Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Old 11-10-2014, 12:41 PM   #101
Thinks s/he gets paid by the post
powerplay's Avatar
 
Join Date: Oct 2008
Posts: 1,380
I have 2 vehicles and one is 19 years old and the other is 15 years old. Both would be a negligible portion of my net worth. Now when I decide to get a new vehicle I will have to dip into that NW and reduce it some but I will survive!
__________________

__________________
powerplay is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 11-11-2014, 01:49 PM   #102
Thinks s/he gets paid by the post
sengsational's Avatar
 
Join Date: Oct 2010
Posts: 3,849
Quote:
Originally Posted by Sunset View Post
0% , as I don't include it in NW, like most folks.
Cars are just an expense like electricity.
Not to pick on you Sunset, but to yours and all of the posts that say your NW doesn't include your car, why not do this:

(value of car) / ((value of car + NW) ) * 100

Not too tough, eh? I know, I know, you're making a point...cars maybe "don't belong" in your net worth. Certainly not your investable NW. There are so many definitions around here for NW that I like to avoid the term all together if I can, and instead describe the number (investable assets, investable assets + real estate, investable assets + real estate + present value of income streams, etc). Of course there will be "discussions" about meaning of those too, hehe!
__________________

__________________
sengsational is offline   Reply With Quote
Old 11-11-2014, 02:24 PM   #103
Thinks s/he gets paid by the post
Sunset's Avatar
 
Join Date: Jul 2014
Location: Chicago
Posts: 4,749
Quote:
Originally Posted by sengsational View Post
Not to pick on you Sunset, but to yours and all of the posts that say your NW doesn't include your car, why not do this:

(value of car) / ((value of car + NW) ) * 100

Not too tough, eh? I know, I know, you're making a point...cars maybe "don't belong" in your net worth. Certainly not your investable NW. There are so many definitions around here for NW that I like to avoid the term all together if I can, and instead describe the number (investable assets, investable assets + real estate, investable assets + real estate + present value of income streams, etc). Of course there will be "discussions" about meaning of those too, hehe!
Ouch.... Ok, but really I was pretty right on saying 0% as we have 2 really old cars and I just looked up the private sale value on KBB for both.
So our cars are worth: 0.2 % , round that off and you get zero.
__________________
Sunset is offline   Reply With Quote
Old 11-11-2014, 02:45 PM   #104
Dryer sheet wannabe
3800Fiero's Avatar
 
Join Date: May 2014
Location: Far South Chicagoland
Posts: 22
1.3% 30 year old car, 15 year old SUV and a 10 year old car. Buy a good vehicle, do the required maintenance and drive into the ground.
__________________
3800Fiero is offline   Reply With Quote
Old 11-11-2014, 04:42 PM   #105
Thinks s/he gets paid by the post
Keim's Avatar
 
Join Date: Feb 2007
Location: Moscow
Posts: 1,128
.018% total net worth, .027% invested net worth. I wish this indicated I was rich! It actually means my cars are old.
__________________
You can't enlighten the unconscious.
But you can hit'em upside the head a few times to make sure they are really out...
Keim is offline   Reply With Quote
Old 11-11-2014, 04:50 PM   #106
Thinks s/he gets paid by the post
Major Tom's Avatar
 
Join Date: Nov 2009
Location: SF East Bay
Posts: 3,130
Quote:
Originally Posted by Keim View Post
.018% total net worth, .027% invested net worth. I wish this indicated I was rich! It actually means my cars are old.
If you owned a Lamborghini or a DeLorean, we'd be impressed with these percentages
__________________
ER, for all intents and purposes. Part-time income <5% of annual expenditure.
Major Tom is offline   Reply With Quote
Old 11-11-2014, 05:15 PM   #107
Full time employment: Posting here.
Delawaredave5's Avatar
 
Join Date: Dec 2004
Posts: 606
Fun thread. We're in the "few percent" group like many here. Met a guy other day bragging about the $50,000 he spent on a pickup truck. I didn't know that was possible.

