How do you beat the impulse of trading up when there is nothing wrong with your truck
05-01-2013, 10:51 PM
#41
Yeah I hear you man, I need some help too... I've got a paid off '06 Tundra, but those '13 FX4s are really, really tempting me. I've gotten so obsessed with it that my wife just said "shut up and buy the new truck already!". I've got all my finances in order and a good retirement account started, but it just kills me to make a decision that I know doesn't make the most financial sense. On the other hand, I also figure life is too short so sometimes you've gotta do what makes you happy! 
05-01-2013, 11:40 PM
#42
Buy it. Pay it off then keep it for at least 6 more years while banking/investing the same as the old payment. After a bit you'll have enough to pay cash for the next one and keep paying yourself that payment and from then on you pays cash! My last truck was 14 years old and still going strong when I got a deal I couldn't resist.
05-02-2013, 01:50 AM
#43
Senior Member
I can relate to this. Thanks state of California, for nothing.
05-02-2013, 05:44 AM
#44
Senior Member
Everyone suggesting that he (or anyone) just go ahead and buy the new truck realize that in a year or whenever the new bodystyle comes out we'll be discussing the same thing right?
It's what makes the forum interesting actually. I got my truck just so I could post in the 09+ section...
It's what makes the forum interesting actually. I got my truck just so I could post in the 09+ section...
05-02-2013, 07:51 PM
#45
Senior Member
You realize that at the end of the day, a vehicle needs to get you from A to B, and that's about it.
You pay for a vehicle worth 30 grand, by taking out a loan and using after tax money to make the payments. And you pay sales tax and interest on the loan.
A 30k car will cost you 33k round here, and 35K by the time you're done with payments. And it's worth 10-15 grand at the end of 5 years. And you paid for it with after tax money.
So you lost yourself 20 odd thousand, and the opportunity cost of having that money be able to grow in a retirement account, or other investment.
Not a way to get wealthy.
Buy something that fits your needs, and drive it for 10 years.
You pay for a vehicle worth 30 grand, by taking out a loan and using after tax money to make the payments. And you pay sales tax and interest on the loan.
A 30k car will cost you 33k round here, and 35K by the time you're done with payments. And it's worth 10-15 grand at the end of 5 years. And you paid for it with after tax money.
So you lost yourself 20 odd thousand, and the opportunity cost of having that money be able to grow in a retirement account, or other investment.
Not a way to get wealthy.
Buy something that fits your needs, and drive it for 10 years.
whats money worth if you cant spend it on (some) things you like?
i say trade it in... 45k miles, great time to trade the truck still high value, avoid tires and maintenance, get a warranty... its all about cash flow, not owning a depreciating asset...
but to the point about building wealth... thats why leasing is such a good option and is overlooked by people who dont understand it. steady stream of payments; if you save $150 a month versus buying you can put that into, say, your 401k. employer match, no taxes. You drive your new car and have a retirement account, and dont have unexpected repair bills that reduce your savings
