3 ms·

I think the car rule is more often don't by a 50k car if you make 50k a year. Also related, cars go down in value. They are cool to own but by no means an inv

I think the car rule is more often don't by a 50k car if you make 50k a year. Also related, cars go down in value. They are cool to own but by no means an investment. They are a utility to get you around and more specifically to your job that actually does make you money. The biggest rule though they stated first is huge. If you are making 300k a year, buy that 50k car or save up for a relatively "short while" and get a 100k car.

bluedino 7y ago
As someone who wasted a large amount of money on cars in his younger years... The problem with buying a $50k (or whatever the vehicle you want) car, is that you will probably grow bored with it and want another one in two years. And chances are that $50k car is going to depreciate like a rock. And be expensive to insure. And you'll also have the bad habit of spending even more money on modifications/customizations etc. Buying a brand new, expensive vehicle isn't the worst idea if you keep it for ten years, drive it every day, etc. But if it's a thing you drive a few times a month, is impractical, and you get rid of it in 1-3 years for the newest model, it's financial suicide. I never got $35k of 'enjoyment' out of a new car purchase. And they aren't brand new for very long.