Should I Buy a $22,000 Truck? (Dave's Answer Changes at the End...)

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[@jettpine2162]

HE DIDNT SAY "Better than I deserve." MY world is crumbling.

[@thejakelegion]

Haha! Yes! Although, he does switch it up from time to time when he has a guest host. If someone says "How are ya'll?" He can't really say "Better than I deserve."

[@omarcepeda9121]

😂😂😂

[@zahavasantos902]

😅

[@calebniederhofer6529]

He does not say it on probably 30% of the videos lol.

[@billgateskilledmyuncle23]

72k in the bank and you're tippy toeing over paying off 8k!? Dude, pay it off.

[@weaselton]

Totally in agreement but at least this flaw is better than the other option.

[@truthhurts522]

I think its to keep his credit score high overtime.

[@billgateskilledmyuncle23]

@@MidwestFarmToys that would put you down to 135k. Dude pay it off. I'm a year younger than you and have 6k in savings. I'm way behind you, but once the interest resumes, why let it sit and collect interest for the servicer?

[@jolyvincent]

@@MidwestFarmToys same here net worth in the 400k, limited savings, I couldn’t care less about my 11k in student loans at 3% when my RRSP (Canadian 401K) is >5% even on the rona year.

[@cisium1184]

He probably tippy-toes around most payouts out of a general aversion to any kind of drastic move. That'd explain the 72K as well as the 8K debt. You get money on the bank, you tend to want to keep it there. It's common in self-employed people, who rarely can project business more than a couple months ahead.

[@patty109109]

This guy isn’t rich but he sounds steady and reasonable. Enjoy the new truck.

[@LetsTalkPersonalFinance]

The look that Dave and Ken gave each other when he said he had $72 000 dollars saved and $8 000 debt 😂😂😂😂

[@jlozano180]

Me to, I’m like what in the world

[@johnallen3497]

These people just call in to be stupid

[@TheQuickyouknow]

@@johnallen3497 lol

[@starbai410]

jlozano180 s2k all day 👍

[@RGTomoenage11]

I mean, why owe money when you have that much ::

[@glennm449]

If this gentleman is a self employed contractor, I would have liked to hear how he could use the 22,000 truck as a business deduction on his taxes due to it being a depreciating asset. Ramsey could have covered that. I support getting a reliable truck if it's used to make money.

[@midstateconst5947]

If you're a self employed contractor and you don't have a reliable truck, you won't be working.

[@mkd3351]

Dave couldn't comprehend that the payments on a truck is less than the maintenance on the one he has so i doubt he would have been able to provide any trustworthy info on tax laws

[@allenpriest8985]

Dave has enough sense not to give tax advice.

[@kellyinfanger9192]

As a self employed contractor with previous experience in tax return preparation, I can fill in some details there. It has been my experience that the IRS mileage deductions far and away exceeds the actual expenses and depreciation. You can't do both. The only exception I can think of is if he is facing a huge tax consequence (which he might if he is jumping from 25k to $130k income in the current year) in one year; in which case he might consider writing the entire truck purchase off as a Sect 179 expense. That is not likely worth losing his milage deductions for the life of the truck. By-the-way, if you rely strictly upon Turbo Tax's software, you are not likely to get the best deductions in this regard. They try, but I have lost confidence in them.

[@kendalldoran6361]

I agree with a lot things Dave mentions but truck market in 2020, 22,000 buys you a truck with 100,000 miles or more , I don’t think Dave knows the truck market value. 10 years ago a new truck loaded cost 35-40, now a base model is 40

[@christian-gu5oq]

He does but he doesn’t give that advice to others Dave mentioned a couple years back how he had gone out and bought a brand new top of the line truck to pull his boat.

[@dillonh321]

If you look at fully loaded trucks. Base models can be had for 22k with 50k miles.

[@joshwittenburg4225]

Just got a 2021 Colorado for 22k.

