How stupid is it to buy a car worth 2/3 of your annual salary?

How stupid is it to buy a car worth 2/3 of your annual salary?

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very

It had better be really important to you and you don't need much of the remaining 1/3 for your other living expenses.

Eh, people did worse things, enjoy your car!

Think of it this way:

Forty minutes of every hour you work are to keep your shitbox in your garage.

>This is why most working Americans are in debt.

Imagine losing your income, what happens then?

Just finance it, goy.

Depends on your salary and savings, like are you a poorfag looking to buy a shitbox that you won't afford to repair when something breaks, or are you someone who wants a new porsche?

Its only a year either way

Not stupid at all, if you buy a car that's above your yearly salary then you better have a huge down payment.

Yeah but if I own that car for 8 years, than it would only be 5 minutes an hour.
Didn't buy it yet.

You sell the car at a loss and learn, let people enjoy things while they can

Assuming he had enough savings to buy it outright. But I get the feeling OP would be financing.

There's nothing wrong with financing, if he's young guy he can have parents cosign while he builds credit. Just don't be an irresponsible faggot and come up with good downpayment and make payments on time

Not very dumb. If it makes you happy just save to negate the loss. Lifes short

Not quite stupid, but it's not really financially responsible. Get something cheaper.

Nah he should do zero down, and stiff them on the payments until he gets nasty letters in the mail and then just roll the payments from one credit card to the next until he's ready for the repo man to take it away and then get a new ride.

Judging by the anime you live with your parents and have little to no expenses. It's not a bad idea unless you're financing or buying used.

I've had expensive cars and very cheap cars. Let me tell you OP. Cheap cars are way more fun and less stressful to own. I've had more fun in my 36 year old station wagon than I've ever had in any new car I've owned. I just don't give a fuck and I can do whatever I want to it for cheap. If you buy a car for 2k-5k take the car payment you would be making and save that and you can mod your car and have way more fun and personalize a vehicle rather then pissing your money on interest on an asset that will only depriciate. If you're going which I assume you are because you're here asking dumb questions like this, don't blow all your money on fucking cars. If instead of paying a car payment you can invest a 500+ would be monthly payment and by the time you retire you will be a multimillionaire and you could buy multiple supercars. Now ask yourself is whatever shitbox you're about to finance worth giving up millionaire status with lambos?

Not OP but I'm about to buy a 100k GTR and I have a feeling it's going to be more fun than my daily civic.

Buy a Viper instead you memer

not at all if you plan on never driving it and selling it for more than you paid

I know the Viper is the better track car I would get an ACR if I was going to track it. An AWD GTR with launch controlls is a way more fun car on public roads than the HP monster viper.

What are you buying?
If its not essential purchase then its really too much.

While we're on the subject, how bad is it to spend a year of salary on a car over the course of ~5 years?

No rent to pay, need to take care of parents so living on my own isn't an option. I have a /k/ habit but I have so little time to go to the range these days I don't see a lot of reason to spend more money on it. Nothing else in my life.

Not dumb if you save right. I'm 18 but my hope is one day to buy a 240k and I'll prob only be earning like 60k

Not even about it being better on track it offers a manual transmission. How are paddles "way more fun" the viper will also hold its value ALOT better

On average I'm not a big spender, basically just food, tools, and parts. Only real thing I'm willing to spend on in internet access, I don't even want a TV.

I'm planning on spending ~half of my take home pay first year on buying the car, then each year after that I'll set aside some of my pay to fund a restoration + carefully considered modifications. Hopefully 5 years from now I'll be able to drive it.

>awd more fun on public roads

CPO Mustang GT, possibly new if I can stack multiple discounts during a year-end sale. I make 70k/yr, would cost me around 40k, I have enough money to buy outright with some savings left over. If I can get 0% interest I'd probably finance instead.

It is really bad. You have no rent now but what's your future plan? You just gonna live at home forever? You never gonna save to buy a home? Budget what you would be paying for rent and save/invest it. You shouldn't have a car as much as you make a year that's retarded unless it's a unicorn car that's going up in value but I seriously doubt that applies in this situation.


I know you're only 18 but this is by far the most retarded thing I've read today. Having a car 4x your income lmao. Your car would depriciate faster than you can pay it off even if you throw half your salary towards your loan.

Bro 40k for a certified pre owned is shit. You can get a brand new gt premium with track pack for under 40k and most likely get 0% financing.

I've been driving manuals all my life and I love the, but the R34 was the car in all my boyracers mags growing up so fuck man I want on.

I'm not American.

whats fucking hilarious about Veeky Forums is they all have been working for like 1-2 years max. they are all young as fuck and don know fucking anything. you are clearly one of those people OP, but assuming you are not, if you have been working for a long time and have lived fairly frugally, spending 2/3 of your annual salary on a car is not that bad - assuming you have the years and years of savings you should have in order to do so.
if you are a retarded 24 year old new fag who just got his first job and are asking this question then you should fucking kill yourself and never come here again.
this is the real advice from an older guy you will not get from anyone else on here.

Depends on whether you're financing, how long the loan is if you are, and how badly you NEED the car.

I'd be inclined to save up for something you want over the years then dump it on a car you want.

if u truly want something, and the payment come out to be at less than a week worth of salary then i'd say go for it.

B L O A T M A X X

It's a classic car. My parents are getting old, they have a few properties between them. I'll probably start saving for rental properties after a few years.

I already have a decent amount of savings that's in the stock market, I feel like it's probably too late to buy the dip in stock from the recession so most of my current savings is going into conservative stuff like money market funds.

