Life Advice Needed

[rammstein]

The unfortunate harshness of life is enough to get me down sometimes.

This is an automotive story. You will understand.

It all began when I graduated from college, and decided that I would finally get a real sports car after years of driving Crown Vics and Oldsmobiles. I read Grassroots Motorsports looking for ideas, and read about 944s and how 'cheap' they were. I did my research, came here and learned all about PPIs and whatnot. Drove a 924S that was basically pristine, but the owner wanted WAY too much for it. Then went and drove a 951. I almost crapped my pants I liked it so much. It was extremely difficult to walk away from it. But I had to- because I knew that all those warning lights and smoke meant trouble. Finally found my baby months later and paid for it. Drove it for about three years. It was disfunctional for about 10 months of that, mainly because I lacked a garage and extra money for fixing it. Finally, I needed a daily driver for my new job and had to part with it. I wanted to cry when it left, but at least it went to a Pelican.

So then, the plan was to get a reliable 4 door car. Then, the animal within me convinced me that an RX8 had 4 doors, and driving one clinched it for me. Nevermind that I had no business buying a car this expensive- hey! I can just lease it and write off the payments! I used the proceeds from the 951 sale to get into the RX8. The RX8 is a phenomenal vehicle. I love it. It manages to be practical and is a blast on the track.

Fast-forward to the end of my 2 year lease. I made pretty much no money, so although I could write off the payments, I had nothing to write-off against! I've had to accept my reality- that I am piss-dirt poor. I finally, just this week, restructured my position within my company to have a salary and commission sharing. So I will finally be making money.

I have a host of options coming to me in May when I have to turn the car in. I can:

A) Buyout the car-> the buyout will be around $17k. The car will only have about 21K miles. I can continue to AutoX it, and have an awesome car. I will have to finance it through a credit union, so thats something to consider.

B) Go lease or finance another car-> I can write off against my 'salary' (my company will actually be paying me, so 1099 is cool).

C) Buy a craptastic *****box. Find a 2000+ Daewoo or something. Buy it for like $3k. Write that off. Drive the unholy piss out of it for a few years. Deal with the sadness that my life has come to this, although feel good at times about the mature decision that I made, as I watch my bank account actually go up. Make plans during those years for what SUPER sweet car I will eventually buy, all cash.

The logical choice is C, but already twice in the heat of the moment I have abandoned this for something fun. What should I do everyone?

P.S. I don't buy cars for image at all- its just that to be reliable and fun on the track, you have to spend $$$. If only it didn't need to be reliable...

[dd74]

Keep the RX8. You say it's practical and fun. They're supposed to be reliable as well. Said to be "like a 911 with four doors," and most importantly, it's the devil you know.

Don't buy a Daewoo or whatever. I think you'll regret that decision.

[Moses]

Originally posted by dd74
Keep the RX8. You say it's practical and fun. They're supposed to be reliable as well. Said to be "like a 911 with four doors," and most importantly, it's the devil you know.

Don't buy a Daewoo or whatever. I think you'll regret that decision.

+1

[scottmandue]

For around $4K you could get a N/A 944

[Jims5543]

You live in Sobe how can you be sad?

I too vote for a keep the 8 and continue along your way doing Ax's and DE's with it. Its a great car.

[legion]

D) Buy your 951 back so that the current owner can buy a Boxster.

( J/K)

[Dantilla]

I bought a 1993 Miata with hard top, soft top, leather, cruise, A/C that will make a 911 owner weep, all for $4500.

Well over 100,000 miles, and between my wife and I, it gets driven just about every day. Dead reliable, and an absolute hoot to drive. Put some good tires on it, and it's ready to autocross.

If you look around, early Miatas can be found for 3000.

[alf]

I say C. Get a Honda Civic, Miata or something reliable and inexpensive. Stash the cash and get a nice older 911 when you have saved enough.

I drove around in a hand-me-down beater 92 Pathfinder for 2 years. The whole time stashing cash and looking for the perfect G50 911. Yes, it took me 2 years to find the right one and by that time I had enough stashed to pay for it outright. Still have the Pathfinder for times when i do not want to shift.

There is great joy in driving a car that has no payments attached.

[tabs]

#A or #C....What is LOW book on the RX8...After the Lease is over U probably give it back to em and rebuy it off a Lot for less...21K miles is like a new car...17K to owe is not really too bad for having a like new car.

#C...Well that speaks for itself..Cheap and realible frees up CASH...Used cars are like a Drug on the market...they are everywhere..and in reality a car is to get from point A to point B...anything more than basic transportation is Luxury, a want not a need. I have to agree that havin AC and a Heater are nice to have, maybe in my next car I will spring for those.

[Porsche-O-Phile]

How exactly are you able to write off the purchase price (or lease price) of a car?

If someone else is essentially paying for it, I'd say do what makes you feel best.

[jyl]

I'm surprised you were tracking a leased car, if I'm interpreting your post correctly.

If you crash the car on the track, will your insurance cover? Probably not, I realize you can argue it was merely DE not "racing" but not great odds of winning that argument. So if it is a leased or financed car, won't you end up making payments on a destroyed car?

I think the general rule is that you don't track a car that you can't afford to lose.

