Can I buy a Tesla?
Re: Can I buy a Tesla?
If you need the car, and/or want to upgrade buy it... $400k gross, buying 50k car isn't too far fetched.
Re: Can I buy a Tesla?
I am in California too but it looks like my income would disqualify me from getting the state rebate. Would still get the $7500 fed credit though.
Re: Can I buy a Tesla?
I am in California too but it looks like my income would disqualify me from getting the state rebate. Would still get the $7500 fed credit though.
$150k for single or $300k for two. Get married?
SoCal Edison is also offering a credit towards installation of an EV charger. (I assume PG&E has something similar in NorCal.)
-
- Posts: 18502
- Joined: Tue Dec 31, 2013 6:05 am
- Location: 26 miles, 385 yards west of Copley Square
Re: Can I buy a Tesla?
This is the Boglehead dichotomy. Even a new Camry is wasteful. You must buy a 3 year old Camry so the depreciation is suffered by the first owner. Then keep that car for at least 10 years. To help pay for the car, maybe drive for Uber or get a second job.
-OR-
Buy a $100k brand new car because you can save the 2 minutes at the gas station.
Your choice. Either is acceptable.
-OR-
Buy a $100k brand new car because you can save the 2 minutes at the gas station.
Your choice. Either is acceptable.
Bogle: Smart Beta is stupid
-
- Posts: 89
- Joined: Thu Oct 19, 2017 2:44 pm
Re: Can I buy a Tesla?
Don't do it, Dr. OP. Tesla is a dumpster fire, the Model 3 is an overhyped embarrassment--I have multiple remorseful colleagues who can attest--and for half the price you can get a slightly-used something-else.
- TomatoTomahto
- Posts: 17158
- Joined: Mon Apr 11, 2011 1:48 pm
Re: Can I buy a Tesla?
Gosh, that’s surprising. I talk to many Tesla owners, and I have yet to meet ONE remorseful owner.HRPennypacker wrote: ↑Sat Jun 30, 2018 12:38 pm Don't do it, Dr. OP. Tesla is a dumpster fire, the Model 3 is an overhyped embarrassment--I have multiple remorseful colleagues who can attest--and for half the price you can get a slightly-used something-else.
I get the FI part but not the RE part of FIRE.
- DanMahowny
- Posts: 994
- Joined: Sun Aug 06, 2017 8:25 pm
Re: Can I buy a Tesla?
Would not buy a Tesla in this current environment. No way.
Big push by TSLA to increase production; meet promised production rate. NO doubt they are cutting corners in effort to meet expectations/promises. They are BUILDING CARS IN A TENT. Ridiculous.
Wait a year or so. We'll know more regarding Tesla's viability as a carmaker by then.
Ever seen the movie Gung Ho? Michael Keaton's character as Elon Musk, as they push to meet production targets.
Big push by TSLA to increase production; meet promised production rate. NO doubt they are cutting corners in effort to meet expectations/promises. They are BUILDING CARS IN A TENT. Ridiculous.
Wait a year or so. We'll know more regarding Tesla's viability as a carmaker by then.
Ever seen the movie Gung Ho? Michael Keaton's character as Elon Musk, as they push to meet production targets.
Funding secured
-
- Posts: 2684
- Joined: Sun Jan 08, 2017 11:25 am
Re: Can I buy a Tesla?
this is america you can do what you want.Cramerica wrote: ↑Fri Jun 29, 2018 2:29 pm I have a tesla model three reservation and I was recently invited to configure the car.
I wanted to know if bogleheads think it is wise given my financial situation.
My anticipated gross income for 2018 will be about 250,000. I anticipate gross income for 2019 will be about 400,000. My current net worth is just over $100,000.
The model three that I am planning on purchasing cost 55,000 with all the upgrades. That does not include taxes and other fees, but it is also before the $7500 tax credit and other potential gas savings.
Do I have your blessings to buy the car?
which includes humble brags.
enjoy.
-
- Posts: 408
- Joined: Wed Jun 01, 2011 10:08 pm
Re: Can I buy a Tesla?
You're a new doctor?
ABSOLUTELY DO NOT BUY IT!
You just started and have minimal savings.
Put as much money away as you possibly can, and live below your means.
