My husband wants to buy a car and I think that's a bad idea - what do you think?

Why do you have student loans with that income. Pay them off immediately. The look at reasonable new cars instead of used SUVs. You can buy something like a new malibu for $22k.

what state do y'all live in, and how old is the kid?

- Student loan: we could pay it in full today, but the plan is to get rid of it by end of 2021 at the latest, so very soon anyway. I want to keep our emergency find and investments as they are right now.

- State: NY.

- Our kid is 4 yo.

does he want a subaru

sdfkjbndsbvksndfklvnskdfvkj;sdfnvdfslvbn wrote:

does he want a subaru

the kid, i mean

You might be making a joke, but I didn't get it.

He's looking at Lexus, Audi, Nissan...

You say that you have a 401k, an IRA, and 50k in investments. If those are three separate things, what is the purpose for the 50k you have in investments?

Do you plan to help finance your child's post-secondard education?

If you're saving at a rate you agree on with your husband and have the cash to pay for the car, go for it. It's ok to spend money on desires as long as you've got your needs covered today and tomorrow, so to speak.

In addition to our retirement accounts, we have an investment fund to use for a downpayment if we ever decide to buy. We don't have a college fund. I should work on it at some point.

Our son is in PreK so it's the first year that we don't have to pay for school/daycare. It's a great feeling! We live in a neighborhood with great public schools so we will use the public school system.

Another Option wrote:

It's ok to spend money on desires as long as you've got your needs covered today and tomorrow, so to speak.

That's what I'm worried about. Maybe I'm being harsh with my husband. He loves cars and I don't, so it's hard for me to understand his point of view. Thanks for the perspective.

at least let the kid pick the car out

Unsure frugal gal wrote:

Another Option wrote:

It's ok to spend money on desires as long as you've got your needs covered today and tomorrow, so to speak.

That's what I'm worried about. Maybe I'm being harsh with my husband. He loves cars and I don't, so it's hard for me to understand his point of view. Thanks for the perspective.

I wonder whether your husband posted on Letsrun when you wanted to have an expensive child because it was hard for him to understand your point of view.

I'm frugal so I can empathize a little bit. Will you keep the old car? Having a second vehicle can be very convenient. If you're getting rid of it, be wary of trade-ins at a dealership -- you might be able to sell it yourself for more. Having all-wheel drive (or 4WD) can be nice given that you live in a snowy location, so an SUV does make sense.

I would avoid a brand new car, and also avoid the luxury brands you mentioned -- you pay a huge premium for pretty interior finishings and some gadgets you don't need. Maybe look at something like a Rav4 or CRV? Also get a quote from your insurance company about how much extra it will cost to insure. This can be a big cost that people don't think of. Do not do a lease. Even a car loan is questionable but interest rates are pretty low right now so it's probably not the end of the world.

Buy a GOOD (have a mechanic check it out) used Toyota SUV/AWD. Properly maintained, Toyota's last forever. Also, Lexus IS Toyota, just more expensive.

What problem is he trying to solve with a new car?

Is he worried that the current one won't last long and may throw a major bill soon? Does he think the current one doesn't reflect his status? Does he want to go drive offroad? Is he bored of the current car? Is he thinking about more kids and that you'll need more space? Does he just want to spend some money?

If you can understand his motivations it might help to get to a place where you both agree.

Options might be:

Do nothing

Keep the current one, hire a fun car for a week

Keep the current one, buy/ lease another one

Replace the current one with something bought/ leased.

You will find that an SUV is very convenient for family activities, grocery shopping, and the like. Buy the cheapest used Toyota that is nice enough to appeal to your husband. If it has under 100,000 miles, it will last forever at your described usage rate.

Unsure frugal gal wrote:

Another Option wrote:

It's ok to spend money on desires as long as you've got your needs covered today and tomorrow, so to speak.

That's what I'm worried about. Maybe I'm being harsh with my husband. He loves cars and I don't, so it's hard for me to understand his point of view. Thanks for the perspective.

Being in a marriage is about compromising and not just about what you want. Does your husband work? If so, he should be able to buy things he wants within reason. If not, this will just promote bitterness on his part. You need to agree on a budget and as long as it fits in a budget it’s fine. You should have savings and continue to save, but what’s the point in never enjoying the fruits of your labor? You can’t take your 401k with you when you die

I think living in New York is a bad financial decision. Move to another state prior to considering a new car.

It should have nothing to do with him or her working. A real marriage is a partnership with everything being jointly owned. All money belongs to the couple, regardless of who earned it.

financial $ wrote:

It should have nothing to do with him or her working. A real marriage is a partnership with everything being jointly owned. All money belongs to the couple, regardless of who earned it.

This is a recipe for divorce.