The wife and kids found out about that and its now empty.
With the stock market at record highs, I might tap into my 401k.
With the stock market at record highs, I might tap into my 401k.
Larger Luxury Sedans
- Thread starter TrevorS
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Quote:
With the stock market at record highs, I might tap into my 401k.
You *are* joking, right???? I mean mortals who have to have 401K don't buy those cars. The highly successful entrepreneurs who put matching funds for their employees' 401K or the founders who take company public or sell to Google are buyers of these cars.
Frankly, if you are taking money out of 401K to purchase new vehicle, I need to bring popcorns for the subsequent fireworks.
Pay Day Loans, anyone?
With the stock market at record highs, I might tap into my 401k.
You *are* joking, right???? I mean mortals who have to have 401K don't buy those cars. The highly successful entrepreneurs who put matching funds for their employees' 401K or the founders who take company public or sell to Google are buyers of these cars.
Frankly, if you are taking money out of 401K to purchase new vehicle, I need to bring popcorns for the subsequent fireworks.
Pay Day Loans, anyone?
Last edited:
JHZR2
Staff member
facepalm???? Anyone want to put up the picture???
Originally Posted By: Vikas
Quote:
With the stock market at record highs, I might tap into my 401k.
You *are* joking, right???? I mean mortals who have to have 401K don't buy those cars. The highly successful entrepreneurs who put matching funds for their employees' 401K or the founders who take company public or sell to Google are buyers of these cars.
Frankly, if you are taking money out of 401K to purchase new vehicle, I need to bring popcorns for the subsequent fireworks.
Pay Day Loans, anyone?
Seriously? You don't think this is just a question of optimizing the funding, perhaps to avoid capital gains tax or avoid paying interest to banks?
You don't think people can perhaps become wealthier in their 30s or 40s but at one time they put money into a 401k?
You think people who become wealthy enough to buy luxury cars suddenly stop taking advantage of the best opportunity to save tax free and receive matching funds from their employer (who they may own)?
Quote:
With the stock market at record highs, I might tap into my 401k.
You *are* joking, right???? I mean mortals who have to have 401K don't buy those cars. The highly successful entrepreneurs who put matching funds for their employees' 401K or the founders who take company public or sell to Google are buyers of these cars.
Frankly, if you are taking money out of 401K to purchase new vehicle, I need to bring popcorns for the subsequent fireworks.
Pay Day Loans, anyone?
Seriously? You don't think this is just a question of optimizing the funding, perhaps to avoid capital gains tax or avoid paying interest to banks?
You don't think people can perhaps become wealthier in their 30s or 40s but at one time they put money into a 401k?
You think people who become wealthy enough to buy luxury cars suddenly stop taking advantage of the best opportunity to save tax free and receive matching funds from their employer (who they may own)?
Yes, there is a button above the monthly price that will switch to cash price.
However their marketing and sales strategy is aimed at trying to persuade you that the monthly cost is lower than other luxury cars. And it's not a lease. It's a loan so that you get the benefit of federal and state tax credits and they've worked with banks on this. Additionally, they tie their resale value guarantee to this financing.
Strange that even Tesla believe their uber wealthy target customers need to finance their purchase, are concerned at the monthly cost and the residual value.
However their marketing and sales strategy is aimed at trying to persuade you that the monthly cost is lower than other luxury cars. And it's not a lease. It's a loan so that you get the benefit of federal and state tax credits and they've worked with banks on this. Additionally, they tie their resale value guarantee to this financing.
Strange that even Tesla believe their uber wealthy target customers need to finance their purchase, are concerned at the monthly cost and the residual value.
Originally Posted By: TrevorS
Yes, there is a button above the monthly price that will switch to cash price.
However their marketing and sales strategy is aimed at trying to persuade you that the monthly cost is lower than other luxury cars. And it's not a lease. It's a loan so that you get the benefit of federal and state tax credits and they've worked with banks on this. Additionally, they tie their resale value guarantee to this financing.
Strange that even Tesla believe their uber wealthy target customers need to finance their purchase, are concerned at the monthly cost and the residual value.
Cool. I also noticed that the payments are calculated "after fuel savings". I'm curious what the "out of pocket" payment is?
Yes, there is a button above the monthly price that will switch to cash price.
However their marketing and sales strategy is aimed at trying to persuade you that the monthly cost is lower than other luxury cars. And it's not a lease. It's a loan so that you get the benefit of federal and state tax credits and they've worked with banks on this. Additionally, they tie their resale value guarantee to this financing.
Strange that even Tesla believe their uber wealthy target customers need to finance their purchase, are concerned at the monthly cost and the residual value.
Cool. I also noticed that the payments are calculated "after fuel savings". I'm curious what the "out of pocket" payment is?
and just like that, the thread has grown new legs...!!!
Originally Posted By: Y_K
How do you avoid early withdrawal penalty? This is not a hardship situation.
Buying luxury items on retirement funds prior to reaching retirement is a rather reckless thing to do.
My 401k allows a $50k loan to myself which I would pay back within a year.
This is just a cashflow timing issue, nothing reckless.
How do you avoid early withdrawal penalty? This is not a hardship situation.
Buying luxury items on retirement funds prior to reaching retirement is a rather reckless thing to do.
My 401k allows a $50k loan to myself which I would pay back within a year.
This is just a cashflow timing issue, nothing reckless.
Originally Posted By: surfstar
and just like that, the thread has grown new legs...!!!
LOL
What % of responses would you say answered the original question?
and just like that, the thread has grown new legs...!!!
LOL
What % of responses would you say answered the original question?
Most 401-K loans have a clause in it which makes them due immediately when you are no longer with that company. Whether the separation was voluntary or involuntary, having to come up with the lump sum after the loss of the job could become quite stressful.
Nothing wong with taking a loan out against the 401k. Provided you don't see your employment ending in the next year or so with your employer. But even that's not 100% certain obviously. I think the outcry above was from those that thought you were going to liquidate a portion of it to buy the car. Eventhough with most 401k's you can't liquidate any part of it while working with the company. If I was contemplating taking a loan out against a retirement account it would be for $20k on a new Accord/Camry/insert other new 20k sedan etc.
Choices in order:
1. win on Price is Right
2. cash
3. equity loan on home or low interest rate auto loan.
4. loan on 401k
5. lease
Choices in order:
1. win on Price is Right
2. cash
3. equity loan on home or low interest rate auto loan.
4. loan on 401k
5. lease
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