Hell, I added up all the cars I bought for myself (not counting wife) over the last 30+ years and the total was less than $50k - most I ever spent for my car was around $8,000.
__________________
Delawaredave5 is offline   Reply With Quote
Old 11-11-2014, 05:22 PM   #108
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
REWahoo's Avatar
 
Join Date: Jun 2002
Location: Texas Hill Country
Posts: 42,150
Quote:
Originally Posted by Delawaredave5 View Post
Met a guy other day bragging about the $50,000 he spent on a pickup truck. I didn't know that was possible.
Piece of cake...
Attached Images
File Type: jpg F250.JPG (47.4 KB, 13 views)
__________________
Numbers is hard

When I hit 70, it hit back

Retired in 2005 at age 58, no pension
REWahoo is offline   Reply With Quote
Old 11-11-2014, 05:26 PM   #109
Moderator
Walt34's Avatar
 
Join Date: Dec 2007
Location: Eastern WV Panhandle
Posts: 16,579
Quote:
Originally Posted by Delawaredave5 View Post
Fun thread. We're in the "few percent" group like many here. Met a guy other day bragging about the $50,000 he spent on a pickup truck. I didn't know that was possible.
Quote:
Originally Posted by REWahoo View Post
Piece of cake...
REWahoo is being conservative. It is not a strain to get to $70k or more.
__________________
I heard the call to do nothing. So I answered it.
Walt34 is offline   Reply With Quote
Old 11-12-2014, 11:07 AM   #110
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
RonBoyd's Avatar
 
Join Date: Dec 2007
Location: Denver, Colorado
Posts: 5,281
Quote:
Originally Posted by FlyBoy5 View Post
Of course, the FnI guy wanted to add in some crap (warranty, undercoat, all the scams)...
And why would he bring these "scams" up simply because you mentioned financing? What is the relationship you are connecting between the two (scams/financing)? Does one enhance the other in some manner?
__________________
"It's tough to make predictions, especially when it involves the future." ~Attributed to many
"In theory, there is no difference between theory and practice. But, in practice, there is." ~(perhaps by) Yogi Berra
"Those who have knowledge, don't predict. Those who predict, don't have knowledge."~ Lau tzu
RonBoyd is online now   Reply With Quote
Old 11-12-2014, 11:53 AM   #111
Recycles dryer sheets
 
Join Date: Mar 2011
Location: Dallas
Posts: 458
When we bought it 12 years ago...
.1%

Now after depreciation...
.0035%
__________________
Surewhitey is online now   Reply With Quote
Old 11-12-2014, 12:24 PM   #112
Thinks s/he gets paid by the post
Sunset's Avatar
 
Join Date: Jul 2014
Location: Chicago
Posts: 4,749
I think the relationship between financing and scams is that there are many people who cannot do math and rack up debt without too much thought of the expense of it. So its very easy to up-sell a few thousand extra dollars of stuff to someone on credit, compared to selling it to them from the cash in their pocket/bank account.

So the relationship is: credit -> easy sales , actual cash -> harder sales.
__________________
Sunset is offline   Reply With Quote
Old 11-12-2014, 12:29 PM   #113
Thinks s/he gets paid by the post
sengsational's Avatar
 
Join Date: Oct 2010
Posts: 3,849
Quote:
Originally Posted by RonBoyd View Post
And why would he bring these "scams" up simply because you mentioned financing? What is the relationship you are connecting between the two (scams/financing)? Does one enhance the other in some manner?
Scam might be too strong. How about "high margin add-ons".
__________________
sengsational is offline   Reply With Quote
Old 11-12-2014, 12:32 PM   #114
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: May 2004
Posts: 11,617
Quote:
Originally Posted by RonBoyd View Post
And why would he bring these "scams" up simply because you mentioned financing? What is the relationship you are connecting between the two (scams/financing)? Does one enhance the other in some manner?
It is possible that those who go to the dealer for financing (where it often costs more) and who care primarily about the monthly payment (rather than more accurate measures of a vehicle's cost) might not be the customers who are interested in/capable of discerning the very best value for their dollar. To the degree such buyers have already identified themselves by walking up to the dealer's financing desk, it makes good sense to hit them hard with the scams upsell opportunities.
__________________
"Freedom begins when you tell Mrs. Grundy to go fly a kite." - R. Heinlein
samclem is online now   Reply With Quote
Old 11-12-2014, 12:40 PM   #115
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
RonBoyd's Avatar
 
Join Date: Dec 2007
Location: Denver, Colorado
Posts: 5,281
Quote:
Originally Posted by Sunset View Post
So the relationship is: credit -> easy sales , actual cash -> harder sales.
Exactly my point -- they are separate issues. It doesn't, however, show that the cost of not financing (or financing at 0%) is somehow hidden in the final price of the vehicle.