Another rule, maybe not so generally agreed but to me it is a clear rule, is that any car beyond basic transportation are a luxury toy. Nice to have, but first you have to have the important stuff covered. Like a savings/investment program and an emergency cash cushion in case of unexpected unemployment or other bad thing.

So, which option depends on your financial situation and whether you intend to keep tracking the car.

From what you've said, I would look for something cheap enough that you can buy it for cash, or little enough financing to be able to pay it off quickly. But also fun enough to track.

A used Miata sounds like it would be the perfect ticket. I drove a friend's Miata for a few days, it was a really nice, fun, good-handling car. Perfectly practical, unless you have to carry a lot. Good-looking. Plenty of performance mods available. I think these should usually be reliable cars too.

[SlowToady]

Originally posted by Porsche-O-Phile
How exactly are you able to write off the purchase price (or lease price) of a car?

If someone else is essentially paying for it, I'd say do what makes you feel best.

I think he's a subcontractor, because of the 1099, so he is able to write it off as a "Cost of doing business" basically.

I'd say get something cheap, and pile money away until you have a good, large stash, and buy what you want. I guess I should throw in here that I know more or less how you feel. I was in a great spot with the 944, I owned it outright, it ran great, and only left me stranded once (and I knew I shouldn't have driven it). But then I wasn't working, and couldn't afford to fix it when it got hit, and I had to get a loan to buy the Golf, which I currently have. So, I know all about wanting a faster, more fun car, especially when everyone (it seems) my age is driving a WRX, EVO, Mustang Cobra, 350Z, and so on. And I have VW Credit on my back for another 4 years. But I'm also trying to save some cash and put it aside to buy a nice car in the next 5 to 6 years, after I'm out of college and have a Real Job, hopefully making good money.

Every time I see a nice car, I think of how much I want one..and then I go look, and price shop, and rationalize it. And then I think..but if I wait 6 years..I could have xxxx car.

My advice would be wait, save, plan, and live well within your means while you're basically young. If you buy a slightly used 911 at 30, hell that's plenty young to drive fast and hit the track.

[azasadny]

I just went through something similar. I have to trun in 2 Ford Escape lease cars when I leave Ford next week, so I leased my wife a 2007 Mazda CX-7 and I bought a 2007 Mazdaspeed3 and I have the '74 911 for the summer. The MS3 is my daily driver and it sure is fun to drive! The MS3 keeps me from missing the 911 during the "non-911" months (Nov-Apr). The MS3 was suprisingly affordable and insurance rates are reasonable. The turbos in both Mazdas require premium fuel, but that's the only downside. It will be nice to be able to drive something besides a Ford!

[rammstein]

Originally posted by SlowToady
I think he's a subcontractor, because of the 1099, so he is able to write it off as a "Cost of doing business" basically.

This is correct- the write-off isn't as big a deal as I made it sound- the money written off deducts from the total $ I can be taxed on. So, in laymans terms, I don't get $3000 for free. I get the taxes I would have paid on the $3000 for free.

As for the leased car on the track comments, yes, this was another impulsive and not necessarily smart decision of mine. The rationalization is that "oh- there isn't much of a chance of anything happening- I am a good driver". So yeah, if I wrecked i would be up poopy creek.

So far, I am suprised to be hearing from some to keep the RX8. Yes, the car is fantastic. As far as buyout goes, it is pretty much at market value. Particularly because I am significantly under market for it. I got a pretty favorable buyout- but at the expense of more $ up front. No free lunch there.

Its a new car, so as for reliability it SHOULD be bulletproof at this point, and it has been. Its also suspiciously fast, and pulled considerably on other RX8s at the track (not just due to my super awesome skills). Part of this is that fact that I got a stipped version. Low weight makes me happy. RX8s get pretty horrific mileage (if I get over 20mpg it is cause for celebration), but for the amount I drive this is negligible.

I dunno- I just don't want to be strapped for cash anymore. I want to be in a surplus situation, but thats easy to say when I will be driving home tonight in my car. I have 2 months to decide, but I don't see how it is going to be any easier.

[tc-sacto]

Originally posted by rammstein

C) Buy a craptastic *****box. Find a 2000+ Daewoo or something. Buy it for like $3k. Write that off. Drive the unholy piss out of it for a few years. Deal with the sadness that my life has come to this, although feel good at times about the mature decision that I made, as I watch my bank account actually go up. Make plans during those years for what SUPER sweet car I will eventually buy, all cash.

The logical choice is C,

Sometimes reality is harsh, but you'll be better off for it. You can justify lots of reason why not to do this, but reality is its probably your best solution....for now.


PS, I still have the 1987 blazer from when I was in your shoes. Bought it for $5,000. Got me through some rough times. Fast forward to today (10 years)...see my signature.

[rammstein]

Can I be your son?

[VincentVega]

I want to be in a surplus situation

Get a beater Honda, Miata, whatever and save some $$.

[tc-sacto]

Originally posted by rammstein
Can I be your son?

Sorry,
that position is taken.

[IROC]

I don't have any good advice, but I laughed out loud at your option C. That was funny.

[rammstein]

But come on! I can be their big brother- a shining example of how NOT to spend money, how NOT to get gainful employment, etc. You can say "See how your big brother screwed up by doing that?" all the time, and all I ask in return is a cot inthe garage and keys to your cars.

Seriously though, cute kids dude!