Medicine is a question mark; yes, you will likely make 400k next year, but Medicare reimbursement can change drastically from year to year, and you can't assume you're going to do well for the next 30 years.
You do NOT need a Tesla. Drive a comfortable, reliable car, and SAVE everything you can.
Re: Can I buy a Tesla?
I like to use the rule of spending no more than 20% of your salary on a car. So, you make 250k a year now and 400k/yr moving forward. Which means you could afford to spend 50-80k on a car using that rule. Assuming this is a long term salary we're talking about, you can EASILY afford a 55k car. HOWEVER, I see that you're a new physician. Do you have a bunch of student loans? If so, you need to pay those off first and save cash for a car. Do not borrow money to buy a car. Come on over to the white coat investor and browse the many threads there about this subject.Cramerica wrote: ↑Fri Jun 29, 2018 2:29 pm I have a tesla model three reservation and I was recently invited to configure the car.
I wanted to know if bogleheads think it is wise given my financial situation.
My anticipated gross income for 2018 will be about 250,000. I anticipate gross income for 2019 will be about 400,000. My current net worth is just over $100,000.
The model three that I am planning on purchasing cost 55,000 with all the upgrades. That does not include taxes and other fees, but it is also before the $7500 tax credit and other potential gas savings.
Do I have your blessings to buy the car?
- TomatoTomahto
- Posts: 17158
- Joined: Mon Apr 11, 2011 1:48 pm
Re: Can I buy a Tesla?
Now that I think of it, using Livesoft’s Rule, you probably can’t afford it. Livesoft’s Rule states that you can spend as much on a car as your portfolio has made or lost in a day.
I get the FI part but not the RE part of FIRE.
-
- Posts: 408
- Joined: Wed Jun 01, 2011 10:08 pm
Re: Can I buy a Tesla?
TomatoTomahto wrote: ↑Sat Jun 30, 2018 4:36 pm Now that I think of it, using Livesoft’s Rule, you probably can’t afford it. Livesoft’s Rule states that you can spend as much on a car as your portfolio has made or lost in a day.
That might be a bit extreme.
Assuming you have a stable job, you should have a reliable, safe car. You may not be able to get this for $5k.
I don’t see an issue getting a Camry for $15k or so assuming you have a reliable salary.
-
- Posts: 870
- Joined: Mon Jul 31, 2017 10:43 am
Re: Can I buy a Tesla?
So the only people who should own cars are those that are financially independent, or just went through a stock market crash and lost half their savings. Owning a 60/40 full market portfolio means you can buy less car than someone 2X levered on a single stock, since it would have much smaller swings in price.TomatoTomahto wrote: ↑Sat Jun 30, 2018 4:36 pm Now that I think of it, using Livesoft’s Rule, you probably can’t afford it. Livesoft’s Rule states that you can spend as much on a car as your portfolio has made or lost in a day.
-
- Posts: 4902
- Joined: Sat Oct 25, 2014 3:23 pm
Re: Can I buy a Tesla?
Well, no. The argument was that the OP should not buy a Tesla because he couldn’t afford to spend time charging it (and even that may not have been entirely serious). The counter point was that this isn’t how EVs are used. But I don’t think anyone argued that you should buy a Tesla because it might actually save you time.Jack FFR1846 wrote: ↑Sat Jun 30, 2018 12:28 pm This is the Boglehead dichotomy. Even a new Camry is wasteful. You must buy a 3 year old Camry so the depreciation is suffered by the first owner. Then keep that car for at least 10 years. To help pay for the car, maybe drive for Uber or get a second job.
-OR-
Buy a $100k brand new car because you can save the 2 minutes at the gas station.
Your choice. Either is acceptable.
Re: Can I buy a Tesla?
I completely agree with your overall sentiment. My question is at what point is enough enough?cutterinnj wrote: ↑Sat Jun 30, 2018 4:21 pm
You're a new doctor?
ABSOLUTELY DO NOT BUY IT!
You just started and have minimal savings.
Put as much money away as you possibly can, and live below your means.
Medicine is a question mark; yes, you will likely make 400k next year, but Medicare reimbursement can change drastically from year to year, and you can't assume you're going to do well for the next 30 years.
