Quote:
Originally Posted by TESLAASTRO
No, 25% is a guideline, not a rigid reality....doesnt matter what your expenses are though, since those are ever changing, emergencies happen....the roof could cave in, requiring 30k for a new one.....your what ifs are not reality based......of course anyone can do whatever they want.....however, regardless of monthly expenses, buying a car that is, for example, 50% of ones gross household income is exceptionally irresponsible.....to put it plainly, it is 'mortgaging your future'.....Sure, you may be making your payments, but something has to give, and since the younger the buyer,statistically the more the % of income will be spent, it will probably be the 401k, the IRA, the life insurance, the college fund, and the 3-6 month emergency fund that suffers....afterall, you think you're going to live forever ....who cares about retirement when youre 29???...
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People like me at 22 care about retirement....I want lots of trips when I hit my older years. And lots of pretty toys.