What percentage of your net worth is your car?
07-25-2007, 10:16 AM
#11
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Originally Posted by aklucsarits,Jul 25 2007, 11:47 AM
When you calculate this, do you use the current market value of your car? Or do you use the current net equity you have left in your car?
In other words, if I have a car that's worth $10,000 on Autotrader, but I still owe the bank $8000 on an auto loan on it, then that car would only represent $2000 of my net worth. Whereas if I owned the car outright with no loan, the car represents $10,000 of my net worth.
Or am I over-analyzing the question?
Andrew
In other words, if I have a car that's worth $10,000 on Autotrader, but I still owe the bank $8000 on an auto loan on it, then that car would only represent $2000 of my net worth. Whereas if I owned the car outright with no loan, the car represents $10,000 of my net worth.
Or am I over-analyzing the question?
Andrew
07-25-2007, 06:53 PM
#12
At 58 I am older than many here so I have to remember way back for a car to be much of my worth... maybe in my twenties but all my cars were very used (cheap) back then. My S2000 is less than 1% of my current net... we don't spend much on cars now that we are retired.. my 2000 S2000 is our newer car.
07-26-2007, 02:32 PM
#13
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Originally Posted by clawhammer,Jul 25 2007, 12:30 PM
If you think that's what this is about, then please don't respond.
I was just curious to see how I was doing with others in my allocation of my net worth. Looks like not too good and I will work on that in the next year.
I was just curious to see how I was doing with others in my allocation of my net worth. Looks like not too good and I will work on that in the next year.
I only wanted to point out that I have a large variable in my worth.
I don't think my post merited a snippy reply.
07-26-2007, 05:01 PM
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I'll group my cars and motorcycles together for 25% total.
I do not recommend anyone else to be more than half of that, but I used to sell cars as a side job, still do occasionally, and usually break even after taxes or make about a grand after using the car/bike 6-12 months.
To be fair, I am extremely selective and disciplined about which vehicles I buy and I have never* financed a car or any other depreciating asset.
IMO there are several used cars you could buy and enjoy that are not the same "financial plane" as say an s2000.
A couple off the top of my head.. a 91 NSX or 95 Acura Legend coupe to keep it honda/acura.
I do not recommend anyone else to be more than half of that, but I used to sell cars as a side job, still do occasionally, and usually break even after taxes or make about a grand after using the car/bike 6-12 months.
To be fair, I am extremely selective and disciplined about which vehicles I buy and I have never* financed a car or any other depreciating asset.
IMO there are several used cars you could buy and enjoy that are not the same "financial plane" as say an s2000.
A couple off the top of my head.. a 91 NSX or 95 Acura Legend coupe to keep it honda/acura.
07-26-2007, 05:53 PM
#15
I bet well over half the people in this thread don't even know how to calculate net worth.
07-26-2007, 06:00 PM
#16
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Originally Posted by QUIKAG,Jul 26 2007, 08:53 PM
I bet well over half the people in this thread don't even know how to calculate net worth.
07-26-2007, 06:12 PM
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I bet over half fundamentally understand net worth. A smaller % might be able to calculate it exactly-including all appropriate taxes, how to accurately judge their debt, and value large assets like their home and car at truly current prices.
I could get mine within 1-2%.
I could get mine within 1-2%.
07-27-2007, 11:45 AM
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Originally Posted by DaveOnLI,Jul 26 2007, 02:32 PM
I understood perfectly what you were looking for and supplied that.
I only wanted to point out that I have a large variable in my worth.
I don't think my post merited a snippy reply.
I only wanted to point out that I have a large variable in my worth.
I don't think my post merited a snippy reply.
I think he misunderstood what you meant by "crap shoot"My car is a lease, so I don't actually "own" it, and the depreciating current value vs the loan on it is probably very similar in dollar amount. I would say it is <20% of my worth if added as a $25k item. But I probably only have a few grand in "equity" in it because it is worth more than the declining loan balance.
07-27-2007, 12:14 PM
#20
I too lease. And that lease expires in a week. So, as a car-less person, it represents 0%.
I have a 335i on order that will be purchased... And that will represent about 20% of my net worth. Too high.
I have a 335i on order that will be purchased... And that will represent about 20% of my net worth. Too high.