You do NOT need a Tesla. Drive a comfortable, reliable car, and SAVE everything you can.
If I avoid all major expenses and I am hard-core about savings, I’ll probably become financially independent in about 5-7 years.
But to what end? Financial independence to allow me to quit medicine or just give me the option? Going part time? Extreme early retirement?
My thought process was that I am already ahead of the game financially so it wouldn’t be a big deal to buy a Tesla. I would still max out all available retirement vehicles and save more on top of that.
I also do not plan to buy a house for at least three years.
- TomatoTomahto
- Posts: 17158
- Joined: Mon Apr 11, 2011 1:48 pm
Re: Can I buy a Tesla?
It would not surprise me to discover that Livesoft’s Rule was somewhat tongue in cheek.ThriftyPhD wrote: ↑Sat Jun 30, 2018 6:18 pmSo the only people who should own cars are those that are financially independent, or just went through a stock market crash and lost half their savings. Owning a 60/40 full market portfolio means you can buy less car than someone 2X levered on a single stock, since it would have much smaller swings in price.TomatoTomahto wrote: ↑Sat Jun 30, 2018 4:36 pm Now that I think of it, using Livesoft’s Rule, you probably can’t afford it. Livesoft’s Rule states that you can spend as much on a car as your portfolio has made or lost in a day.
I get the FI part but not the RE part of FIRE.
Re: Can I buy a Tesla?
Re: Can I buy a Tesla?
I say just the opposite. Your billable time is too valuable to be wasted filling an archaic ICE vehicle when it could be charging while you sleep every night.TimeRunner wrote: ↑Fri Jun 29, 2018 2:58 pm Your billable time is too valuable to be hanging around a charging station. Gas and get to work!
-
- Posts: 89
- Joined: Thu Oct 19, 2017 2:44 pm
Re: Can I buy a Tesla?
They never express remorse publicly. But I hear them talking to each other, and they've let me into their circle of trust. The Model 3 is not that good, and while the Model S/X is considerably better, a lot of little things go wrong.TomatoTomahto wrote: ↑Sat Jun 30, 2018 12:47 pmGosh, that’s surprising. I talk to many Tesla owners, and I have yet to meet ONE remorseful owner.HRPennypacker wrote: ↑Sat Jun 30, 2018 12:38 pm Don't do it, Dr. OP. Tesla is a dumpster fire, the Model 3 is an overhyped embarrassment--I have multiple remorseful colleagues who can attest--and for half the price you can get a slightly-used something-else.
-
- Posts: 643
- Joined: Sat Aug 13, 2016 10:06 am
Re: Can I buy a Tesla?
Have there been any reputable surveys of Tesla owners’ satisfaction? Debating anecdotal evidence is silly.HRPennypacker wrote: ↑Sun Jul 01, 2018 1:00 amThey never express remorse publicly. But I hear them talking to each other, and they've let me into their circle of trust. The Model 3 is not that good, and while the Model S/X is considerably better, a lot of little things go wrong.TomatoTomahto wrote: ↑Sat Jun 30, 2018 12:47 pmGosh, that’s surprising. I talk to many Tesla owners, and I have yet to meet ONE remorseful owner.HRPennypacker wrote: ↑Sat Jun 30, 2018 12:38 pm Don't do it, Dr. OP. Tesla is a dumpster fire, the Model 3 is an overhyped embarrassment--I have multiple remorseful colleagues who can attest--and for half the price you can get a slightly-used something-else.
I haven’t looked at its methodology, but apparently Tesla was ranked first in the 2016 and 2017 Consumer Reports’ owner satisfaction survey.
http://www.businessinsider.com/tesla-is ... ts-2017-12
We’ll have a sense in a few years whether this changes in the Model 3 era.
Andy.
Re: Can I buy a Tesla?
No.
Get FI first (enough money to retire now), then think about what you want to splurge on.
Also, the Model 3 has many well known quality control issues:
The Biggest Problems Tesla Model 3 Owners Have Reported
Model 3 owners report quality problems. Do they care?
Tesla Model 3 Falls Short of a Consumer Reports Recommendation
Model 3 delivery issues continue even on late builds
Get FI first (enough money to retire now), then think about what you want to splurge on.