I guess I could better explain it by saying that in this marketplace -- lots of dealership competition and Internet shopping, for instance -- it would be difficult for an individual dealer to outbid another one with "hidden" fees. Even if the dealership carried the paper and was dependent upon that income as part of its business model, I don't see how they could add the expected interest on to the sale price of the vehicle, if the customer paid cash (or 0% interest), without the customer walking. (Yes, I know I am speaking of a "savvy" shopper and that there are a lot of folks with extra money to throw around by not "shopping.")
__________________
"It's tough to make predictions, especially when it involves the future." ~Attributed to many
"In theory, there is no difference between theory and practice. But, in practice, there is." ~(perhaps by) Yogi Berra
"Those who have knowledge, don't predict. Those who predict, don't have knowledge."~ Lau tzu
RonBoyd is online now   Reply With Quote
Old 11-12-2014, 02:21 PM   #116
Thinks s/he gets paid by the post
Keim's Avatar
 
Join Date: Feb 2007
Location: Moscow
Posts: 1,128
Quote:
Originally Posted by Major Tom View Post
If you owned a Lamborghini or a DeLorean, we'd be impressed with these percentages
Yes indeed! Sounds much less impressive when you know my cars are:
2004 Honda CRv
1993 Ford F150xlt
1976 Chevrolet Monte Carlo
__________________
You can't enlighten the unconscious.
But you can hit'em upside the head a few times to make sure they are really out...
Keim is offline   Reply With Quote
Old 11-12-2014, 04:44 PM   #117
Recycles dryer sheets
 
Join Date: Sep 2014
Posts: 51
My car is cute, fast, and 12 years old. It represents .003 of my net worth.
__________________
KrissK is offline   Reply With Quote
Old 11-12-2014, 04:51 PM   #118
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
RonBoyd's Avatar
 
Join Date: Dec 2007
Location: Denver, Colorado
Posts: 5,281
So as this thread crawls to an end, does anyone still believe that a rapidly depreciating asset (a vehicle in this case) belongs in the Net Worth computation?

(Not a facetious question. I am truly curious.)

An after thought: Wouldn't that make an interesting Poll?
__________________
"It's tough to make predictions, especially when it involves the future." ~Attributed to many
"In theory, there is no difference between theory and practice. But, in practice, there is." ~(perhaps by) Yogi Berra
"Those who have knowledge, don't predict. Those who predict, don't have knowledge."~ Lau tzu
RonBoyd is online now   Reply With Quote
Old 11-12-2014, 05:58 PM   #119
Moderator Emeritus
aja8888's Avatar
 
Join Date: Apr 2011
Location: The Woodlands, TX
Posts: 7,186
Quote:
Originally Posted by RonBoyd View Post
So as this thread crawls to an end, does anyone still believe that a rapidly depreciating asset (a vehicle in this case) belongs in the Net Worth computation?

(Not a facetious question. I am truly curious.)

An after thought: Wouldn't that make an interesting Poll?
If you were to drop dead tomorrow and had cars that could be sold for cash, I believe they (the value) would be counted in your ending net worth.
__________________
......."Everybody has a plan until they get punched in the face." -- philosopher Mike Tyson.
aja8888 is offline   Reply With Quote
Old 11-12-2014, 06:06 PM   #120
Thinks s/he gets paid by the post
 
Join Date: Feb 2014
Posts: 1,475
Quote:
Originally Posted by Sea Kayaker View Post
Too insignifcant a number to even bother doing the math.

+1


Sent from my iPhone using Early Retirement Forum
__________________

__________________
EastWest Gal is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
How much of your net worth does your home represent? W2R FIRE and Money 151 11-12-2014 03:04 PM
How do you represent cash in firecalc? intransition FIRECalc support 0 02-21-2014 10:08 PM
How much does car color play a part in your car purchase decision? easysurfer Other topics 37 05-14-2011 10:10 AM
What do the stars represent under a person's name Alan Forum Admin 9 07-13-2008 09:07 PM

 

 
All times are GMT -6. The time now is 09:21 AM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.