[@bret9768]

@@joshwittenburg4225 a Colorado ain’t a real truck bro

[@scottcurry479]

@@joshwittenburg4225 I'd not tell anyone and park it in front of your neighbor's house.

[@BLH5960]

Thanks to Dave I sold all of my things with motors and tires and now I walk 30 miles to work every day

[@XtinaAlobot]

And you are on your way to becoming a millionaire

[@FrostyTheSnowman12321]

🤭

[@MaGaTOW69]

Thanks to Dave, I sold my Truck and now take a tricycle to work.

[@raallen1468]

Dave says: why are you driving on 3 tires, when you can get by with 2 tires?

[@mattschmitt9924]

Sell the trike. Get a used pogo stick.

[@raallen1468]

@@mattschmitt9924 Be sure it's not bent.....

[@kbere4142]

I can’t with you guys 😂😂😂 it’s funny cuz it’s true, but I love listening to Dave anyway!

[@kbere4142]

Saul Goodman so what is you’re saying is you refuse to run toward financial freedom with gazelle intensity. Instead you choose to take the lazy way and use a unicycle, which is slower and costs more than the two legs God gave you. Back to beans and rice, rice and beans, and start running again! The only wheels I wanna see you on are used, combined at less than half your annual income, on baby step 4 when you can afford to buy them.

[@FLORIDAHOODVLOGS]

We just bought a $12,000 SUV - CASH. I ALMOST signed for a $22,000 truck.. than I saw the interest and DAVE RAMSEY ghost came upon me at the Montgomery Capital Car dealership and SAID " (RANT)".. so glad I did take the cash option and NOT finance that thing. Its not the NEW TRUCK.. but its PAID OFF.. aint NOBODY coming for it.

[@richarjimenez4991]

It's a new truck. Its your new truck👏👏👏🎉

[@joshuarush3872]

The face Dave made after him and Ken looked at each other: “Come again? So, why are you calling?”🤣🤣

[@enlightenedidiot9552]

Dave is very smart in telling people to buy one or two year old vehicles. That way some other person lost all of the depreciation, or at least most of it when driving off to show room floor. A great idea is nearly new vehicles, not brand new vehicles....

[@robertbell525]

Trucks are expensive, even used. He needs something reliable for the business. When it's not running that's directly costing him repair money plus income and possibly customer goodwill. I'm also on board with a $22K truck and run it til the wheels fall off. If you're spending as much as a car payment every month in repairs or fixing it yourself every time you turn the key, it's time to give it up.

[@need4speed98]

exactly, my truck was 380 a month and cost about the same, he would be saving himself 100ish a month by buying something else... side note, why dump 500 a month into a 1500 dollar truck... makes no sense to me but...

[@2-old-Forthischet]

Used truck prices are through the roof. That's the reason I bought a brand new one. I paid $27K brand new in 2003 and still drive it today as a daily driver.

[@westonr4359]

Ya sometimes your better off that way, truck prices are through the roof! Dave must not pay attention to truck prices

[@itptires]

Yeah I actually paid 3k LESS for my new truck than they were asking for used ones with fewer options. Kept it 2 years and sold it for 2k under what I paid. Used for business during that time and saved about 6k in taxes

[@misterb1132]

Here in November 2022.......prices are craaaazy on new cars and especially trucks. Feel so happy to have just paid-off my 2016 Mini S hardtop, but man it's hard not to cross shop all these smaller suv's.

[@thatmoneyguy7630]

That reaction to the saved cash was absolutely hilarious!!! 😂😂

[@ElainesDomain]

I don't know this guy but I like him. Good sense of humor and a great money manager. Good luck. (Not that you need it.)

[@cannednolan8194]

Good job on getting it together. Wish you and your business success.

[@lkj0822g]

You can find used 1/2 ton pickups fairly reasonable in price. Used 3/4 ton pickups are double for the same make and year. Put a diesel in it and people are insane.

