Our cars are devalued significantly.

[Bruboy]

Now add back in the tax credit most people got and it’s 46k.

But yeah…buying new cars, they drop in value the day you drive off the lot.

My 2015 Mustang was worth 10k when I sold it…guess I should never have a car because they drop in value.

Yep, most cars all take 20%-30% the minute you drive it off the lot.
I'm guessing a lot of people probably didn't realize that before, possibly because this is the most they have ever paid for a car. That why I have never bought a Mercedes or BMW new, they get killed on depreciation too.

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[67 Stang Convertible]

Does anyone remember how much we all got for the car we replaced. I had a 8 year old Honda accord. Got almost 22k for it. Plus the 7500 rebate. Neither of those financial incentives are available today

and I am keeping this car at least 8 years!

I got nothing!!! 2018 Kia Sportage----> Daughter ... LOL

 

[67 Stang Convertible]

My Mach-E gives me much more than transportation service.

That is too easy, so I'm just going to leave this one alone today..... But, Oh my, we could have had some fun with this one!!!

 

[StromSpeed]

As expected. And maybe even faster given ME’s are rolling computers than ever with battery technology that WILL be eclipsed and the SW updates stop. But I’m ok knowing I’m enjoy this capability in the moment.

Want a vehicle investment: buy any Ferrari or Porsche. The more mechanical-heavy it is the better the time-less value.

Datapoint: traded our 1st Gen 2018 Tesla M3: new $59k, trade $19k, lost 40 miles off max range (310 >> 270) in 5 years.

 

[AngryMan]

That is too easy, so I'm just going to leave this one alone today..... But, Oh my, we could have had some fun with this one!!!

Yeah glad it wasn't just me who became a juvenile after reading that ?
Should I be worried about thinking like you ....or should you be worried about thinking like me ?

 

[67 Stang Convertible]

Yeah glad it wasn't just me who became a juvenile after reading that ?
Should I be worried about thinking like you ....or should you be worried about thinking like me ?

Looking at our Avatars, I think it should be me whos worried

 

[Jerrytball]

For me the tax credit means nothing they could’ve gave me $100,000 tax credit and it wouldn’t help me one bit. I’m one of those in the situation that has such an income I break even at the end of the year so I owe nothing & They owe me nothing, so the tax credit,

 

[crl]

20% is one thing, but 50% after 10 months (in my case) is just ridiculous

 

[Jerrytball]

"Breaking even" with taxes just means you pay the correct amount up front on a quarterly basis or through FICA deduction throughout the tax year. Income only comes into play as dictated by the law that regulates the income limits.

Well, I pay no quarterly amounts. Mississippi does not tax my military income and along with Social Security pretty Much adds up And with the standard deduction, it’s a break even. My CPA told me next year I’m not even gonna charge you but just come in. I’m gonna look real quick. You may not even have to file anymore lol

 

[AngryMan]

This was my 21 Select . I traded it in when the last price drop hit on the 23s and just before the loan went underwater on the 21

 

[Sikkun]

Well, I pay no quarterly amounts. Mississippi does not tax my military income and along with Social Security pretty Much adds up And with the standard deduction, it’s a break even. My CPA told me next year I’m not even gonna charge you but just come in. I’m gonna look real quick. You may not even have to file anymore lol

I assume your military income is federally taxed. Even if you’re using that standard deduction you most likely would still receive a benefit from the credit. It would lower your liability, and you’d end up with a refund.

May not, but I wouldn’t rule it out just because you don’t owe at the end of the year.

 

[Jerrytball]

I assume your military income is federally taxed. Even if you’re using that standard deduction you most likely would still receive a benefit from the credit. It would lower your liability, and you’d end up with a refund.

May not, but I wouldn’t rule it out just because you don’t owe at the end of the year.

First off yes it’s federally taxed but you got a realize I am not the guy that retired at a high rank. I did my 20 years I retired and the amount of taxes taken out of my check are not enough. But when they compute my taxes and they get to the end and they say Jerry, you don’t make enough to owe the government any money so you can’t get a refund and we cannot apply that $3700 tax credit so I go with that. if I walk out of there just paying them or doing my taxes I’m happy, because the year before that I cashed in savings bonds that I had 30 years and that ended up costing me about $4500. I could’ve used the tax credit then that would’ve helped.

 

[Timelessblur]

People panic so much over it but remember you need to start off the price of your car at 7500 less than you paid for it as the starting point. Reason being is that was our tax credit that we all floated.

I personally dont stress it to much as I keep my cars 7-8 years and no matter how badly a car drops in value they all drop pretty low by that point any how. Come on my 2013 car I paid 32k for, I sold for 5k in 2021. It had 160k miles on it. At 7-8 years range cars just are not worth much. I plan on keeping my mach e the same length of time.

 

[leeman]

Thank you all for your thoughtful replies I will say the car goes back into the shop again with another error something wrong with the front and sensors hailing and causing strange errors hearing dashboard

 

[Timelessblur]

First off yes it’s federally taxed but you got a realize I am not the guy that retired at a high rank. I did my 20 years I retired and the amount of taxes taken out of my check are not enough. But when they compute my taxes and they get to the end and they say Jerry, you don’t make enough to owe the government any money so you can’t get a refund and we cannot apply that $3700 tax credit so I go with that. if I walk out of there just paying them or doing my taxes I’m happy, because the year before that I cashed in savings bonds that I had 30 years and that ended up costing me about $4500. I could’ve used the tax credit then that would’ve helped.

You might be one of the rare edge cases that tax liability is so low that they can not apply the credit.

Remember it is about how much taxes you pay and the refund/ paying at tax time is about balancing your balance. The year I bought my Mach E I had a refund of 1-2kish before I applied my Mach E to it. After that it jumped my refund to 8-9k range. I still paid over 30-40k in taxes that just I had over paid by a healthy amount.
This year I had to readjustments to what was taken out to avoid another massive refund as I got a new job but set up my W4 incorrectly and had to much taken out. Still going to be large refund as I did the update before I knew I was having another deduction coming my way. The new deduction is kid number 2.

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