Also, the Model 3 has many well known quality control issues:
The Biggest Problems Tesla Model 3 Owners Have Reported
Model 3 owners report quality problems. Do they care?
Tesla Model 3 Falls Short of a Consumer Reports Recommendation
Model 3 delivery issues continue even on late builds
-
- Posts: 18502
- Joined: Tue Dec 31, 2013 6:05 am
- Location: 26 miles, 385 yards west of Copley Square
Re: Can I buy a Tesla?
Wait.
So do you need to figure in the cost of that 1000 foot extension cord from a 4th floor apartment to charge the thing?
Tesla owners seem to assume that everyone has a house with a garage where they can plop in a charging station.
Bogle: Smart Beta is stupid
-
- Posts: 870
- Joined: Mon Jul 31, 2017 10:43 am
Re: Can I buy a Tesla?
Huh. So with tens/hundreds of thousands of owners, how do you think they manage the conspiracy to only portray happy customers publicly while remaining bitterly remorseful internally? How did you gain entry into the cabal, given their incredible cohesiveness? I wonder why other car makers are unable to pull off the same trick. Plenty of Honda/Toyota/etc owners are allowed to complain about their cars. What prevents Tesla owners from doing so?HRPennypacker wrote: ↑Sun Jul 01, 2018 1:00 amThey never express remorse publicly. But I hear them talking to each other, and they've let me into their circle of trust. The Model 3 is not that good, and while the Model S/X is considerably better, a lot of little things go wrong.TomatoTomahto wrote: ↑Sat Jun 30, 2018 12:47 pmGosh, that’s surprising. I talk to many Tesla owners, and I have yet to meet ONE remorseful owner.HRPennypacker wrote: ↑Sat Jun 30, 2018 12:38 pm Don't do it, Dr. OP. Tesla is a dumpster fire, the Model 3 is an overhyped embarrassment--I have multiple remorseful colleagues who can attest--and for half the price you can get a slightly-used something-else.
- TomatoTomahto
- Posts: 17158
- Joined: Mon Apr 11, 2011 1:48 pm
Re: Can I buy a Tesla?
There’s a gang sign : we bang our heads with our left hand and give the middle finger in the direction of our car with the right hand. ETA: Gang sign, circle of trust, what’s the difference?ThriftyPhD wrote: ↑Sun Jul 01, 2018 9:00 amHuh. So with tens/hundreds of thousands of owners, how do you think they manage the conspiracy to only portray happy customers publicly while remaining bitterly remorseful internally? How did you gain entry into the cabal, given their incredible cohesiveness? I wonder why other car makers are unable to pull off the same trick. Plenty of Honda/Toyota/etc owners are allowed to complain about their cars. What prevents Tesla owners from doing so?HRPennypacker wrote: ↑Sun Jul 01, 2018 1:00 amThey never express remorse publicly. But I hear them talking to each other, and they've let me into their circle of trust. The Model 3 is not that good, and while the Model S/X is considerably better, a lot of little things go wrong.TomatoTomahto wrote: ↑Sat Jun 30, 2018 12:47 pmGosh, that’s surprising. I talk to many Tesla owners, and I have yet to meet ONE remorseful owner.HRPennypacker wrote: ↑Sat Jun 30, 2018 12:38 pm Don't do it, Dr. OP. Tesla is a dumpster fire, the Model 3 is an overhyped embarrassment--I have multiple remorseful colleagues who can attest--and for half the price you can get a slightly-used something-else.
[sarcasm]If we say anything positive publically, it’s because of cognitive dissonance.[/sarcasm]
I get the FI part but not the RE part of FIRE.
Re: Can I buy a Tesla?
OP, yes, you can buy a Tesla if you want.
Nothing much else to add. As a much more common man, I find this thread ridiculously funny.... no... absolutely not... get FI first... only on Bogleheads is someone about to make hundreds of thousands of dollars a year told they need to get their financial house in order before buying a decent car. It's not like the OP is making $50k/year and looking at a $50k car.
Nothing much else to add. As a much more common man, I find this thread ridiculously funny.... no... absolutely not... get FI first... only on Bogleheads is someone about to make hundreds of thousands of dollars a year told they need to get their financial house in order before buying a decent car. It's not like the OP is making $50k/year and looking at a $50k car.