[@AlexanderRamsey]

22k doesn't get you much truck anymore, Dave.

[@James-yi1vk]

Yeah a 22k truck is a conservative buy.

[@phillipgrimshaw351]

That’s a white 2wd work truck with vinyl seats and roll up windows.

[@XtinaAlobot]

I like Dave Ramsey and Co. And I started listening to him again recently. However, he tends to jump to conclusions rather quickly about a person's financial situation. This gentleman's situation is a great example.

[@ROCKETS2965]

"I'm on babystep two" Five minutes later: "I have $90,000 in savings and $60,000 in retirement." Wut?

[@InvalidFingerprint]

Some people don't grow up with Dave's principles. He's probably been saving/investing for a long time

[@ROCKETS2965]

Dr. BoJangles 80% of Dave’s principles are common sense. Having $90,000 saved with an $8,000 loan you’re paying interest on is completely ridiculous. I don’t think it’s stupidity as much as it is a problem with hoarding cash. The guy has done a great job in savings he just needs to get rid of that loan.

[@BadMannerKorea]

ROCKETS2965 A lot of Dave’s advice is actually wrong. It works for people in these comments because they have no clue how to leverage debt. Dave treats you like you’re inept. Hypothetically if I were $8000 in debt, let’s say student loan debt at 5%, but I’m actually making more in the market, why would I ever pay that off? Even better is that student loan interest right now is not accruing, so I’m only making profit. That’s just one example, a really simple example, out of thousands. The biggest companies in the world do the same thing. Countries so the same thing. And intelligent people who understand basic math do the same thing.

[@matthewsawczyn6592]

@@BadMannerKorea Of course, it's totally true. The math checks out. I think Dave's principles are meant to help everyone, and the average person is better off with having no debt hanging over their head. And then going from there (it's why he's much more lenient on mortgages - _very_ reasonable debt, as long as you don't overbuy). Plus, for alot of people the debt is credit cards, and with their outrageous interest percentages, those have to go Dave is honestly more motivation than pure numbers; but for most of us, we need that more!

[@SityClicker1]

ROCKETS2965 you don’t know if he’s paying interest on that loan

[@moneytalkswithjonathanthom4150]

Great job saving just needed to fine tune. Really great job here!

[@Ojisan642]

Daryl and his other brother Daryl. Great 80s tv reference Dave! 😂👍🏼

[@CaseyBurnsInvesting]

Pay that debt dude! Today!

[@nezstom847]

the first time i havent heard dave say “better than i deserve”!

[@cammims7645]

My Dad just bought a 2011 CL63 AMG Benz cause he always wanted one. Now he in my Ear talking about i should trade in my 07 Yukon Denali for another one or a better one cause mines in the Shop At the moment! I'm like Dad! Why you trying to make me sign a car loan!? The plan was to get Debt Free! Crazy how he just signed a contract to his Benz now telling me I should get deeper in Debt cause he Desides to get into debt. No thank you! I'll rather pay a $2,500 repair bill over signing Negative equity into a new car loan smh. My dad sat in that Benz and totally forget the point in Working to knock out the Debt. Not get deeper into it!

[@trailrunnah8886]

Your dad financed almost a 10 year old Benz? Those are beautiful cars, but yikes! Good luck to him, because those can be maintenance nightmares. If I were you, if anything I would get an older Denali. The 07 is the first year that body style, an 05 or 06 may have less problems. If I decide to sell my 4Runner, an 05 or in 06 Yukon or Tahoe is what I'm probably going to get. I can get like three of them for what my Toyota is worth, LOL.

[@TheGearShots]

I just bought a 2017 RAM Rebel for 35k and I’m already debating on trading it in for a car for 10k or less that I can pay off extremely fast so I can live like no one else. Sounds appetizing!

[@avocadogaming3942]

Now is the time to sell the market is HOT! I just sold my 2019 F150 for more than what I paid. Got a 2017 Camry 4cyl and loaded. I cut my payments in half, the mpg is great, and it's zippy around the city. Check CarMax and Carvana. This might be the only time to get out and come out great.

