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11-10-2014, 11:41 AM
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#101
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Thinks s/he gets paid by the post
Join Date: Oct 2008
Posts: 1,601
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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!
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11-11-2014, 12:49 PM
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#102
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Moderator
Join Date: Oct 2010
Posts: 9,936
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 Quote:
Originally Posted by Sunset
0% , as I don't include it in NW, like most folks.
Cars are just an expense like electricity.
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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!
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11-11-2014, 01:24 PM
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#103
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Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Join Date: Jul 2014
Location: Spending the Kids Inheritance and living in Chicago
Posts: 15,138
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Quote:
Originally Posted by sengsational
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!
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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. 
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11-11-2014, 01:45 PM
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#104
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Dryer sheet wannabe
Join Date: May 2014
Location: Far South Chicagoland
Posts: 22
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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.
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11-11-2014, 03:42 PM
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#105
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Thinks s/he gets paid by the post
Join Date: Feb 2007
Location: Moscow
Posts: 1,534
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.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...
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11-11-2014, 03:50 PM
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#106
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Thinks s/he gets paid by the post
Join Date: Nov 2009
Location: SF East Bay
Posts: 4,125
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Quote:
Originally Posted by Keim
.018% total net worth, .027% invested net worth. I wish this indicated I was rich! It actually means my cars are old.
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If you owned a Lamborghini or a DeLorean, we'd be impressed with these percentages 
__________________
Contentedly ER, with 3 furry friends (now, sadly, 1).
Planning my escape to the wide open spaces in my campervan (with my remaining kitty, of course!)
On a mission to become the world's second most boring man.
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11-11-2014, 04:15 PM
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#107
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Full time employment: Posting here.
Join Date: Dec 2004
Posts: 692
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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.
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11-11-2014, 04:22 PM
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#108
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Jun 2002
Location: Texas: No Country for Old Men
Posts: 49,402
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Quote:
Originally Posted by Delawaredave5
Met a guy other day bragging about the $50,000 he spent on a pickup truck. I didn't know that was possible.
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Piece of cake...
__________________
Numbers is hard
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11-11-2014, 04:26 PM
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#109
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Moderator
Join Date: Dec 2007
Location: Eastern WV Panhandle
Posts: 24,378
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Quote:
Originally Posted by Delawaredave5
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.
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Quote:
Originally Posted by REWahoo
Piece of cake...
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REWahoo is being conservative. It is not a strain to get to $70k or more.
__________________
When I was a kid I wanted to be older. This is not what I expected.
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11-12-2014, 10:07 AM
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#110
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Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Join Date: Dec 2007
Location: Denver, Colorado
Posts: 6,211
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Quote:
Originally Posted by FlyBoy5
Of course, the FnI guy wanted to add in some crap (warranty, undercoat, all the scams)...
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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
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11-12-2014, 10:53 AM
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#111
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Thinks s/he gets paid by the post
Join Date: Mar 2011
Location: North TX
Posts: 1,290
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When we bought it 12 years ago...
.1%
Now after depreciation...
.0035%
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11-12-2014, 11:24 AM
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#112
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Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Join Date: Jul 2014
Location: Spending the Kids Inheritance and living in Chicago
Posts: 15,138
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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.
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11-12-2014, 11:29 AM
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#113
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Moderator
Join Date: Oct 2010
Posts: 9,936
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Quote:
Originally Posted by RonBoyd
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?
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Scam might be too strong. How about "high margin add-ons".
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11-12-2014, 11:32 AM
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#114
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Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Join Date: May 2004
Location: SW Ohio
Posts: 14,404
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Quote:
Originally Posted by RonBoyd
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?
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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.
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11-12-2014, 11:40 AM
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#115
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Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Join Date: Dec 2007
Location: Denver, Colorado
Posts: 6,211
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Quote:
Originally Posted by Sunset
So the relationship is: credit -> easy sales , actual cash -> harder sales.
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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
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11-12-2014, 01:21 PM
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#116
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Thinks s/he gets paid by the post
Join Date: Feb 2007
Location: Moscow
Posts: 1,534
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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...
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11-12-2014, 03:44 PM
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#117
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Recycles dryer sheets
Join Date: Sep 2014
Posts: 62
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My car is cute, fast, and 12 years old. It represents .003 of my net worth.
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11-12-2014, 03:51 PM
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#118
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Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Join Date: Dec 2007
Location: Denver, Colorado
Posts: 6,211
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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
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11-12-2014, 04:58 PM
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#119
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Moderator Emeritus
Join Date: Apr 2011
Location: The Woodlands, TX
Posts: 16,893
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Quote:
Originally Posted by RonBoyd
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?
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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.
__________________
Now a widower and wondering what the rest of my life has in store for me?
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11-12-2014, 05:06 PM
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#120
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Thinks s/he gets paid by the post
Join Date: Feb 2014
Location: South central PA
Posts: 3,217
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Quote:
Originally Posted by Sea Kayaker
Too insignifcant a number to even bother doing the math.
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+1
Sent from my iPhone using Early Retirement Forum
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