This is a fairly open-ended question to all of you. In short, when is a reasonable and affordable “upgrade” or fun car acceptable? Some may say “never,” while others say “any time X goal is met.” What is your feeling and why?
My situation, in general terms:
- 20% down payment saved and stashed for future house, budget allocated, won’t be touched
- 6-month Emergency Fund in place and also won’t be touched.
- 22% going to retirement
- Generally frugal lifestyle
- debt free
This fun car would be used, and be purchased with a trade of my current, paid-off car, plus cash. This cash is saved outside the above categories. The total cost of ownership would be 10% of takehome, only slightly higher than my current car.
Yes, I could invest this extra cash now, being 25yrs old. In fact, that’s what I’m leaning towards... but I have been wanting this particular car for years. That’s why I’m here... again. :)
At what point do you make the call of fun and wants vs the smart financial move? Do you have an example of your decision process and how you worked through it?
Submitted April 05, 2018 at 08:26AM by ComradeGrumbles https://ift.tt/2GAt4by
