r/Life • u/Stock_Cauliflower_57 • 17h ago
Need Advice What to do ?
I’m 20 years old and i saved up a lot of money from work. I’m an electrician started working right after highschool, I really wanna buy a car i’ve wanted my whole life for around 23,000, this car is my motivation to wake up everyday and go to work it’s all i think about. I’ve finally saved up the money and my parents are telling me this is the dumbest thing in the world to do and i’m blowing all of my money. And my gf of 2 years (F19) is now saying i care about the car more then getting a place together. And my grandparents are also telling me to save and me and my girlfriend who see eschother everyday can get our own place together. I’m really frustrated because this car is my dream and is why i show up everyday and it’s all i think of and now everyone is saying im dumb
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u/Key-Minute-3556 17h ago
Buy a used one, which I think you already are. I dont think there is new cars that are 23k. I bought new car in 2022 it made me happy for a week, then it wore off
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u/ultra-lawrii 17h ago
S&P 500. Put your money there my friend. And don’t move out of your parents house. It’s hard out here.
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u/gailmerry66 17h ago
If owning a car is the most important thing in your life, more than any relationship or other goal and it's the ONLY reason you get out of bed and go to work, buying it won't give you anything to advance your life. That said, it is all your choice,
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u/KarloffGaze 17h ago
What kinda car are we talking about? Cars are TERRIBLE investments. But I understand how it feels to be obsessed over something. You're gonna regret it, more than likely. But you may also need to learn the hard way.
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u/Stock_Cauliflower_57 17h ago
an all black charger R/T
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u/RudeAndInsensitive 16h ago
How people choose to spend their money is a glimpse into their values.
If you value stuff and stuff is what's going to make you happy then buy the stuff. It's your choice to make.
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u/KarloffGaze 16h ago
Sure you don't want a challenger? 😋 Well, you're gonna enjoy it for a few years until it starts to break down. Or, God forbid, it gets wrecked. But get it outta your system so you can learn while you're young. Hope the insurance doesn't kill yr bank account.
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u/EffectivePen2502 17h ago
As somewhat of a car guy myself, I have to agree with your family. Do not buy the car. Do yourself a favor and invest that money or something. Buy a cheaper car if you need one. It is just wheels getting you from point A to B. If you really like your girlfriend and are serious about her, use some of that money to get a place together like a down payment on an apartment (or a house more ideally) . Build a life with someone, not with something.
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u/Wise_Pomegranate_653 17h ago
i will say we all made dumb purchases when we had money and no real responsibility. That being said, I wish someone talked me out of it.
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u/EffectivePen2502 17h ago
Dear god, yes. I wish I could find someone today to follow me around just to call me a dumbass when I contemplate doing dumbass shit.
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u/NoTackle334 17h ago
Want to preface this by saying I'm no financial guru and my bank account running on fumes, take that how you will but if I were you, #1 I'd buy the Car for a good price if you can, and don't show the seller how much you want it. #2 Drive it for a year and get it out of your system and be carefull not to Total it #3 Sell that bitch for something more practical that your not going to want to flex with all the time
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u/Wise_Pomegranate_653 17h ago
Yep its pretty stupid to waste that kind of money when you don't have too.
Life is long and when you reach the point of wishing you saved, you will think about 20k on a car.
Spend 5k get something reliable and used. Put the rest of that into stocks or a savings account. You will thank yourself in 10 years when your body is beatup from working and you don't recover like you used to.
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u/Sir_Blazer15 17h ago
Need to listen to em cause you are being dumb. In this economy, car insurance alone will decimate any chance of saving money because you're still young, so you're gonna be paying higher premiums. Also, I'm guessing the 23k is just the min down payment, so you're probably gonna be looking at a 4-600 per month car note depending on make and model. In layman's terms, forget the car and keep saving and invest some where you can so you can make passive income, I promise, in the long run, you'll be happier and better off.
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u/Gotanygrrapes 17h ago
The 62 year old you will very much appreciate the 20 year old you as being conservative you will double your $ every 7 years when invested. You would have around 1.6 million from this 23k alone.