Re: Can I buy a Tesla?
Why wouldnt you just plug it into the charger next to your parking spot? Maybe I am assuming too much but doesn't everyone.who thinks about an EV think about their charging situation?Jack FFR1846 wrote: ↑Sun Jul 01, 2018 7:52 amWait.
So do you need to figure in the cost of that 1000 foot extension cord from a 4th floor apartment to charge the thing?
Tesla owners seem to assume that everyone has a house with a garage where they can plop in a charging station.
Re: Can I buy a Tesla?
My job has multiple charging stations for free.
My apartment has a lot of nearby chargers.
My apartment has a lot of nearby chargers.
Re: Can I buy a Tesla?
Any interest in or plans for kids? I'm surprised this hasn't been mentioned already. If you have kids, your housing and childcare costs may be significant and limit your ability to save. Right now you have a nice window with a good salary, minimal expenses and no family obligations to get your financial house in order.
If you want kids, now is the time to button down and save. Frankly your NW is low for your age and status, and the future is uncertain. I would compromise and drive a fun but reliable $20k used luxury car for a few years. Very soon the halo around Tesla will fade, more cars will be available and, ironically, they will be better with the kinks having been worked out.
If you don't plan to have kids, FI is easy at your salary – go for it and enjoy.
If you want kids, now is the time to button down and save. Frankly your NW is low for your age and status, and the future is uncertain. I would compromise and drive a fun but reliable $20k used luxury car for a few years. Very soon the halo around Tesla will fade, more cars will be available and, ironically, they will be better with the kinks having been worked out.
If you don't plan to have kids, FI is easy at your salary – go for it and enjoy.
Re: Can I buy a Tesla?
First kid is probably 3-5 years away.DH0 wrote: ↑Sun Jul 01, 2018 11:54 am Any interest in or plans for kids? I'm surprised this hasn't been mentioned already. If you have kids, your housing and childcare costs may be significant and limit your ability to save. Right now you have a nice window with a good salary, minimal expenses and no family obligations to get your financial house in order.
If you want kids, now is the time to button down and save. Frankly your NW is low for your age and status, and the future is uncertain. I would compromise and drive a fun but reliable $20k used luxury car for a few years. Very soon the halo around Tesla will fade, more cars will be available and, ironically, they will be better with the kinks having been worked out.
If you don't plan to have kids, FI is easy at your salary – go for it and enjoy.
Although NW looks low, it's above average for a graduating resident/fellow. Most people have a net worth of negative 200-250k at this point.
-
- Posts: 123
- Joined: Wed Mar 21, 2018 9:12 pm
Re: Can I buy a Tesla?
My humble 2 cents after growing a few grey hairs.
Are cars your passion and will it bring you actual happiness? If yes then go for it ... you might check out god forbid in a few years.
If the answer is no then don't buy it. It's a waste of money and a status symbol.
For me cars are a utility. I drive a 14 year old dodge.
If you aren't a car junkie, buy a 7 year old Honda and invest the large sums you'll save. Don't let stuff that isn't your passion drive your life.
Are cars your passion and will it bring you actual happiness? If yes then go for it ... you might check out god forbid in a few years.
If the answer is no then don't buy it. It's a waste of money and a status symbol.
For me cars are a utility. I drive a 14 year old dodge.
If you aren't a car junkie, buy a 7 year old Honda and invest the large sums you'll save. Don't let stuff that isn't your passion drive your life.
- TheAccountant
- Posts: 278
- Joined: Sun Nov 05, 2017 3:21 pm
- Location: USA
Re: Can I buy a Tesla?
That car will look like a POS in 3 years with heavy daily driver use.randomguy wrote: ↑Fri Jun 29, 2018 8:05 pmSo you can spend 5k drive a beater and get 5k more when you sell you Model 3 with low miles in a couple years. Optmizing for resale (either house or cars) has never struck me as a great way of living. I think expecting demand to be high in 12-24 months is being optimistic. Demand for these type of cars dissipate quickly as production ramps. OP might do ok with tax credit phaseout but given the huge number of alternatives hitting the market over the next 6-36 months, I wouldn't bet on it.TheAccountant wrote: ↑Fri Jun 29, 2018 7:49 pm
If you really want the car, I'd buy it and then daily drive something like I mentioned above to keep the miles off the 3 and keep resale up. If you don't want it after a year or two you can probably sell it for close to what you paid for it, given the current demand.
