net income used on car payment" possibilities. They anchor either end of the scale consisting of the possible methods used to buy cars. All between the two are an infinite number of combinations that are made up of many variables. All of them are equally valid ways to pay for a car. It just depends on the individuals circumstances.

 

I assumed you werent paying in cash by how he said his post. You are very correct, and if you notice, i said it depends on many factors that can change that. I said 200K bc i was assuming that he meant someone was making payments on it.

 

I def see your point about paying cash. And Im an accountant, and capital gains are considered income by the IRS. it is just the tax rate that you car about when considering short term and long term cap gains.

 

Fair enough. You are correct there are many ways to buy a car.

Maybe I should have just asked, if you financed a car what percentage of YOUR monthly income are YOU comfortable with making payments with?

 

I agree 100%.

 

I'm exactly in that boat im making roughly 200 K a year and am looking at a penthouse and then maybe before summer I want to buy a used lambo in the 150 K range.

I am 25 and single but spend quite a bit on designer clothes and going out partying. Factor in all the chicks im going to get and that lambo is pretty much priceless!

 

I feel the same way man. Designer clothes are not cheap! and neither is having a good time at a club or bar. I wouldnt have it any other way tho.

 

Don't see how that is wow-ish.

 

In my eyes it's not the norm, but you are entitled to your point of view.
Thanks for responding.

 

I can't imagine someone making 300k buying a 160k car.

 

That's what I was thinking. I guess it depends on his dependents and the type of house he lives in......

 

Its called FRONTIN and its all about how hard you STUNT...I mean FRONT.

 

Good point on the IRS. I don't do my accounting.

Yes, if someone pays cash for the car, that's different. But even if you make $50k/year and save for a while to buy the Lambo, you still have a $50K lifestyle with a Lambo thrown in. No balance or sense of equilibrium.
I guess I don't mean someone needs/should have the $200K income to pay for the car, but I think that income would be able to support the lifestyle normally associated or compared to the G.
If my views are materialistic of too image-senstive, I'm sorry. But I wouldn't live in a microstudio in the middle of suburbia wearing my Lee Dungarees and driving my Lambo to my school teaching job. I'd rather have everything in my life reflect a better balance.

Just me.

 

Amen. I wouldn't wear Reebok's and Lee Dungarees in my Lambo. Need that balance in your lifestyle of material posessions (house included).

 

Exactly!! We all have almost everything in common, the finer things, iw ouldnt expect anything less though since we love high end car's!

now, thanks for tuning me into this thread Ghost, dont know how i skipped or missed it. Well my turbo was paid for in full coming out of my M3 from a big hit too, other investments allowed me to play with the turbo and do some nice stuff without digging into income monthly or bank account. So as for this bracket, im fine. I want the Gallardo but it might be a little stretch, if i were to finance and pay 1400 a month i could do it with my 30-40k down, but i wouldnt be living comfortably honestly, well after my money towards a CAR (Bank account wise) was used up during the financing and then having to pay monthly through my income, dont think i could do it!