[@ramseyabsessien8990]

I will always go to the dealers auction to buy a good used car.

[@albertobucio1919]

I agree with Avocado Gaming. I just sold my 2018 Dodge Charger 392 for $38k when it was only worth $29k in December. Currently looking for a cheaper car.

[@trailrunnah8886]

@@albertobucio1919 wow, that's crazy! Typically one would think the resale value on any Dodge would drop like a rock. Maybe it IS a good time to get rid of my 4Runner, those tend to hold strong value regardless.

[@iBJanky]

@@avocadogaming3942 But you still have payments :(

[@miriambertram2448]

Reliability is very important. 22k isn't that much for a new vehicle. Especially since he uses it for work.

[@nicholashomler1494]

Atleast in Montana a 1-3 year old truck is still 40-50 k.

[@brianpitsilides5337]

Way to give away the ending!

[@benh1425]

I wonder what Dave thinks about Toyota Tacoma’s? They hold their value extremely well.

[@yt-ll5mu]

that’s what I have. just bought my second one, 2015 with 100k miles and it was STILL $27k so it definitely holds its value and doesn’t really have a depreciation curve.

[@lesterparker1594]

@@yt-ll5mu you’re right. I wanted to buy one, I just didn’t like the way it drives. I went with a new Ford ranger. It fits me so much better

[@robertmontgomery7158]

Sorry, I call BS on 500 a month on 20 yr old truck

[@Astro95Media]

He was averaging the cost of the repairs he'd been having to do.

[@justinacase2623]

It's a Ford, bout right

[@tombrownrigg8794]

Thanks Dave 👍

[@UltimatePostman]

Replacement vs keeping: Best advice is what is the cost of continuing to run your vehicle VS what is the cost of replacing it. If it's running you $500 a month, but getting a new (replacement) truck will run you a decent amount less than that, I'd go for it, especially if you're using it for business and can write it off and pay for it in full.

[@Lasaro7499]

I used to be afraid of texans but now i love them. It makes me feel very welcome when they say yall.

[@tymom9313]

Very nice job!

[@tacostwowheels4934]

Nice upload!!

[@Tybward]

This dude is in my exact same shoes lol. Have a 2002 F150 and have it in the shop or working on it myself about every month lol.

[@gregtorre6513]

I learn on this show not to buy a car new. Thank you so much best regards Greg

[@Cotyblack]

I upgraded from a 20 year old truck to a 30 year old truck. A lot of wrenching haha!

[@trwsandford]

My Man! Good on ya! My truck is 18yo, and I own my own business. I'm buying a second one that is 20yo so it matches and looks like a fleet.

[@erazco6568]

The guy probably bought a Honda Ridgeline 😂😂

[@smmoffat]

Dave hasn't seen the prices being paid now for a C10 chevy... It's all appreciation with those now. And those WERE work trucks!

[@nrqed]

In 2019 he made 25k, and this year his on track to make 137k !?! Isn't anyone curious about finding out what he did to multiply his income by 5.5?

[@acctsys]

Quite possibly, the source of the 25k wasn't there for the full year.

[@bunnywhowho4297]

he said it himself, hes a self employed private contractor.....he can pick and choose when he wants to work

[@Lee-dn3ou]

22k would be a nice used truck and being in that spot financially I'd say buy a truck and pay off the 8k. My wheels are a little more than 1/2 my income but I own everything including my home.

[@BirdDogey1]

I take a bus for 6 hours a day to my job because Dave says I cant have a car. Ive been fired 3 times because my bus ran late.

[@nickl2217]

How does a truck cost 600 a month those are some major repairs Tires and battery aren’t repairs that’s Maintenance

[@chrishart8548]

After 4 new tyres and 1 new battery how does it still keep costing 600 a month

[@mrgeorgeburdell]

Yes, I immediately realized he wants a new truck and is lying to try to justify it to himself. His truck is NOT costing him $500 to $600 a month to keep it going!

