How much of your net worth does your car represent?

[eta2020]

Quote:

Originally Posted by Rick_Head For those of you who question the % number, I'll let you calculate them (although I don't consider vehicles as assets). I'm only including daily drivers, not my hobby stuff. NW = ~5M Cars values = ~ $50K Cars are 2012 Ford Escape, 2005 Mustang GT and 2007 Ranger.

I don't know what you wrote.......With minor in Mathematics and few glasses of red wine looks to me like 1%

[ziggy29]

Less than 2% (both of our cars combined), and since I don't include a depreciating, consumable asset as part of my net worth anyway, it's mostly a moot point.

[WhoDaresWins]

I don't count my 2015 vehicle as part of my NW, either, but it would be about 1% if I did.

[dunkelblau]

Exactly 0.1% when I drove it off the dealer's lot two years ago, and a bit less now. With respect to home "I rent".

[Billk400]

2006 Honda Element; 190K miles and still running just fine. I calculated its about .003% of NW. I pay cash for a year or two old used car with low mileage and drive it until its no longer economical to drive due to repairs.

[Gumby]

Quote:

Originally Posted by Billk400 2006 Honda Element; 190K miles and still running just fine. I calculated its about .003% of NW. I pay cash for a year or two old used car with low mileage and drive it until its no longer economical to drive due to repairs.

According to Kelley Blue Book, your 2006 Honda Element, most basic model, with 190k miles in good condition (not very good or excellent) is worth $4568. If it is .003% (=.00003) of your net worth, then your net worth must be $4568/.00003 = $15.23 million. Very well done!!

[brett]

Our car, 2006 Accord, is a depreciable asset. It's value continues to decline and our NW continues to increase. It does not even figure into our NW.

I worked with several people who had to have new cars every three years. And expensive ones at that. It was part of the job/status for them and often for their spouses.

They are still working.


We are FIRE'd-doing what we want and travelling where we want.

[Billk400]

Quote:

Originally Posted by Gumby According to Kelley Blue Book, your 2006 Honda Element, most basic model, with 190k miles in good condition (not very good or excellent) is worth $4568. If it is .003% (=.00003) of your net worth, then your net worth must be $4568/.00003 = $15.23 million. Very well done!!

Opps; forgot to multiply by 100...its actually .3%. Either way I don't think of cars as any more than a tool for transportation and wouldn't consider it part of my net worth anyway.

[Gumby]

Quote:

Originally Posted by Billk400 . . . I don't think of cars as any more than a tool for transportation and wouldn't consider it part of my net worth anyway.

Me neither, although I do have one car that I drive just for fun on a sunny Saturday.

[jon-nyc]

Quote:

Originally Posted by Gumby According to Kelley Blue Book, your 2006 Honda Element, most basic model, with 190k miles in good condition (not very good or excellent) is worth $4568. If it is .003% (=.00003) of your net worth, then your net worth must be $4568/.00003 = $15.23 million. Very well done!!

You're off by a factor of ten - it would be 152.3 million.

[Meadbh]

I got a good illustration of depreciation this week. Honda sent me a letter advertising trade-in incentives for my 2012 CRV so I went to check it out. The best incentives were on the 2014 models that they want to unload. I could switch to an equivalent new 2014 CRV for $7700, which means that the average annual depreciation so far has been less than $4000.

My car loan will be paid off next July. If the difference had been $5000 or less, I might have made the switch. But as my primary goal is to eliminate consumer debt, I am keeping my vehicle. I told them I'd be back in 20 years.

[Major Tom]

I just received an e-mail notification for the most recent post in this thread. It's early, the first coffee is still brewing, and my brain wasn't quite in gear. I thought the thread read, "How much of your net worth does your CAT represent?" and was already thinking of my reply, before the mental haze lifted

[Gumby]

My cats are priceless to me, but I doubt that I could sell them to anyone, so they don't go in my net worth.

[Gumby]

Quote:

Originally Posted by jon-nyc You're off by a factor of ten - it would be 152.3 million.

You are quite correct.

[Meadbh]

Quote:

Originally Posted by Major Tom I just received an e-mail notification for the most recent post in this thread. It's early, the first coffee is still brewing, and my brain wasn't quite in gear. I thought the thread read, "How much of your net worth does your CAT represent?" and was already thinking of my reply, before the mental haze lifted

Hmmm....I wonder what is the depreciation on cats?

[aja8888]

Quote:

Originally Posted by Meadbh Hmmm....I wonder what is the depreciation on cats?

You can get cats and kittens around here for free. Right now, my Son-In-Law has 5 or 6 10 week old kittens with shots and worming completed that he can't give away. (anybody want one?)

So depreciating $0 acquisition cost is not realistic, therefore your cats are an expense only as related to room, board, food, medical, etc.

[Mo Money]

~.0075 of my NW.

[albundyz]

our 2 cars ( a 2011 camry and a 1988 camaro convertible) are worth about $14000 which is 1.4 % of our net worth

[Amethyst]

OK, I'm a nerdy word person and even I know 1% = 1/100 of something. How do some of you calculate your SWR' s without waking up one day and "OMG, I tried to withdraw 3% of net worth and only got a check for $35?!!!!

Either that, or wine *may* have been involved in certain posts...

Amethyst

[bld999]

Quote:

Originally Posted by aja8888 You can get cats and kittens around here for free. Right now, my Son-In-Law has 5 or 6 10 week old kittens with shots and worming completed that he can't give away. (anybody want one?) So depreciating $0 acquisition cost is not realistic, therefore your cats are an expense only as related to room, board, food, medical, etc.

It's the fur cleanup costs that kill you. Worse than harvesting alfalfa.