- DanMahowny
- Posts: 994
- Joined: Sun Aug 06, 2017 8:25 pm
Re: Can I buy a Tesla?
Great advice.telecaster wrote: ↑Sun Jul 01, 2018 1:05 pm My humble 2 cents after growing a few grey hairs.
Are cars your passion and will it bring you actual happiness? If yes then go for it ... you might check out god forbid in a few years.
If the answer is no then don't buy it. It's a waste of money and a status symbol.
For me cars are a utility. I drive a 14 year old dodge.
If you aren't a car junkie, buy a 7 year old Honda and invest the large sums you'll save. Don't let stuff that isn't your passion drive your life.
Funding secured
Re: Can I buy a Tesla?
Just wanted to update here since I got so many useful replies.
I bought the fully loaded model 3
I bought the fully loaded model 3
-
- Posts: 1553
- Joined: Fri Sep 07, 2012 12:18 am
Re: Can I buy a Tesla?
Congrats! So excited for you!
Did you get AWD? FSD? Color combo? I am thinking light silver on black. Or blue on white. AWD and FSD. Aeros.
I’ve given my situation in other posts, so won’t digress, but I am waffling hard, basically on timing. I’d like to buy now in time for fall/winter road trip season, but realistically don’t have to rush yet.
Re: Can I buy a Tesla?
With your income, I'd wait until I had the money to buy it for cash. I personally would hesitate on the Tesla because I think they will be bankrupt soon - bleeding cash and have debt due soon, but that's whole other story.
-
- Posts: 90
- Joined: Sun Aug 12, 2018 1:02 pm
Re: Can I buy a Tesla?
Good for you. Cars are an odd mix of (1) practical necessity and (2) aesthetic consumption item - so which of the two are we after here? If (1) it's a hard "No, get (e.g.) a 5-year old Camry." If (2), then it's a function of your personal preferences. For some reason, cars polarize people that have no trouble spending for other personal enjoyment items, like vacations, or eating out, or rounds of golf. Maybe because cars, for most trying to save, are one of the easiest ways to knock down expenses and so reflexive aversion lingers even when finances permit (as yours do) car purchases above "this is an appliance and nothing more."
Your answers, and that you're posting at all, suggest to me you want it.
For all of its flaws, Tesla has done something pretty revolutionary in upending a (capital-intensive) market with giant incumbents that are now racing to follow suit. Maybe TSLA succeeds, maybe it fails. Either way, it will have left a mark on the world.
Re: Can I buy a Tesla?
You can afford it!
Just don’t buy everything you can afford and forget to save for retirement!
Just don’t buy everything you can afford and forget to save for retirement!
Fools think their own way is right, but the wise listen to others.
Re: Can I buy a Tesla?
Do not buy this car. Not because you can't afford it, but this might trigger a trend of "I make enough, so I can afford it." One day you might wake up with all of this "stuff" and realize it's pretty much worthless. This will probably happen when you're headed to work and realize you could have stopped working if you saved and invested all that money you spent on stuff you could afford.
It's your money. Do what makes you happy.
It's your money. Do what makes you happy.
-
- Posts: 22
- Joined: Sun Aug 12, 2018 6:53 pm
Re: Can I buy a Tesla?
No financial reason not to if you're in the market for that class of car. It's an amazing vehicle and once you go electric everything else will seem like gaslight.
-
- Posts: 50
- Joined: Sun Apr 05, 2015 1:08 pm
Re: Can I buy a Tesla?
It's real simple. Make the hundreds of thousands first, then buy stuff.chevca wrote: ↑Sun Jul 01, 2018 9:16 am OP, yes, you can buy a Tesla if you want.
Nothing much else to add. As a much more common man, I find this thread ridiculously funny.... no... absolutely not... get FI first... only on Bogleheads is someone about to make hundreds of thousands of dollars a year told they need to get their financial house in order before buying a decent car. It's not like the OP is making $50k/year and looking at a $50k car.
