I bought two cars in the last 14 days! Despite that, my NetWorth on NetWorth share increase 55K this month.
So lets break it down:
- Car #1 – My wife leased a car 3 years ago. She has 15K miles on it. It’s a very nice luxury SUV (Audi Q7). Carmax said 41K to buy it, I purchased it for 34.8K. About a 6K equity, and likely to drive it for 1-2 years more before trading it in.
- Car #2 – I bought a BMW money pit. It’s the car I wanted, and I didn’t make any concessions, except that I bought it used. I liked the 2022 better, I liked the 6 cylinder best with every imaginable option. I put 30K down plus a 12K trade leaving me with a loan. I took the 5 year loan with the likelihood of paying it off in 9 months. Stock market will drive some of that decision.
So additionally, I paid 6K+ in taxes this week. So I saw 34+30+6 = 70K move out of the accounts.
So lets look at the not so good part of this first. I’m not sure exactly where the metric peaked, but I recorded 867.4K , 541% at the start of the month. Put another way, a savings to debt ratio of over 5x. After the 70K outflow, that number went down to 792.6K, 453.5%.
So that doesn’t look great, and we are going to pay for the roof (20K) and take some vacations this year (10K or so).
Now despite all this the Network increased by 55K. So figure that. Own both cars that I will now start depreciating by 750 a month starting from an already depreciated 80K. Stocks, etc. It’s good to be in tech these days. I have about 95K of stocks set to vest in the last 2/3s of this year. Some bonuses that will likely cover all the other big purchases of this year. Feeling pretty good about all this.
Debt Sucks 