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Discussion Starter #1 (Edited)
Hi how are you all.

Im 23 years old, currently going to a technical school, studying to be an IT and hopefully work in the field of computers, im a car enthusiast i love maserati's its a very exotic elegant car
I know im not nearly ready to afford one
But i wanted to ask you kind folks who successfully own such a beuty of a car
How much should my job income be to be able to afford a maserati.

Im interested in knowing because once i go work in the field and hopefully get a decent high paying job i could be able to afford one just to drive it in the weekends, im willing to have an old hoda as my daily driver

Dont discorage me
im just trying to be and look like a successful young fellow

What do you guys recommend, im trying to really make my goals come true

Thank you guys!
 

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Honestly your income doesn't matter as much as your income to debt ratio. Honestly if you take home 50k you could afford a maserati especially if you are good at saving. And save a decent amount for a few years first.
 

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So....I'm not sure where to start. There are a lot of "life questions" that actually come into play. First off, I would agree with rsk that understanding income to debt ratio is an important factor. That said, I don't know if you are putting yourself through school, student loans other debt etc., but what I would say, starting off as debt free as you possibly can be if not totally debt free is a great way to embark on life's adventure.

Other factors that you would want to consider would be the cost of insurance and maintenance and just one person's perspective, when you land your job, max out your 401K and IRA...these should not be considered part of your disposable income. You should also sock away a percentage of your salary into savings and start to also build up some funds to start investing.

Based on a 50K salary, before 401K and IRA contributions, I believe your federal effective tax rate may be somewhere in the mid teen percentage so your take home on an annual basis is in the mid 3K per month range (I could be totally wrong...I'm not a tax guy hence why I have a tax guy :) ). That doesn't include state taxes (not sure where you live). Now you take out housing, food, clothing, insurance ( pretax medical, dental, vision), utilities, entertainment.....

Let's say a $60,000 pre owned GT...20% down brings the cost of the vehicle to 48,000. Tax, title and all the doc fees - let's say brings the out the door cost up to $51,800. Just throwing in a 3% interest rate for kicks and the monthly payments for 48 months would be $1,146.

There are so many factors here that on top of income to debt ratio, it is also about what type of life style you want, meaning, what do you do with your disposable income.

I believe there are some forum members that are in their 20's so maybe they can provide some further insight.
 

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Well said. i was saying a take home income of 50k a year or even 52,000 a year to further simplifiy it, so that's after all deductions, taxes, 401k ect. But yea driving the car and living like most other people with that car or any exotic certainly is not recommended on a take home salary of 50-52,000 a year even 60,000 I wouldn't go too wild, not sure what the median salary for an It guy is. But having the least amount of debt is ideal. But you don't want your total monthly debts more then 25% of your total monthly income. I'd try to earn as much as possible. I mean, it's tough to say what your hobbies are and what kind of lifestyle you want to live. Personally I like to go out to eat a fair amount and take several vacations, and when I go out, I eat bison, filet mignon, and 99% of the time pay cash, i don't eat at super fancy restaurants but a 20-30 dollar lunch is average for me and 120 dollar dinners for one aren't out of the question for me. But you may be very frugal and not go out to eat more then once a month. I also run a landscape business and control my income to a T and my cell phone bill is almost what most pay for insurance for their maserati...
 

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Discussion Starter #5
Well if it makes it simple on the calculations after i gradute this December,after i have 6 months after graduation il have to make a payment plan to pay back my school loan of 16k, right now i only pay for food and phone bill, would it be smart leasing or financing it if i only plan to drive it on the weekend like friday through sunday, would getting a job thats 25$ an hour enough? Right now i dont have credit but i dont mind building it with the car payments as long as i meet ends meet and have some cash left over for my needs ofcourse, im also gonna be paying for gas and repairs for a cheap car like an old honda, im trying to make a plan or map this all out so that i can start taking steps and actions to get it after i land a job ofcourse i also really appreciate you guys feed back its really helping me
 

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25/hr might be enough if you had that job for 2-3 years and lived very conservatively and had 20k in the bank and financed the car. Leasing a car is the most expensive way to drive a car. all the depreciation and maintenance costs and wear and tear is built into your monthly payment. The only way leasing works in your favor is if you own a business and you are using the car as an expense, then it helps you out. At 25/hr your take home after takes would probably be about 7-800 per which apparently is "average" according to my buddy but i know nothing about that. 16k is a really small student loan so that helps you out, once you get a job, but i'd start building credit with a credit card, buy something small and pay it off each month and you'll be golden. If you have no credit, i highly doubt you will get approved for an auto loan for 60-70,000 dollars gotta take small steps.
 