[@chrishart8548]

@L Cam this sounds more likely. I think his mechanic is screwing him.Maybe even doing work that doesn't need doing. To get $600 every month. Seems to be falling for it so far.

[@ponolovefarms3926]

He said it’s a ford

[@asteffenson88]

If he's paying that much a month to keep a 20 year old fort pickup running I would love to be his mechanic

[@romp23]

I have a 2006 tundra that I've had since 7k miles runs like the day I bought it proper maintenance is key. Just remember when buying a work truck if your gonna be hauling heavy loads it maybe more economical to get one with a larger engine. The larger one will work more efficiently under a heavy load than the smaller.

[@AStanton1966]

I learned my lesson. I would never ever buy a truck again unless it had a V-8, even if I was only going grocery shopping with it. Trucks with V-8's have better suspensions and resale values.

[@AH-up8zh]

Hahaha Dave you find me a 1 or 2 year old truck for 22k!... I'll line up to buy it today!... Your looking at a 4-5 year old truck...

[@raallen1468]

Dave says; Do as I say, not as I do....

[@avocadogaming3942]

Prob a Nissan frontier....

[@AH-up8zh]

@@avocadogaming3942 that's not a truck... Lol

[@dillonh321]

@@AH-up8zh That is a midsize truck.

[@AH-up8zh]

@@dillonh321 hahaha more like a wannabe truck!

[@theplatinumcaraudio]

1 or 2 yr old truck for $22k??? Hahahaha. I was recently looking at buying a truck and in the $25k price range was a 5 yr old with 180k+

[@dillonh321]

You are looking in the wrong place and at the wrong models. You can get a 2 year old frontier with 40k miles for 20k.

[@theplatinumcaraudio]

@@dillonh321 I don't really do the mini trucks. Being 6'5 and having a carseat in the back won't work for me.

[@dillonh321]

@@theplatinumcaraudio Frontier is a midsize truck...

[@mikesawyer4707]

If you like to fix this truck up. Continue to fix it. Period.

[@sunnydays4966]

Move up a few thousand in car is almost point less going from broke down to few thousand is ok. But I traded in a 96 Taurus for a 99 and paid 4800 in 2003 dispute that car lasting 12 years, I feel it was a dumb move at time and looking back up it was only good thing come out of it was next car lasted and learn how to a break job better than a dealer.

[@aquaticasmr184]

Wheels and motors could be investments I buy classic far for 800 bucks and created 3 or 4k in equity could sell for 5 or 6k and offset for cost of fixing

[@steveluken3180]

A year or two old truck is more like $30k...he will still have to go 5 or more years old on a truck unless he finds a steal in a private sale. Trucks retain resale value better than anything else with a motor.

[@dmitri.spector]

One thing that I'm not figuring out.... how often should you spend that on a car? does every 5 years + make sense?

[@johnnycatR58]

Depends on your financial situation. I tend to buy a car and keep it for 15+ years. My ten year old car is running great and no reason for me to get a new one. If you are like me and keep a car 15+ years and you have money for emergency and retirement, I say you can buy a reasonably priced car.

[@jack62509]

I like Dave, and I’m on board with his logic. However, Dave needs to stop jumping to conclusion and listen to the callers first. Get the information, and then make a recommendation.

[@cheezybred]

Daryl and his other brother daryl 😂😂😂

[@justinacase2623]

It's a Ford! Had a 97 Chevy Silverado, all original drivetrain. Nice young lady decided I didn't need that truck and destroyed it with me in it.

[@iceflameproductionz]

Hey why does the comments say your cant find used trucks cheap? you can get a good running truck for 8-12k. I bought a truck for 2500 and put 1200 in it and its mint, but i do my own mechanics. its a 1989 f450 with a 460 and a 5 speed stick

[@RGTomoenage11]

Ramsey cracks me up haha!

