[quote=DWCAP]
I could be wrong, but I thought he was quoting new prices. Like a civic new is about a 20k car, and if you bought it used and only paid 5 then it would be a USED 20k car you got for 5k. It is the NEW 60k car, 30k used, that he is calling a luxery that you need that kinda income for. But again I could be wrong. That is just how I read it.
I dont necessarly agree, it depends on your priorities. If you dont travel, you could use that money on car payments. If you live in middle class neighborhoods instead of trying to move up to the big time, if you dont really like eating/going out, if you dont buy alot of stuff and live minimally… cut any of these and the ability to really afford a luxery car goes up alot. The problem is that we in the USA want our luxery AND everything else too. We have learned to assign high priorities to anything that improves our lives now, not matter how fleeting; and low priorities to things that improve our lives in the long run but take time to accumulate. This is the fundamental flaw we refuse to face as a nation. [/quote]
My impression was that he thinks $60k car is luxury, and in order to afford that luxury, he said such person would need to have $500k in liquid asset. So, I brought up the $20k car, and keep it linear. But then he said you can’t keep the calculation linear, because he deems $20k car is a need instead of want. I deem them both as want instead of need. If all you need is a mode of transportation, then a $4k car should be sufficient. That was my point.