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If you have no credit, i highly doubt you will get approved for an auto loan for 60-70,000 dollars gotta take small steps.
And if you do, the interest rate will be outrageous.
 

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Even after having credit for almost ten years, i still have what's considered a "short" credit history. I don't get denied anymore but for a few years when I didn't have any credit, i'd get denied for the smallest things because i didn't have enough credit, and my parents would not co-sign for anything, being self employed with a new business might have had a lot to do with it too. But i pay all my stuff on time and my credit is above average now.
 

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22 year old MIS major and IT minor here. I am in the same boat as the OP, except my credit is amazing (760ish). I've been offered around $65k plus bonus already for when I graduate in December. I plan on living at home still while I pay off my $16-20k in student debt and work on my master's (which 70% will be reimbursed thru my company). I was thinking about getting a used honda or a cheap reliable car for my DD and then saving up for a few years and throwing down $15-20k as a down payment on a used GT. Any thoughts or considerations regarding this plan? Am I missing anything?
 

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@LG GT @rsk ...... Are you sure you're not accountants?
Nexjan, I understand where your coming from. For me, I got family and kids out of the way before I was able to get my Maserati QP.
It doesn't matter how much money you make, as long as you are smart with it! (ok, maybe it does matter, a little).
~J
 

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Because its affordable doesn't always mean its a good idea, in the long run build up some savings and stability and then go for it or consider cutting back on the vacations/meals etc. But for all I know you start at 65k and maybe get 200k in a few years ? I don;t know your industry but at 22 20k or 30k down + interest on a weekend car or put it into an investment/home etc that doubles up over the next few years and pays for your car in cash at 25 sounds better

just my 2 cents, worked for me
 

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@LG GT @rsk ...... Are you sure you're not accountants?
Nexjan, I understand where your coming from. For me, I got family and kids out of the way before I was able to get my Maserati QP.
It doesn't matter how much money you make, as long as you are smart with it! (ok, maybe it does matter, a little).
~J
Ooh - I'm sure if that is a compliment or a horse collar tackle - lol.

@nexjan and Bradley Berman - I applaud your passion for the brand and getting on this forum. I think a lot of great advice has been put on the table. As rsk mentioned, I too enjoy the occasional dinner out and a vacation and it's not fun to be either car poor or house poor - I've seen it and the type of unpleasant pressure it induces. I've seen people laid off of work after being with a company for 30 years and have seen people laid off after being with a company for only a few years. The story line here is that one never knows...as Jelzy said - just be smart. Remember, expenses rarely go down, they tend to go up.

I have the feeling that you both will make your goal a reality :).
 

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Because its affordable doesn't always mean its a good idea, in the long run build up some savings and stability and then go for it or consider cutting back on the vacations/meals etc. But for all I know you start at 65k and maybe get 200k in a few years ? I don;t know your industry but at 22 20k or 30k down + interest on a weekend car or put it into an investment/home etc that doubles up over the next few years and pays for your car in cash at 25 sounds better

just my 2 cents, worked for me
I agree with the investing, hence why i have my own business and don't work for someone else. I have been investing about 50k a year back into my business going onto the 5th year now, and i'm only using the landscaping as a stepping stone to bigger and better things, but the returns are huge. Small example i bought a brand new dump trailer for 10,500 and that piece of equipment gave me a 100% return 1st 30 days i owned it and it just finally 3 yrs later needed two tires which cost 250 dollars...and has made me 1000-2000 a day hundreds of times. But i like to eat ALOT!

Sorry to derail, but ya investing is smart especially if it's in yourself or real estate and it's done right.
 

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Honestly i know both of you mentioned buying cheap hondas, not sure how cheap you guys are talking, 10,000 cars, 5,000 honda or a 500 dollar honda, they are all cheap honda's, but i wouldn't go too cheap on your "daily driver". i've gone from a 300 dollar car to a 35,000 dollar truck and everything in between in a 9 year span and both have pro's and cons and i can say the 5000 dollar 2003 audi a6 2.7t twin turbo was an amazing car, awd, fun to drive, comfortable, nice looking, safe. Cheap on insurance..4 door. i wouldn't jump into a bare bones stripped out car to save a few dollars. buy something you like driving that fits into your budget. I'd daily drive a maserati gt personally. But that fits my budget and also would save me on taxes because it would be my "personal" vehicle so i'd get 100% of my Fuel deductions which is around 10,000 annually and growing.
 

