Do you think... - Camaro5 Chevy Camaro Forum / Camaro ZL1, SS and V6 Forums

knitetrain05 · 01-30-2014, 08:03 AM

Spending 61% of your yearly income is too much spent on a car???

KEEP RT · 01-30-2014, 08:08 AM

yes

PalmerGA · 01-30-2014, 08:09 AM

Not if it's a one-time expense (not a 5-6 year loan with an annual cost of 61%) and you can finish the year on the remaining 39%

gajagfan · 01-30-2014, 08:09 AM

It certainly would be for me, unless you are at an age where all other major bills (like mortgages and retirement investments) are covered.

2012-1822 · 01-30-2014, 08:10 AM

Quote:

Originally Posted by KEEP RT

yes

That's probably the simplest answer.

Need way more details, which I don't want, because usually people that come here looking for financial advice already know the answer that they don't want to hear and are looking for a way to justify a bad decision.

That being stated, do what feels good. You only live once.

StoutSnout · 01-30-2014, 08:49 AM

Depends on a lot of factors, but in general, that's too much. For reference, if you were buying a house, the monthly mortgage (including tax and insurance) + debt (car payments) should not exceed 38% of you income.

tmcclint · 01-30-2014, 08:59 AM

That seems like a lot to put towards a car. Problem is that if your situation were to change (loss of job, pregnancy, etc) you might have to take hit to improve your situation. As long as you're talking about the monthly payments totaled against your salary, i would hold off. Now if you make $100k/year and are financing a $61k car, then i'd say you're okay as long as you aren't nose deep in debt. Again, we don't have all facts, only what you stated.

Shift_Rejected · 01-30-2014, 09:03 AM

20% is the reccomended max. Though, I'm sure many of us don't live by that.

Me, I'm at 13%.

61% is pretty high

Quote:

Originally Posted by knitetrain05

Spending 61% of your yearly income is too much spent on a car???

ron10 · 01-30-2014, 09:08 AM

if the car is the only expense you have it is ok.

Sir Nuke · 01-30-2014, 09:30 AM

WITH OUT A DOUBT.

jd10013 · 01-30-2014, 09:33 AM

if you mean your monthly payment is 60% of what you make then yes. if you mean you paid cash, but that amount was 60% of what you make a year then no. but paying cash when you can borrow money at 0-1.9% easily is pretty shortsighted. anyhow, with so much money tied up in your car buying a home, or even qualifying for a CC will be next to impossible.

Buffman · 01-30-2014, 09:53 AM

DRKS1D3 · 01-30-2014, 10:18 AM

If you have to ask...you ALREADY know the answer. Do yourself a favor, save a lot of headaches and worrying about money. Find a cheaper car!

Mannsiam · 01-30-2014, 10:20 AM

I say thats way to much. Doesnt leave much wiggle room for any emergencies. I wouldnt go over 21-23% for a vehicle. I have 3 and all together its 25% of my income (not including what my wife makes).

01-30-2014, 08:03 AM	#1
knitetrain05 Account Suspended Drives: 2012 Camaro SS 45th Anniversary Edi Join Date: Nov 2011 Location: Rochester, New York Posts: 523 View My Garage	Do you think... Spending 61% of your yearly income is too much spent on a car???

01-30-2014, 08:08 AM	#2
KEEP RT Wonderfully Awful Idea Drives: 2010 2SS/RS Join Date: Aug 2010 Location: Battle Ground, WA Posts: 1,456 View My Garage	yes __________________

01-30-2014, 08:09 AM	#3
PalmerGA Drives: 2013 SIM 1SS/RS L99 Join Date: May 2012 Location: Southwest GA Posts: 8,755 View My Garage	Not if it's a one-time expense (not a 5-6 year loan with an annual cost of 61%) and you can finish the year on the remaining 39% __________________ 2013 1SS/RS Coupe L99, Stainless Power Works LT Headers, SCT X4 Custom Tune from RDP, CAI Inc. Air Intake w/ Apex Scoop, VMAX CNC Ported Throttle Body, Solo Axle-Back Exhaust w/ J-pipes, Apex Catch Can, Husky Splash Guards, Heritage Grille, 3D Carbon Rear Spoiler, Oracle Chrome Turn Signal Bulbs, GM Reverse Light Trim Billets, Gorilla Black Locking Lugs, Emblem Pros Retro SS Badges/Custom Retro SS Kickplates/Under-hood Bowtie, 35% window Tint, Nitto Motivo Tires (6-8-18)