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u/PrimaryWeekly5241 16h ago
Find a safe place for your money and figure out how to make it grow with minimal risk while you sleep.
As regards vehicles, the term you want to research is "Total Cost of Ownership." Vehicle use is important for many. So is home ownership. But predicting economic futures right now is difficult.
Try this exercise: Imagine who and where you want to be in 5, 10, 15 or even 20 years. Then try to imagine how you get there.
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u/doesnthurttoask1 17h ago
Truth is, you ARE being dumb, that’s why lol
You’re young, saved up money, and have a good paying job. In this economy, your main focus should be investing in things that will pay off in the long term. Using that money to buy yourself a house is the BEST move you can make right now. You can rent it out and build extra income. Or keep it, and always have your own place to fall back on.
A car will lose value the literal SECOND you drive it off the lot. And it’ll continue to lose value every day, every mile, that you use it.
As a 31 year old, I’m telling you… shift your main focus to a house first. Then car later. This economy and rent may get 100x more expensive. And you don’t want to be my age wishing you put that money into a house, and still live with your parents. I wish I was 20 again and had someone tell me to use my money toward buying a house.
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u/Stock_Cauliflower_57 17h ago
i guess so this car is just on my mind every single day and i want it so bad
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u/Wise_Pomegranate_653 17h ago
post this same thread on Adulting. Trust me 99 percent of people will tell you how life is hard and a new car is a bad idea.
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u/doesnthurttoask1 17h ago
Bro, I’m telling you.. a car is the wrong choice in this economy.
I’ll give you my experience. When I was your age, I saved up and got my car. It was nice for a few years. But then new car models came out the next year, then year after that. And by the 3rd/4th year, my car was whatever. Friends of mine had already bought the newest model and now I wanted to buy a newer one. It’s a money trap.
All the while, I was living with parents. Then moved out, rented for a bit. Houses shot up like crazy! Then rent shot up like crazy! I had move back in with parents. Still am now at age 31. If someone would have sat me down and explained to me that buying a house would’ve been better in the long term.. I would be chillin in MY own house, with a low mortgage payment. Doing what I want in my own house.
But now I’m 31, arguing with my dad about cleaning up his mess.. can’t have guests over.. can’t do what I want..
It’s a simple choice when you think long term. But hey, if you want the car first… get it. My advice from that point would be to make extra payments to pay it off ASAP. Then rebuild your savings to buy the house asap before you miss out on the housing market going back up.
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u/AverageJohn1212 16h ago
He sounds like.... ultra spoiled. I'm not gonna spend much time here.
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u/doesnthurttoask1 16h ago
Yup. But I get it. We were all young and dumb once, and didn’t listen to other’s advice. Part of being young and dumb, is unfortunately learning the hard way through our mistakes.
I personally wouldn’t have made the mistakes I did, if social media and internet was as big in my early teens or 20s. Or if I had someone sit me down and really make me realize the long term effects of my choices. With information more easily accessible now, it’s so easy for young people to start making the right financial moves early on. It’s really comes down if they have a good head on their shoulders and discipline to make good moves now, and reap the benefits later
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u/AverageJohn1212 16h ago
I'm on your page.
It makes the internet experience... honestly way more shxtty. When you learn more and more as the days go on, yeah most of the world actually has decent family and a proper upbringing. Some people actually got advice lol and not just being hit repeatedly.
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u/doesnthurttoask1 16h ago
I feel you lol my parents weren’t educated about money. So I can’t blame them for sitting me down and explaining a 401k, investing, or buying a house asap. But I am grateful they provide me a home to fall back on when things don’t work out for me. A LOT of people don’t have that safety net. So this time I’m saving up TRIPLE to actually buy a house now, instead of saving up a few thousand to move out renting.
I don’t wanna move out a 3rd time, to come back home again when I’m almost 40 🙃
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u/AverageJohn1212 16h ago
Yeah you gotta stop. This obsession with a car is sounding like signs of mental illness.
It sounds like you grew up spoiled and never had a reason to prepare for anything else but a damn car. Can't even imagine what type of car it is.
