tiki240

ill be pulling in about 38-42k a yr with full benefits.... living expenses should be about 1200-1500/mo that include food, rent, cable, elec, heat, cell phone, etc.

what can afford to spend on a car? thanks!

elambz

Figuring 38k a year, comes out to about 3100 a month, minus the high end estimate on your living expenses you are looking at $1600. I dunno if the 38k you said was before or after taxes, but I'm just gonna assume after for this purpose. Look at your habits and how much you spend a month on other activities. I recently did this and started realizing where my money was going, because I certainly had almost nothing to show for it. I make about $1200 a month after taxes and I pay about $300 in car payments/othe payments. I'd say thats my limit to how much I can pay a month and not be strapped for cash. I put away a little money each month that goes towards stuff for my car. The rest gets spent. Now I don't pay rent or anything like that because I still live at home, so that's my money going towards car payments and "living" money like going out with friends and other activities. I could probably swing a $400 a month car payment, but I'd rather not give up other things for it. You really have to look at your own spending habits and see what fits into your budget. Not everyone is the same and one person affording it isn't gonna be the same as you. Before you buy a car, I'd go a few months after you start your new job(I'm assuming you are starting a new job soon). Try not to spend more than you do now and look at what you are saving a month. Use that as a guide to how much you can spend a month on a car. When I first started working I was spending money like crazy because I had no bills. Once I got a car payment I've run into money problems because things changed drastically. Be smart and don't get into anything until you KNOW for sure that YOU can afford it, not because someone else said you should be able to.

CarsRFun

fuk the car start an IRA save now.. drive an exotic latta... just food for thought..

start an IRA put $333.33 a month into it (4000 a year the max allowed )
for the next 40 years and at 7% interest.. you will have $945,287

and if you can be lucky enough to get an 8% return you will be a Millionaire
$1,268,520

Thank about it!

Edit btw go Roth no tax when its pulled and no tax on earnings.. just my .02

HORNY4ZORNY

well you figure 38k is before taxes.......so take away takes and your left with 2x,000 a year

i would be safe to say you could pull a 300-400 a month payment

jeremy

sounds like you can afford my s2k.

NEO_WRX

depends on what you want, and what your priorities are as far as how much your willing to put towards a car.

So, first decide on what your willing to spend a month. You might be able to afford a 400$ payment...but just because you can doesn't mean you should.
Once you have an idea of how much your willing to spend, think of what you are looking for. Import? Domestic? 4 doors? 2 doors? roadster?. Than once you have that narrowed down..just start looking to fit your budget.

_____

Get a civic and buy a house.

tiki240

the 38k is after taxes. and it was a gross over-guesstimate about living costs. the 1500 gives me about a 500 dollar a month buffer for those "just in case" things that pop up. and if nothing comes up id like to put a nice peice of change away in an IRA like CarsRfun said. what do the monthly payments usually run on your evos, s2ks, 350's, nsx's, vettes, sti's?

travisnd

my monthly payment is over $500

MAD_DOHC

So you're 20 years old and make over 50K a year? Damn.

Don't forget to figure in a high insurance as well on which ever of these cars you are talking about. Considering the car and your age, very likely to be at least another $200 a month right there.

Depending on credit, your looking at $17-$25 for every $1000 you finance. Doesn't matter what car, matters your interest rate. A $20K would run you anywhere from $340-$500 a month.