The Math Behind The $1,250/mo Rolls Royce Cullinan

[@eyelovecolorado2195]

I’ve seen videos online where people are paying $1500 month for a 10 year old Toyota Camry! Education is key!!

[@Johnpilev]

Is he saying the “hack” is to barely drive the car? Like, just leave it in your garage lol 😂. If you’re starting with 15k miles over 2 years, that’s 7,500 miles a year. And if the “hack” is to drive half as much, that’s only 300 miles a month. I do that in 5 days‼️

[@jbezel992]

That should be good because of course if you have a RR you have more than one car. that is how this would work for someone. But if i had a RR i wanna drive it.

[@wildsaddle6000]

Enjoyed the analysis - very nice (and car collection). I've been considering buying a used Cullinan but never factored in the fact that the warranty should still be good for year 4 & 5 with low miles. Now (after your analysis) it looks like I'll be shopping for a 3-year-old Cullinan with low miles. Thanks.

[@georgiekerrigan9996]

Great video ! You messed the math up a bit. The total cost comes out to $2650 per month but this is ideal way to buy cars I’ve been doing it for years!

[@allanrobbins5584]

Summary: Buy a used car, don't drive it very much and get a zero percent loan. Genius!

[@damesmithe514]

What’s your thoughts on using a line of credit or a high limit business credit card that offers a 0% introductory period to pay up 12-15 months of your monthly payments in advance so that now you can make a minimum payment to the line of credit/credit card every month to reduce the amount of money you have to come up with for an exotic hack?

[@ExoticCarHacks]

Creative financing options are possible but be careful not to commit credit fraud

[@CalebCharlesPage]

So essentially try and find a car that has lost most of its depreciate within a certain miles. Got it

[@AndreaDoesYoga]

Incredible math, might get a Cullinan someday! 🚗

[@ffarmand]

Great video. Keep these formats coming. Damet garm.

[@frankwhite2959]

What about the interest on the loan? The interest on the loan plus the $1200 a month in depreciation.

[@bonaparteinexile1436]

How does front loaded interest play into the equation?

[@ExoticCarHacks]

Good question. Interest is the penalty you pay for not using cash. Either you know how to make enough money with your money to offset the interest cost, which most do, or its simply your cost of getting access to cash that you don’t otherwise have. It does not equate into the hack calculation, and generally, the networking value of having the rules for something else offsets your interest cost. In this situation, the interest would cost around 800 bucks a month, which could be made by trading one watch per month with $5000 to start.

[@ExoticCarHacks]

to be clear, there is no FRONT loaded interest in most car loans, they are simple interest.

[@ekremozer2973]

@@ExoticCarHacksbut the lease payments include a significant amount of interest baked into the monthly payments. So, to compare apples-to-apples, you’d need to include cost of interest in the hack. If you borrow 250-275k, you’d lose around 20-25k a year in interest payments.

[@ekremozer2973]

I think the other advantage of financing is accelerated tax depreciation for a vehicle this size. You can offset your taxable income by taking a faster depreciation if you finance vs leasing

[@edward8009]

In simple terms is this not just buying a car after the greatest amount of depreciation ?

[@ExoticCarHacks]

In the very simplest terms but you can still get crushed buying used if you don’t buy the right spec, miles, price, etc

[@edward8009]

@ thank you.

[@ManfredEWhite]

Thank you. Nice video.

[@alexanderziehl7529]

What happens if the car is damaged?

[@ethanhauser8423]

If there's 20K miles on the car, and you add 5-7K per year, how do you get to half of 35K?

[@doveexpress4844]

I agree with everything you just said, but you gotta have warranty. Without warranty you will spend more than 20000 on maintenance

[@daniellikes]

The ad valorem tax paid on the purchase is a deduction event as well as being able to depreciate the vehicle on tax's. Great hack explanation!

[@naeemwahab7284]

Where is the interest expense?

[@int131299]

great info

[@ceo_Angelop]

Who tf buying this car has a 25% tax rate lol.

[@bonaparteinexile1436]

@@ceo_Angelop very much possible

[@ceo_Angelop]

Yea some who buys this and schedule 179s it and doesn’t make enough after to be in the highest tax bracket. Or who has some convoluted tax structure that is just begging for an IRS audit.

[@bonaparteinexile1436]

@@ceo_Angelop it's possible with the current code, maximum tax rate, and a simple easy to quantify business.

[@Qwr345]

Enjoy your $2000/month insurance premium😂

[@bonaparteinexile1436]

@@Qwr345 2k?

[@Qwr345]

In New York 5 boroughs yes. $2000 premium. You can pull up a quote right now!!

[@ExoticCarHacks]

These cars aren’t even $2000/year to insure lol

[@bonaparteinexile1436]

​@Qwr345 who is the carrier? I use Heacock for mine. Very reasonable.

[@AB-uc5vj]

@@ExoticCarHacks they really have no idea lol

[@Rogershijianhui]

I have 1 million dollars and I will invest in SCHG and BrK 50/50. I will borrow against my portfolio and then use the proceeds to buy RR and drive the shit out of it. In five year, the portfolio is worth 2 million and I can cash out and buy another car.

[@ashishpatel350]

white and white is a meh spec. id rather have a better color on the inside. doesnt the cullinan qualify for the heave vehicle tax write off?

[@lyonelphilippe-auguste8224]

Shouldn’t it be 300k plus the 25k taxes?

[@ExoticCarHacks]

You don’t have to pay tax on cars

[@alexendrealex577]

Amazing

[@sahildhanrajani8936]

Keep coming with the lomg videos

[@milesvstheworld2894]

another banger of a video

[@jasoncrandall]

Tax rate is 43%. Anyone making $250k or more knows this.

[@jjmm2928]

Anyone who makes that much money knows it’s a progressive tax rate. You aren’t paying 43% on all of it, only above a certain amount. And anyone who makes that kind of money knows that itemized deductions can reduce your taxable income to almost nothing, thereby giving you an effective tax rate of 0%. Source: I’m someone who makes far more than that and pays a few % in taxes a year, because my corporation is able to itemize deductions and reduce our net revenue. Even my cars are fully depreciated and deducted.

[@OzzyMtz]

Chingon 🎉