No one gets a pass because they are ABOUT TO make a bunch of money.
"The best tools available to us are shovels, not scalpels. Don't get carried away." - vanBogle59
Re: Can I buy a Tesla?
Congrats. Where are you charging it?
"The best tools available to us are shovels, not scalpels. Don't get carried away." - vanBogle59
Re: Can I buy a Tesla?
I really cannot believe some of these replies, considering the average American household will easily drop 30k with a 50k household income.
Re: Can I buy a Tesla?
The average American household is broke, in debt up to their eyeballs in consumer and student loans, living pay check to pay check and not saving for retirement. And yes, these average people make bad financial decisions as you describe.NewbieBogle007 wrote: ↑Sun Aug 12, 2018 11:17 pm I really cannot believe some of these replies, considering the average American household will easily drop 30k with a 50k household income.
Re: Can I buy a Tesla?
+1Nate79 wrote: ↑Sun Aug 12, 2018 11:33 pmThe average American household is broke, in debt up to their eyeballs in consumer and student loans, living pay check to pay check and not saving for retirement. And yes, these average people make bad financial decisions as you describe.NewbieBogle007 wrote: ↑Sun Aug 12, 2018 11:17 pm I really cannot believe some of these replies, considering the average American household will easily drop 30k with a 50k household income.
-
- Posts: 49035
- Joined: Fri May 11, 2007 11:07 am
Re: Can I buy a Tesla?
Compared to history, there are very few ways to demonstrate via consumption in modern life.targetconfusion wrote: ↑Sun Aug 12, 2018 1:28 pmGood for you. Cars are an odd mix of (1) practical necessity and (2) aesthetic consumption item - so which of the two are we after here? If (1) it's a hard "No, get (e.g.) a 5-year old Camry." If (2), then it's a function of your personal preferences. For some reason, cars polarize people that have no trouble spending for other personal enjoyment items, like vacations, or eating out, or rounds of golf. Maybe because cars, for most trying to save, are one of the easiest ways to knock down expenses and so reflexive aversion lingers even when finances permit (as yours do) car purchases above "this is an appliance and nothing more."
Your answers, and that you're posting at all, suggest to me you want it.
For all of its flaws, Tesla has done something pretty revolutionary in upending a (capital-intensive) market with giant incumbents that are now racing to follow suit. Maybe TSLA succeeds, maybe it fails. Either way, it will have left a mark on the world.
Conspicuous Consumption mostly boils down to your house and your car. And in middle class America, 3000 square foot houses are not uncommon, neither are cleaners (servants!). But big suburban subdivisions full of nearly identikit homes - hard to pull one on your neighbours*.
(we should understand that throughout western history, conspicuous consumption is a thing. Social class definition via how and what you consume. Having a green and well kept lawn meant you could afford servants to mow it. Humans seem to hardwired for it).
The hipster in your office has a $1000 iphone and the Apple watch. Car leasing means anyone in the top 80% of American incomes can afford to drive a newish looking car. Every middle class kid has straight, white teeth.
Cars polarize people because it is visible consumption, where we can all look up the cost.
Tesla, full credit to Elon Musk, has played that incredibly well. Creating "geek chic" if you will. Nobody is going to get a "Tesla nod" for driving a Nissan Leaf -- but a Tesla ....
* those who live in such places will expound on the differences between the 4 bedroom plan and the 5 bedroom plan, and the difference between the keystone lot and the corner lot, etc. etc. That we notice such things is just a sign of how hardwired the human ape is to such signals.
Re: Can I buy a Tesla?
You can certainly afford it and if you wait you’ll loose out on the federal tax credit. I would go for it If i were you.
-
- Posts: 11
- Joined: Mon Mar 14, 2016 4:24 pm
Re: Can I buy a Tesla?
Re: Can I buy a Tesla?
Thanks. My work has charging stations. I live in Southern California so there are charging stations everywhere.
- TomatoTomahto
- Posts: 17158
- Joined: Mon Apr 11, 2011 1:48 pm
Re: Can I buy a Tesla?
My brother-in-law just ordered a Model 3 to go with his Model S. He says that charging in California is a snap: at work and elsewhere. He only charges at home on rare occasions.
I get the FI part but not the RE part of FIRE.