[@JadeTrading]

Thank you for sharing 🙌

[@laneblount9888]

If he keeps the new truck as long as the old one buying one new or slightly used would be a good choice

[@lookingforsure]

i would have asked him what the savings were for. if it's for a home deposit or any other purpose to it, he shouldnt probably touch it. it's easier to take off money from your paycheck and put it towards a new goal (here, buying a truck) than depleting your savings and building them back up again cause somethings always seem to come up.

[@scottrowsey292]

Lol “butt kicking to the depreciation”

[@samborlon]

Dave: Anything with a motor and wheels goes down in value... Laughs in a C-172

[@penguin12902]

Drove my Foxbody 5.0 for 17 years and sold it for more than I paid for it. Granted it was just a summer car and I only put about 50k miles on it. He's right though, daily drivers depreciate.

[@billylee5335]

Where does he live is he renting or owning that I missed that part

[@ShadowJP3012]

Chevy commercial so true 😂😂

[@HerrPoopschitz]

How many problems arise at $500-600 per month? Esp if you do the work yourself? Seems like every major system on the truck could be replaced in less than a year at that rate...then you have another 100k+ miles to go...

[@enriqueduran5215]

Lol I had an 83 el camino as my daily and bought a 2014 dodge ram

[@alexc5369]

Dave's KZbin team are good with the titles

[@thecatnextdoor12]

Have to be good with something. They’re horrible with the intro’s loudness.

[@roosteroriginal6458]

Old Chevy trucks go up in value ;) bought one for $500, put my worn out 19s on it and sold it for 2k ;) had over 330k miles in it, 4.3V6 C1500 2wd ;) - it still ran and drove and stopped like new tho, cause you know, it's an old chevy ;)

[@briankowald6465]

No that Darryl, the other one.

[@asaptherm]

When your car forces a hobby upon you sell it 😂

[@flyingmollywhop4228]

what I'm struggling with is a 2016 dodge ram that I use for work (business owner). I owe $9,900 and paying $430/month (only debt besides house). I have approx $8,000 including emergency fund. I really need to upgrade to a 2500 with 4 wheel drive. I keep getting stuck in mud, and the amount of weight Im hauling is doable with the truck I have now but it is putting too much stress on the engine and transmission...The truck I need is around $20,000. Should I trade my truck and get about what its worth (around $12,000), then put $5000 down? this would raise my loan approx $3,000 but lower my monthly payment by $200. I could now pay $700 a month towards principal instead of placing $500 in savings and have the truck paid off in less than 16 months (paid off in 21 months if i change nothing).

[@buckshot4428]

If he can find a good used truck for $22K buy it and never look back.

[@CycleCruza]

Cars and trucks depreciate greatly, waste money. Get a nice used truck for 10k or less for cash, where most of the depreciation has already taken place.

[@financiallift6185]

I'm just waiting for when Dave has emotions in his titles with those parentheses (sad) (exciting) (not clickbait)

[@mariek.474]

"You won't believe how much debt this caller has !"

[@ImStuckInStockton]

Haha nice comment (funny)(I LAUGHED)

[@financiallift6185]

@@ImStuckInStockton good one! (not sarcasm) I feel like this actually makes it seem like I'm being even more sarcastic

[@moneybot7618]

"Debt might be bad (EMOTIONAL)"

[@thehonkening1]

Ahh... Not clickbait, my favorite emotion

[@weswest8666]

Buy a nice resto mod pre smog Chevy truck for $25k and next year it’ll be worth $27k, then $30k the year after...

[@TiggerNyeah]

DO NOT spend a lot of money on a used truck! Buy cheap or buy new.