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u/Key-Target-1218 16h ago
It's a very immature move. VERY.
No one gives a shit what kind of car you drive. Personally, (not that it matters to you, but just sayin') I have more respect for the mechanic who maintains all the early 2000 Toyotas, Hondas, Pontiac Vibes, etc than I do for the guys whose self worth and image is wrapped up on some fancy car they can't afford.
EVERYONE is telling you its a bad idea. You think everyone is wrong, but you?
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u/Zelgob 17h ago
Actually, it’s like burning money. I heard once that Warren Buffet’s wife wanted to buy a house when they were recently married. He put aside the first $100K for investing and only after that, they bought the house. I recommend you to continue dreaming for your car, but set aside the first $23K for investment (Nasdaq or S&P indexes). The future you will be grateful since you are giving a shot of many other cars
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u/Superb_Layer6037 16h ago
i bought a car because i wanted new and i regret it to this day. i have a $580 payment not including gas and maintenance expenses at 20 years old. i won’t have it paid off until 2027 and ive had it since 2022. i had a paid off car that my parents got me. personally, i wouldn’t do it again until i knew i was financially stable and moved out and got my education. it sucks when you want to move or go on trips but you’re basically broke after the stupid car. it isn’t my dream car tho so maybe that’s why 🤷🏻♀️ Maybe try saving half of the price of the car, put that money in a HYSA, then go and finance it and pay it off quickly
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u/AverageJohn1212 16h ago
Some of these fools are giving you the worst advice and they really don't even care what happens to you.
Social media right.
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u/NaturalEducation322 16h ago
fuck it, dude. buy the car. its what you want and youre the one who put the work in
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u/kaplarczuk 16h ago
Keep saving, invest and work towards buying a home. Cars are never a smart investment
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u/Minimum_Current7108 16h ago
The new car feel wears off in 6 months put hour money into a Roth IRA compound interest is your best friend trust me i made this mistake for you
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u/Fast-Sense-4173 14h ago
I know you want the car but just think about the bigger picture. You young,you getting money, you can buy that car later. But don’t let my words influence you im just stating my opinion
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u/crystalg81 10h ago
Divvying your net income into different accounts for different uses. Get the car, but when you can really afford the car outright + registration + maintenance, +++.
Set aside 10% of your net income in a High Yield Savings Account for emergencies. Build up to cover 4 months living expenses (6 months if/when you have a family). Once this is funded, combine with your investments.
Invest 15% of your net income. Open a Roth IRA and aim to invest the max ($7k) every year. Make sure your money is invested within the Roth IRA, not just sitting in cash. Any money over the $7k max can go to your regular taxable brokerage accounts and invested in a low-cost fund like VOO and a speculative growth stock like NVDA.
Pay yourself first before you buy stuff. For instance, $583/month invested in spgi (s&p global) 20 years ago, yields over $1 million today. Start investing today and setup your future self for financial independence.
Set aside 15% in your HYSA for different uses (Ally Bank, Betterment, and Wealthfront have the option for different buckets): 5% for donations and gifts during the holidays. 5% for planned purchases and annual expenses. 5% for fun money like entertainment subscriptions and dining out.
The remaining 60% lives in the bank for your lifestyle spending (rent, insurance, utilities, groceries, gas, phone, wifi, etc.).
Also listen to finance YouTubers like Minority Mindset and BiggerPockets Money Podcast which talks about FIRE (financial independence retire early). Or Money Guys. Learn about finances. Get the charger when you can afford the charger.
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17h ago
[deleted]
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u/AverageJohn1212 17h ago
He's 20 years old. This is the worst advice ever.
A year from now when the car is tanking on him and everyone else has turned their back on his stupid choices, what then?
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u/AverageJohn1212 10h ago
Always wonder what makes people go back and chicken out to delete comments like that...
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u/sacandbaby 17h ago
Everybody needs a car and 23k is not a lot of money these days when buying a car. Just do it.
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u/ChenisClark 17h ago
The new wears off quickly. I promise its a bad idea