Let’s talk money!

[iwantabasebronco]

IMO a multimillionaire is always looking to make more…not frivolously spending for the sake of spending…that’s how they became “multi”

Agreed. Was going to say... the one with 10m got there by not paying 150k for a 70k vehicle...the one with 1m stays there because he does pay 150k for a 70k vehicle...?

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[MnLakeBum]

Almost nobody worth $10 million is going to overpay by spending double what a vehicle will be worth a few years from now. Some of the wealthiest people I've ever known don't even like overpaying for a hamburger.

You don't get rich by wasting your money on depreciating assets. A good rule of thumb is the value of all your vehicles shouldn't exceed 50% of your annual gross income. If you and your wife are both driving $50k Broncos, you should be making $200k per year.

Many people don't follow that rule which is one of the reasons that most never become multi-millionaires. The good news is Ford is near the top of the list for what millionaires drive.

https://autoapprove.com/resource-detail/cars-millionaires-drive

What cars do millionaires drive?
Rather than driving high end luxury cars, wealth researcher Thomas Stanley found in his research that millionaires were more likely to drive affordable cars. He ranked the most popular brand choices as follows:

1. Toyota
2. Honda
3. Ford
4. BMW
5. Chevrolet
6. Lexus
7. Nissan
8. Subaru
9. Dodge
10. Mercedes

 

[DriveAllNight]

Okay ... and ...
100 pennies = 1 dollar
Now that we have that all worked out and we've talked money

Let's talk about value, which is more relevant

If you plan on making money with any object, in this case the Raptor, than yes it's probably worth twice the price, because 1, they will make money and 2 , it's a business expense.
Perfect example, for those that follow Kevin and Britney over at LiteBrite, they keep complaining that they paid a ridiculous amount of money on their Raptor Bronco, but they will make money on their content and it is absolutely a business expense and therfore a tax right off. So I agree it's insane to have to pay above MSRP, but if you have to be one of the first that's the price and it has value.
For some person who won't be making money on one, the value is not there at those higher costs.
And honestly, as much as I love the Bronco any trim level , even at MSRP, I feel the product value is absolutely not there. Ford is getting away with people making decisions based on easy money and emotional decisions; and the easy money is disappearing fast.

 

[da_jokker]

Sorry but I agree with the OP. How many of us, when we were young and didn't have money, were buying the cheapest, most generic things. But as you start to make more money, you start buying quality and possibly name brand things.

This is exactly the same thing. The more money you have, the more you're willing to spend on something.

And remember the person that has the 10 million obviously has a much larger source of income than the person that only has 1 million. So for them to replace that extra ADM may only be a matter of a couple weeks or so.


if you doubt, let's say home Depot has that tool you need and you could get today but it was $4 more than online where you'd have to wait a day or two...which would you do?

 

[Shazamalingo]

Auction prices for Bronco Raptors are definitely crazy and many have commented on the prices.


I think a little perspective is in order.


Lets look at comparing net worths. If one individual has a net worth of 1 million and another has a net worth of 10 million the one with the higher net worth has 10x what the lesser has.

So paying 150 a 180K for a vehicle that retailed for 86K really has no effect on high net worth individuals.

It's a sign of poor decision making which means the $10M individual may not have $10M for too much longer. Which is fine by me lol

 

[Snacktime]

Richest person I grew up around use to take tupperware to the buffet.

 

[BlueBronco]

Sorry but I agree with the OP. How many of us, when we were young and didn't have money, were buying the cheapest, most generic things. But as you start to make more money, you start buying quality and possibly name brand things.

This is exactly the same thing. The more money you have, the more you're willing to spend on something.

And remember the person that has the 10 million obviously has a much larger source of income than the person that only has 1 million. So for them to replace that extra ADM may only be a matter of a couple weeks or so.


if you doubt, let's say home Depot has that tool you need and you could get today but it was $4 more than online where you'd have to wait a day or two...which would you do?

But to your point, many of us learned the lesson that it is cheaper in the long run to buy that quality part/tool/what-have-you that will last a lifetime versus buying the cheap one that will need to eventually be replaced anyhow. Paying for quality and name brand items is not equivalent to over paying.

As far as your HD scenario, yes, if I must have the tool or material to complete the job today then I will pay for it as the time lost is more valuable than the extra money spent. However, I am more likely to plan ahead and order online so I am saving the money but remaining on schedule. Most people that have accumulated wealth do so by avoiding impulse purchases and being more planned and frugal.

 

[BigGarnet]

Auction prices for Bronco Raptors are definitely crazy and many have commented on the prices.


I think a little perspective is in order.


Lets look at comparing net worths. If one individual has a net worth of 1 million and another has a net worth of 10 million the one with the higher net worth has 10x what the lesser has.

So paying 150 a 180K for a vehicle that retailed for 86K really has no effect on high net worth individuals.

 

[da_jokker]

But to your point, many of us learned the lesson that it is cheaper in the long run to buy that quality part/tool/what-have-you that will last a lifetime versus buying the cheap one that will need to eventually be replaced anyhow. Paying for quality and name brand items is not equivalent to over paying.

As far as your HD scenario, yes, if I must have the tool or material to complete the job today then I will pay for it as the time lost is more valuable than the extra money spent. However, I am more likely to plan ahead and order online so I am saving the money but remaining on schedule. Most people that have accumulated wealth do so by avoiding impulse purchases and being more planned and frugal.