[@aolvaar8792]

I bought a one year old Truck with 1500 miles from the dealer, never Titled (parts runner) for 65% of MSRP

[@theentrepreneur607]

What kind of truck? Details please

[@aolvaar8792]

@@theentrepreneur607 2002 Chevy S-10 $15K for $9700

[@aolvaar8792]

@David Klein 65% is 65%, in 2009, Chrysler prior to the bail out 50% The S-10 was being used because someone ordered it with an overload spring pack(+300#), felt every bump. I go into a dealership, they ask "Are you looking for a car" No, I'm here to buy, cash money, get the senior salesman.

[@AStanton1966]

@@aolvaar8792 Dealers hate when you pay "cash money." Negotiate the price; then ding them with "cash money."

[@johnhiggins3943]

Was in this situation, in the same trade, but in debt. Hope I have this problem in a couple years $72,000 in the bank

[@LoveLife-oo9cz]

I never like old cars. In my life I have been driving newer cars with no debts because I paid cash. The only regret was I bought a brand new car from dealership and I hated it. New cars have problems too but with warranty you have a safe feeling but nah. You can pay for warranty with rebuilt title cars if you want. Out of my rebuilt title cars... My first rebuilt title car (2 year old at that time) I drove for 5 years and sold it: bought 13K, sold $6K. My second rebuilt title car (6K miles car) I drove for 8 years and sold it: bought $9K sold for $4K. My third rebuilt title car I drove for 2 years: bought $5K, sold for $5.5K. Now my fourth rebuilt title car I bought for $13K with 30K miles 2017 suv runs awesome and I haven't sold it lol. Car always depreciate and I hate paying for bad depreciation. I drive what I enjoy and feel comfortable while paying cheap.

[@Big-Government-Is-The-Problem]

1-2 years is still too new. go 5 years+ and 50% of the depreciation will have already happened. buy a 10k truck and invest that 50k into the market or a rental property. just because you have some money that doesn't mean you should blow it. idk how old he is but lets guess age 30, so that 10k could be worth 281k at age 65 if it averages 10% growth. is that 10k more expensive truck worth 281k to you? yes there will be inflation, but 281k with inflation is certainly more than 10k today, and if that 50k went into a mortgage for a rental property then inflation works in your favor

[@miketheyunggod2534]

New 2021 Dodge Rams now on sale. Stop in a take a look at your dream truck. Special financing also.

[@IamtheGL]

Stop flexing start investing

[@ewxlt]

Used car prices are 25% higher than normal due to pandemic. That has to be a factor in buying used and new. A used truck with 30k miles for the same price as a new one? No.

[@slscamg]

100% yes, right now the used car market is crazy and every car is 20-25% over priced. If I were this guy I would hold out 8-10 months for the market to stabilize and then get a lot more for his $22k. And yes, I was just looking and trucks 1 year old might save you $1000 bucks over new.

[@gregcavellier9143]

Dave didnt mention a very important point about buying a truck. If you purchase a vehicle for business use, which the caller obviously is using it for, over 6000 Lbs GVRW he can get a huge write off through section 179 depreciation. Based on his earnings this truck could potentially save him thousands in taxes. Check with your accountant on the details.

[@DiscoFang]

179 just allows you to bring all the depreciation write off forward into a single year, right? For a 22K truck it's wouldn't be a huge amount though would it? Depending on his tax rate, maybe 4-6K total saved? Unfortunately people get the impression they are getting the value of the truck back and convince themselves that the more they spend the more they're getting back. I call it the Bargain Fallacy. Spend more to save more.

[@OfficialRegulatededitss]

If I can make 5% in dividends on average and my apr on my loan is 1.7% why would I pay cash?

[@xyzsame4081]

well, that's a achange. Usually they admit gradually to debt (this, and that, as Dave digs into it). Here it was different, dude admitted casually to having a well set up emergency fund, too (27k) additionally to 72k, and only 8k debt then the car is paid off.

[@Howtocreatewinningfocalsbeads]

Don’t like how he’s going from $25k to $125k year to year. He doesn’t sound like he has a real plan

[@VICSKIM949]

"Everything with motors and wheels go down in value!" -Dave "I'm gonna do whats called a pro gamer move" -Toyota 4Runner.

