YNAB You Need A Budget

[ihaveworms]

I graduated in May 2011 and got a job in June as a software engineer. I did well in high school and as a result had scholarships pay my way through college and do not have any student loans. I am very grateful of that when I hear about the tens of thousands people rack up in debt for just going to school. Anyway, I have been saving every penny I have gotten for a new sports car. I think I am going to get one in June and it will be my first big purchase. What were you all's first big toys?

[Luna]

Shiny new things are nice...for a while. Only you can determine your priorities and needs vs. wants. If you plan for it and your budget can handle it, then I see know problem with it. Just make sure you are being honest with yourself about how much you can afford and what the opportunity costs of buying the car are.

My first big purchase was a house. I've owned two new cars, but both were modest economy cars. I've also owned several used cars.

[blackdiamond]

I graduated in 2001 with an engineering degree and also purchased a used (nearly new) sports (2000 SS Camaro) car fairly quickly. At that time I drove an 85 Toyota truck that became my off road toy. I loved owning the car, but when I got married I only wanted to own two cars and my wife wasn't intersted in driving either one of my cars and I had no interest in her car. Our compromise was to give her car to her parents and we traded the sport car in on a new Toyota Tundra. She always wanted to drive a truck so she was excited and I kept driving my off road toy. When we started thinking about starting a family we knew that the Tundra wasn't the way to go so we started looking at more practical cars and purchased a Mazdaspeed 3 (I don't remember the year but it was the first year they came out). It was both a practical hatchback and a rocket ship on the road. The downside was that your big dog grew BIGGER and outgrew the car (I wouldn't let him in the car anyways) and refused to jump into my 89 4Runner that replaced my 85 truck (also a family upgrade). The Mazdaspeed 3 was traded on a used Toyota Sequoia that was the same year as the new Tundra. We're still driving the Sequoia and 4Runner and now have an 8 month old son. My wife still misses the Mazda and if I had a place to park a 3rd car (other than outside in the rain) I'd probably get something that got better fuel mileage.

Is there any point to my ramble you ask? Maybe, it was intended to give you a window into your potential future. If you're happy with the chance of picking up a small sports car and only keeping it a few years or can afford to have it as a 3rd toy when and if a family arrives, then go for it. You might consider getting something more practical that still has excellent performance. These can range from a Mazdaspeed 3 to a CTS-V depending on your budget. I have not regretted any of my auto purchases because they were all done as part of a plan, but the plan seemed to change quite a bit which resulted in a lot of wasted money along the way. We're currently car payment free and enjoying it greatly.

What kind of car are you wanting? Will you take me for a ride in it? A fried of mine recently purchased a BMW 135i and had the chip installed for more power. What a wondeful car! It just needs four doors and it would be perfect. He saved for nearly 10 years before getting his dream car, but he was married in college and started a family soon after. He didn't have any single and rich days!

[ihaveworms]

I am looking at getting a 2013 Genesis Coupe with the 3.8L. I am going to keep my current car as a secondary/backup (2000 grand am). I should have around a 50% down payment by the time I get the car in June.

[Luna]

Good for you for saving up a big chunk. Someday I'll get that Audi S4 softtop, but not anytime soon. When I was in college I had the opportunity to buy a very used Alfa Romeo, but I didn't have the money and it would have been a money pit anyways. But it was a beauty and a once-in-a-lifetime kind of car (because once you have one 1970s Alfa Romeo, you'd never go through that again no matter how pretty it was!). Enjoy it!

[Budget_Ninja]

I suck.

I bought a new Harley, kept it for a few years, sold it then bought a new BMW motorcycle. I consider these mistakes - although I saved for the Harley and paid cash, I ended up in debt to get the BMW. I like to get new bikes and I am picky (I have an escalating sense of what I need from my toys the longer I research them) but the reality is I wasted a bunch of money on these bikes that could have been better used and appreciated elsewhere. I am currently in the boat that views expensive toys as a drain on funds, once I get my finances to match my priorities I am sure I'll be toy shopping again.