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Honestly i know both of you mentioned buying cheap hondas, not sure how cheap you guys are talking, 10,000 cars, 5,000 honda or a 500 dollar honda, they are all cheap honda's, but i wouldn't go too cheap on your "daily driver". i've gone from a 300 dollar car to a 35,000 dollar truck and everything in between in a 9 year span and both have pro's and cons and i can say the 5000 dollar 2003 audi a6 2.7t twin turbo was an amazing car, awd, fun to drive, comfortable, nice looking, safe. Cheap on insurance..4 door. i wouldn't jump into a bare bones stripped out car to save a few dollars. buy something you like driving that fits into your budget. I'd daily drive a maserati gt personally. But that fits my budget and also would save me on taxes because it would be my "personal" vehicle so i'd get 100% of my Fuel deductions which is around 10,000 annually and growing.
I'd probably rotate the GT. Drive it maybe 3-4 times a week. Would never drive it more than an hour or two away. Just a fun toy you know? The honda would be my vacation car and heavy rain / snowy day car. Yeah I heard owning a business and using it as your personal is great on savings for fuel. Someone also said leasing it could be better if you use it as a personal. But yeah man, gotta get my master's. Trying to be done with that by the age of 26 and ill be working the whole time. So I'm hoping to save at least $65-70k by then.
 

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I'd probably rotate the GT. Drive it maybe 3-4 times a week. Would never drive it more than an hour or two away. Just a fun toy you know? The honda would be my vacation car and heavy rain / snowy day car. Yeah I heard owning a business and using it as your personal is great on savings for fuel. Someone also said leasing it could be better if you use it as a personal. But yeah man, gotta get my master's. Trying to be done with that by the age of 26 and ill be working the whole time. So I'm hoping to save at least $65-70k by then.
Why only drive the maserati only 1-2hrs away? Cars are built to be driven and get used. I put 4,000 miles on my truck in the last 3 weeks, and drove it from ct to georgia and hit every state on the east coast. And i had a break down, my alternator went and i changed all the front accessories while they were in the there and fuel filters and oil change it was 1050 for all that, but things dont last forever but i enjoy them and use my stuff a lot!
 

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I highly suggest you get it under warranty and always do a PPI if used.

Leasing it is a great option (if you get a good price) with the tax benefits (if used under business rules) and the comfort of full warranty (you will definitely use it).

Most car sales people I am friends with say, "Lease new, buy used". When you lease, you essentially take on the depreciation and not the whole tab of the car, this helps with minimizing sales tax, maximizing your debt-to-income ratio at the right price ( I guessing you have some big purchases ahead, like a house etc), and in the exotic space you are better buying the car after knowing you truly love it. With the lease, if you have a life changing event, it can be transferred (Ally I know you can) to another interested party.

On another note, I lease my Honda as well. My total hit on a monthly basis is pretty low and don't have to worry about any "daily beater" issues.

Also, make sure to have maintenance cash on the side (which seems like you will)... I would call around your Mass dealerships in the local vicinity to the get the best prices, lots more competition now a days!!! But $1500-$2000 at least per year just for tires (P-Zeros are great but they melt like butter). Get a warranty on the tires and wheels if you can, it will save you $$$.

Insurance, call around and see... I've gotten a great deal from geico. Make sure you note that it's your "fun car" and wont be driving it that much.

Storage, covered parking with a power outlet close by. You need the trickle charger attached when you are not driving for over a week or so.

Hope that helps!

DM me if you have any extra questions. I am about a year into ownership and absolute love this thing!!!
 

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From my personal experience ,i understand the craving of these beautiful machines, But suggest patience in this instance. before you consider a 60k-70k vehicle. pay off your 16k loan. and build your saving to at least the 50-75k level. while driving a nice car is cool. financial independence is so much better. in my case i bought my first maser (a 2005 coupe cambiocorsa) for 36 k, my deal with my wife was, if our savings hit 136k i can buy the maser , so i did that and paid for the car outright. and every car after that i saved more and more before i splurged on toys. So id say a little patience can go along way. Maybe not the advice you want to hear. but believe me IT IS the right way to go about it.
 
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