[@FastSloW-qt8xf]

Yeah I was thinking that but with a tacoma. The issue is a good preowned cost all most as much as new one

[@christian-gu5oq]

I’m sorry some of these Dave followers have no logic 22k for a truck is low especially for a growing business that relies on it. Also trucks hold value well

[@billyoh1966]

Not getting a one or two year old truck for 22k

[@JakelaWeeze]

Good luck trying to find a 1-2 year old truck for 22k maybe a midsize truck of a non favorable brand

[@AStanton1966]

Remember: You never want to end up as the richest guy in the cemetery. If you make it, spend it and enjoy yourself.

[@Jayshna]

Good luck living your dreams on debt

[@this.i.command1055]

Amen!

[@this.i.command1055]

@@Jayshna but you dont have debt in the afterlife..do you?

[@BadMannerKorea]

loglog Debt isn’t inherently bad, you realize that, right? The fact is you can’t do basic math. Let’s come up with an example. I have $8000 in debt. I have $8000 cash that is in the market right now. If my student loan is not accruing interest due to the pandemic, and is normally 5%, why would I pay off the student loan when I’m making 10-40%? Even during regular times outside the March/April dips people are making 10%.

[@OopsFailedArt]

@@BadMannerKorea I agree with you in general boss. However it is crucial to have 3-6 months in spending saved up before doing something like that or you’ll pull your investments at a low to solve a minor spending issue earning negative interest. It’s one of the few areas I disagree with Dave on but an emergency fund is critical

[@dteh4501]

Why not lead with that?

[@billgateskilledmyuncle23]

So why does Dave have a guest host on all the time now?

[@TimeisUp22]

Some say he’s about to retire. But they all bring a different perspective. One is psychologists because a lot of people were calling about serious depressing life issues so they asked that guy to come in and give professional advise. Then it’s his daughter Rachel who’s either 1 bringing in a woman’s perspective about money or 2 about to take over her dads business. The rest I believe are just other financial advisors with younger views and values than Dave, but all millionaires.

[@thecatnextdoor12]

He was bored sitting there by himself.

[@TheQuickyouknow]

I'd guess succession planning. I think Chris and Ken could takeover, but it seems like they are afraid to talk when Dave is there.

[@westonr4359]

I like Anthony O’Neal the best, he doesn’t hesitate to comment or offer his perspective

[@arthrodea]

@@westonr4359 I also really love Anthony O'Neal the best too! Rachael Cruz does a reasonable job, she takes after her dad. Chris Hogan tends to parrot the same things - but has the most incredible voice and personality for radio. The other guys are pretty forgettable - they don't really bring any thing special that I want to listen to.

[@4.0gpa44]

Trailers depreciate faster than trucks. And you can't tow that much with a unibody SUV.

[@nikolayvoytenko4728]

This is one situation where u loose big by not getting a loan. Auto loans are pretty much inflation rate ( free ) he buys a brand new truck takes the full tax write off . Invests that tax savings into a higher rate then his interest . Now he’s driving a brand new truck costing him almost nothing out of pocket

[@DiscoFang]

A new truck is 40K, the used tuck is 20K. The tax savings would be maybe 20% of the $40K so $8K. The used truck is also tax deductible at the same rate, so $4K. You're suggesting he spends an extra $20K to save $4K.... If he keeps saving money at that rate he'll go broke.

[@Mechcanoer650]

Not bad for a Ford.

[@fhuber7507]

I got the $30k truck when my income was $1400 a month... paid cash... $20k paid by a VA disability program for 60% service connected disabled affecting mobility. . Disabled Veteran and 60%+ rated? ASK the DAV or Texas Veterans Association or other Disabled Veteran support organization rep if you qualify.

[@gpgt1]

Caller "I need a reliable truck for making my living" Dave "keep loosing hours to your unreliable pos"