How much money do you earn? And how do you spend it?

[The_Summoner]

Live alone?

Yep. For the moment.

 

[surface]

The Atlantis man said from his R11 000 salary, he paid a monthly instalment of R5 500 for his 2016 Volkswagen Polo.

https://www.iol.co.za/capeargus/news/busstrike-driver-cant-survive-on-salary-14617867

I have never understood this mentality. I have been postponing buying a new car for last 8 years and continuing with 2004 model as it serves its purpose. Now and then, I do get tempted by some cars I see on road but I really don't see the point of paying 9K as installment.

 

[SauRoNZA]

Like this tool;





https://www.iol.co.za/capeargus/news/busstrike-driver-cant-survive-on-salary-14617867

No financial sense whatsoever

Not to mention it’s supposed to be illegal to provide finance in a case where that would happen.

Unless the R11000 is net income and the oke is neglecting to mention his benefits like medical aid and pension and what not.

Even so it’s *** stupid and really isn’t his employer’s problem that he can’t manage his money.

 

[supersunbird]

I get 14 by the shop i work buy and i pay 800 for rent a month by my mom and the other money i pay is for internet 900 dstv 900 car 4600 outsurence 1400 petrol 1800 biere en party 3000 and skild 2000

Too much car for too little salary.

 

[supersunbird]

Not to mention it’s supposed to be illegal to provide finance in a case where that would happen.

Unless the R11000 is net income and the oke is neglecting to mention his benefits like medical aid and pension and what not.

Even so it’s *** stupid and really isn’t his employer’s problem that he can’t manage his money.

Net income.

 

[SauRoNZA]

Too much car for too little salary.

I would be more concerned about the 21% literally being drunk away.

At least the car has benefits.

 

[cn@]

Is there a rule of thumb that goes with the maximum you should generally be able to afford when buying a car.

I once heard that it is inadvisable to ever purchase a car through montly installments that is more than 1 year's gross salary.

Is this still correct?

 

[Messugga]

Is there a rule of thumb that goes with the maximum you should generally be able to afford when buying a car.

I once heard that it is inadvisable to ever purchase a car through montly installments that is more than 1 year's gross salary.

Is this still correct?

Even that is pretty high. I've never bought a car which in total cost more than half my annual salary. Honestly, unless you're into cars, drive the cheapest you can afford that caters to your needs. Safety, comfort, etc. If you're sitting in a car three hours a day in traffic, in my mind it's a lot more reasonable to drive a more luxurious car than if you're driving 2km in 10min every day.

 

[cn@]

Even that is pretty high. I've never bought a car which in total cost more than half my annual salary. Honestly, unless you're into cars, drive the cheapest you can afford that caters to your needs. Safety, comfort, etc. If you're sitting in a car three hours a day in traffic, in my mind it's a lot more reasonable to drive a more luxurious car than if you're driving 2km in 10min every day.

Or nett salary, I can't remember.

 

[zizo911]

Neither I teach online for a Chinese company.

Teach me the ways master

 

[crackersa]

Even that is pretty high. I've never bought a car which in total cost more than half my annual salary. Honestly, unless you're into cars, drive the cheapest you can afford that caters to your needs. Safety, comfort, etc. If you're sitting in a car three hours a day in traffic, in my mind it's a lot more reasonable to drive a more luxurious car than if you're driving 2km in 10min every day.

This is what I was taught.

 

[Hamster]

Even that is pretty high. I've never bought a car which in total cost more than half my annual salary. Honestly, unless you're into cars, drive the cheapest you can afford that caters to your needs. Safety, comfort, etc. If you're sitting in a car three hours a day in traffic, in my mind it's a lot more reasonable to drive a more luxurious car than if you're driving 2km in 10min every day.

Got to agree with this. I recently took a long look at the "SUV" doing about 20km a day. R7200 pm including insurance, R4k per tyre etc... it makes no sense.

Trading it in for a smaller car (downgrading) that costs me a couple of thousand Rand less a month wasn't difficult at all.

But then I've had my fun and already married so I don't need to show off anymore

----

And I hope the R14k pm dude with the R5k pm car was taking a piss...

 

[Solarion]

How much do I earn: Not enough
How do I spend it: Too fast

Uh huh!

 

[Alton Turner Blackwood]

Not to mention it’s supposed to be illegal to provide finance in a case where that would happen.

Unless the R11000 is net income and the oke is neglecting to mention his benefits like medical aid and pension and what not.

Even so it’s *** stupid and really isn’t his employer’s problem that he can’t manage his money.

He works in some shop so I strongly doubt he's getting any benefits.

Mommy probably bought the car and he's paying the instalment..

 

[supersunbird]

I would be more concerned about the 21% literally being drunk away.

At least the car has benefits.

Biere and party, party means ladies, as long as he gets some from the ladies, it's cheaper than a permanent GF

Now that I think about it, if the car is a girl puller, MAYBE it's worth it too.

 

[SauRoNZA]

He works in some shop so I strongly doubt he's getting any benefits.

Mommy probably bought the car and he's paying the instalment..

That was about the bus driver.

 

[Dolby]

Not to mention it’s supposed to be illegal to provide finance in a case where that would happen

Many years back (2006) , I used to work in the ABSA vehicle finance call center. My role was the initial calculate cost etc before taking the application for final. There's 2 calls in specifically I remember :

a) A guy phoned in and wanted a specific pre-owned Merc he saw. I got the details and worked out the monthly installments - R4,600.00. I tell him and ask if he's happy to proceed, which he is. First question I ask officially is gross salary ... R8,000! Aside from not being able to continue, I was shocked he WANTED to.

b) The guy was 24 year old (younger than me) with a gross income of R120,000pm - owned 3 or 4 businesses. He was going to sell a Cobra AC etc to finance the car ... he wanted to finance a Ferrari with a monthly premium of R20,000 odd per month after his deposit. It was more than 4 times my salary :/

 

[CamiKaze]

We still on this car topic? Lol look, here's my take on it... Some people need to compensate for something. That's it!!! .

Let them suffer with the debt but hopefully their dreams is been fulfilled in a different way.

My 10 year old car is still treading along happily.

 

[Alton Turner Blackwood]

That was about the bus driver.

Ah, as you were then

 

[genetic]

My 10 year old car is still treading along happily.

So is my 17 year old car - not going to replace it any time soon.