My future plan is to eventually start buying up rental properties in addition to working a full time job. It's not like my parents are going to need less care as they get older. My parents are also willing to give a serious SO a bedroom for a reasonable amount of rent.

I wouldn't be spending what I save in rent. Conservatively speaking that only saves me ~12k a year. Even after taxes, my living expenses + "rent" would leave me ~40k/yr. I'm planning on spending an average of 24k/yr on the car for 5 years and the rest is going to go to investments.

This estimate doesn't include bonuses, stock, etc. Just base salary.

Okay, I'm 32, making low six figures in a low cost of living area. 100k on a car? I've got like 40k saved but I'd rather keep that as my rainy day fund.

Currently saving 4k a month after all expenses. I own two houses (one is rented).

>whats fucking hilarious about Veeky Forums is they all have been working for like 1-2 years max.
That's a huge overestimation. In reality they are 1 year into an undergrad degree and think
1. When they graduate they go to a booth and trade in their degree instantly for a job that pays x amount
2. If they make 70k a year they will have 70k to spend a year

Is that your greenhouse? Looks naice.

$40k in savings unless you're just a financial idiot is silly. I don't think you're really adding that up right. What you'd want to think about is what kind of short-term splurge you could afford, where you'll be 30 years from now, and how a $100k car really fits in to what you want to do with your life.

It sounds like you shouldn't have a problem pulling it off but rather that maybe you aren't thinking it through all the way.

I own a car worth 4 times my annual earnings.
But I don't owe money on any of my cars.

How the hell did this happen? Grandpa gift you his Gallardo or something?

Close enough

Post it

>I own a car worth 4 times my annual earnings.
>Gets paid a weekly allowance from mom/dad

>Is that your greenhouse? Looks naice.
god I wish.

That's just 40k cash, I've got other savings etc, but that's money that could go towards a car down payment. Good stuff to think about.

Depends what you mean by "cash" but $40k is of it might be really dumb. I sure as hell wouldn't have $40 sitting in a bank or CDs or whatever because you're losing the game just by not even keeping up with inflation that way.

I'd wait a few years unless you live with your parents and can burn some serious cash

You don't have to wait until you're 40, or even 30, but 25-27 is a good place to be. A few years of salary under your belt and you're still young.

im not saying its a financially sound move just that it is totally doable.
btw assuming all you say is true, you should have more than 40k in savings,even with a rental property.

what is "low six figures" nigga

>120k

what's your profession?

I'm curious how you're saving 4k per month unless the rental is paying well. I'm in the 95k range. Rent is $600/month for me

IT
I'm pretty frugal. Not supporting anyone but myself. Take home is right around 6k a month so just 2k in bills. Rental just pays for itself no profit.

Hmm. I should probably stop spending so much money on food

yeah eating out is a big one. I pretty much only cook at home and bring my lunch to Work. Fuck I love brunch though. That's my one fault for being a frugal faggot.

You're definitely right. I try to not eat out. But you can only eat so much frozen pizza, fried rice, sandwiches, etc... before you really get sick of it. I end up eating out once or twice a week to break up the mediocrity that is my slapdash cooking.

I'm UPS delivery so bringing food when it's 0 degrees out isn't exactly an option for me

Have you tried coalescing meals? I've found that if you want to die at the age of 30 you can feed yourself by eating an entire medium pizza and nothing else for the day. Usually under 10 dollars a day to do that.

It's incredibly stupid OP, but we all know you'll ignore this.

You can sell a car that's financed, it's just more trouble for the buyer so you get less money.

Just make a lunch box up. I normally eat a sandwich just about every day. Also I find that working out makes me never get tired of food. You'd think eating the same shit every day would get old but after a good workout fuck I don't care what I eat.

The best part is when they brag about all the money they're going to be making once they graduate

>IT

It's funny I have yet to read a single post on Veeky Forums where a guy making >100k DIDNT work in IT

THIS
Kids brag about their career path before they even leave highschool
>OH YEAH? Well I'm going to be a mechanical engineer and make $130k a year!
Ye mates totally.
10 years later some have done plenty well and do make their dream figure. But the vast majority who even pursed their field, either can't get a job in it, or aren't ever going to even make half of what they claimed.

my car is worth 100% of what i make in a year

I feel like American culture has taught all young people that they're just millionaires in purgatory, and that their day of big money just hasn't come yet.

90% sure it's only Americans I see counting their chickens before they've hatched.
>I'm gonna make X a year starting
Year after year it's all shitboxes and cold air intakes.

You know more about finances and have more money than anyone on this board. Your own advice is better than anything here.

In my opinion anyways, buy yourself what makes you happy. Life is short.
You can score yourself a nice 60's formula 1 replica kit car for that money if that interests you.
stuart-taylor.co.uk/

> American culture has taught all young people that they're just millionaires in purgatory, and that their day of big money just hasn't come yet.
m8 this is common knowledge

Anyone with an average salary can be a millionaire if they aren't brain dead.

1k bike will be more fun than any car m8

I make $2400 a month and drive a '17 WRX STi worth $40k new.

130K a year is not even that impressive in this day and age.

I remember when I used to think 100k a year was a good salary, then I grew up.

don't be a fucking idiot, if you have that much money laying around, buy into marijuana stocks ASAP, it's already spiked up twice so you're late for hueg gains, but long run you will still see a big gain

lol I bet you aren't European, here in Europe we buy cars that's worth more than a year of our salary, we get in debt to get shitty cars.
i wish i was amerimutt

>be yuropoor
>average person spends 2yrs worth of salary in a new car (on finance obviously)
>still manage to eat, have a house and proper healthcare
>americans be like

This, you can finance/lease a Porsche and pay later

Thanks god most Americans aren't that retarded.