I can agree with that. There's a difference between making good financial choices, and being a spoiled rich brat for sure.

Just a couple days ago, the family went shoe shopping and I ended up buying an $80 pair of shoes... I have never spent $80 on a pair of shoes in my life. I'd wear the hell out of some Payless/walmart no-name brand before I'd overpay for some brand name. Yet these particular shoes just had me.

The difference however is I knew that Even though I was paying double for a pair of shoes (that probably will not be any more durable then my old Payless shoes) that extra money was easily replaceable.

Hell, with California gas prices, I could just call in sick for 2 days and make that money back

 

[JohnGalt]

This has been fun watching folks arguing about the intelligence and motivations of people who pay substantial markups on a badass car that, at least for the moment, appears to be largely constructed of Unobtainium.

I scrimped and saved all my life, I invested heavily and consistently and built a reasonable amount of wealth after being broke at 30. I never paid over MSRP for a car, drove sensible ones and retired early.

But I’m over 60 now, I won’t die broke and I wanted a Bronco Raptor. I could have got in line somewhere that absolutely sells at MSRP and waited three years (maybe more) to get my car, paying 5-15K over current 22 MSRP. Or I could suck it up, pay an ADM (that is much lower than any auction markup I’ve seen)and have my Braptor in 6 months or so.

And at 60, I only have so many years until my daughter comes asking for my keys and throws “the club” on my steering wheel. So paying over MSRP is reasonable value from my current perspective. However, It would have been out of the question at 30, stupid at 40, and inconsistent with my retirement targets at 50.

The guy who paid $200+k at the auction, probably has his own rationale. And anyone who can write a check for close to $250k (after cost, auction fees, TT&L) on a whim probably isn’t stupid as much as you and I can’t understand why they paid that much when it could have been bought much cheaper with minimal effort.

 

[Ingridthehorrible]

Auction prices for Bronco Raptors are definitely crazy and many have commented on the prices.


I think a little perspective is in order.


Lets look at comparing net worths. If one individual has a net worth of 1 million and another has a net worth of 10 million the one with the higher net worth has 10x what the lesser has.

So paying 150 a 180K for a vehicle that retailed for 86K really has no effect on high net worth individuals.

Sounds like the logic of a Harvard grad with an MBA

And at 60, I only have so many years until my daughter comes asking for my keys and throws “the club” on my steering wheel. So paying over MSRP is reasonable value from my current perspective. However, It would have been out of the question at 30, stupid at 40, and inconsistent with my retirement targets at 50.

All kidding aside if someone wants to spend 100 to 150% markup so be it, its their money. Don't judge people to harshly until you spent a lifetime walking in their shoes. You only have limited time here on earth, do what makes you happy.

 

[Internationalraptor]

Obviously the majority of the posters are in the million or less club. Not trying to insult anyone like the many who’ve taken shots at me here but real money has no bounds and doesn’t disappear with a few big purchases. I’ve got a good friend who owns a large manufacturing facility and he purchased a property on the intercostal in Miami several years ago. Before two long he had a 60 foot boat, yacht or whatever you’d want to call it. He now has an 86 foot boat. I asked him not too long ago when’s the last time he went down there and he said March. Of last year! When I teased him about paying the boat washes all of those weeks without using his dingy he told me he hadn’t had a boat washer since he got rid of the smaller boat. When I asked why he said he’s got a full time captain that lives on his boat and he’s responsible for keeping that up. Upon pressing him on how much that costs he said six figures.

I’ve got another friend with 40 commercial properties, think McDonald’s, Arby’s, Burger Kings, gas stations and the like.

oh forgot that my one buddy also has a 100k dyno in his garage that he only uses a couple of times a year on his unlimited tractor engines.

So to say that people who have money are squeezing tightly the first two nickels they made in their pocket and never spend is just not accurate. Trickle down economics works! Trust me I see it every time I’m a guest at the country club and I watch bills being discreetly passed to the wait staff.

 

[indio22]

This has been fun watching folks arguing about the intelligence and motivations of people who pay substantial markups on a badass car that, at least for the moment, appears to be largely constructed of Unobtainium.

I scrimped and saved all my life, I invested heavily and consistently and built a reasonable amount of wealth after being broke at 30. I never paid over MSRP for a car, drove sensible ones and retired early.

But I’m over 60 now, I won’t die broke and I wanted a Bronco Raptor. I could have got in line somewhere that absolutely sells at MSRP and waited three years (maybe more) to get my car, paying 5-15K over current 22 MSRP. Or I could suck it up, pay an ADM (that is much lower than any auction markup I’ve seen)and have my Braptor in 6 months or so.

And at 60, I only have so many years until my daughter comes asking for my keys and throws “the club” on my steering wheel. So paying over MSRP is reasonable value from my current perspective. However, It would have been out of the question at 30, stupid at 40, and inconsistent with my retirement targets at 50.

The guy who paid $200+k at the auction, probably has his own rationale. And anyone who can write a check for close to $250k (after cost, auction fees, TT&L) on a whim probably isn’t stupid as much as you and I can’t understand why they paid that much when it could have been bought much cheaper with minimal effort.

I agree about the time value thing. But that includes what a person does with the time. Blowing X dollars on a Bronco for some fake feeling of adventure, is a waste of money and time in my view, regardless of income.

 

[vzqhsg]

This post requires an "old school" response...No Shit Sherlock!

The the prize goes to...NSS!!!

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