01-30-2014, 08:59 AM	#7
tmcclint Drives: 2014 AGM 2SS/RS 1LE Join Date: Aug 2013 Location: Colorado Springs, CO Posts: 228 View My Garage	That seems like a lot to put towards a car. Problem is that if your situation were to change (loss of job, pregnancy, etc) you might have to take hit to improve your situation. As long as you're talking about the monthly payments totaled against your salary, i would hold off. Now if you make $100k/year and are financing a $61k car, then i'd say you're okay as long as you aren't nose deep in debt. Again, we don't have all facts, only what you stated. __________________ 2014 2SS RS 1LE

01-30-2014, 09:30 AM	#10
Sir Nuke Master of All Things Drives: '20 Corvette Stingray Join Date: Jul 2009 Location: Southeast of Houston, Texas Posts: 22,330 View My Garage	WITH OUT A DOUBT. __________________

01-30-2014, 08:09 AM	#4
gajagfan Drives: 2013 1SS 1LE Black - Std Exhaust Join Date: Mar 2013 Location: Brunswick, GA Posts: 3,622 View My Garage	It certainly would be for me, unless you are at an age where all other major bills (like mortgages and retirement investments) are covered.

01-30-2014, 08:49 AM	#6
StoutSnout Drives: 2017 Z06 / 2016 Challenger Hellcat Join Date: Jun 2012 Location: WA Posts: 84	Depends on a lot of factors, but in general, that's too much. For reference, if you were buying a house, the monthly mortgage (including tax and insurance) + debt (car payments) should not exceed 38% of you income.

01-30-2014, 09:08 AM	#9
ron10 Drives: 2010 2SS IOM L99 Join Date: Jan 2010 Location: LOUISVILLE,KY.. Posts: 7,545	if the car is the only expense you have it is ok.

01-30-2014, 09:33 AM	#11
jd10013 Drives: 2012 camaro Join Date: Feb 2012 Location: central VA Posts: 3,196	if you mean your monthly payment is 60% of what you make then yes. if you mean you paid cash, but that amount was 60% of what you make a year then no. but paying cash when you can borrow money at 0-1.9% easily is pretty shortsighted. anyhow, with so much money tied up in your car buying a home, or even qualifying for a CC will be next to impossible.

01-30-2014, 09:53 AM	#12
Buffman 1LE FTW Drives: 2014 Camaro 2SS/RS 1LE Recaros NPP Join Date: Sep 2013 Location: Mile High Posts: 448 View My Garage

01-30-2014, 10:18 AM	#13
DRKS1D3 Drives: '17 Corvette Grand Sport M7 Join Date: May 2012 Location: Pennsylvania Posts: 3,748	If you have to ask...you ALREADY know the answer. Do yourself a favor, save a lot of headaches and worrying about money. Find a cheaper car! __________________ MY RIDE: 2017 CORVETTE GRAND SPORT--TRIPLE BLACK, 7 SPEED MANUAL, VARARAM TCR-7 INTAKE, BORLA CATLESS X-PIPE, CARBON FIBER STAGE 2 AERO, MGW SHORT-THROW SHIFTER SOLD2011 TRIPLE BLACK SS CONVERTIBLE--6 SPEED MANUAL, MANY MODS, 455 RWHP/435 RWTQ DAD'S RIDE: 2012 ZL1 #1866--BLACK, 6 SPEED MANUAL, EXPOSED CF HOOD, POLISHED WHEELS, SUNROOF, ROTO-FAB INTAKE "Silly Americans, taking from the rich and giving to the poor only works in fairy tales. Success is earned here!".

01-30-2014, 10:20 AM	#14
Mannsiam Drives: 2014 Camaro 1SS/RS 1LE Join Date: Oct 2013 Location: Wisconsin Posts: 441 View My Garage	I say thats way to much. Doesnt leave much wiggle room for any emergencies. I wouldnt go over 21-23% for a vehicle. I have 3 and all together its 25% of my income (not including what my wife makes). __________________ Yeah Im a Chevy Guy. 11 Silverado, 12 Malibu, 14 Camaro 1LE