[woodbutcher1963]

You forgot the biggest waist of money. Something you buy and immediately loses value.

AUTOMOBILES

This is where Dave Ramsey’s advice is correct. buy a two year old car that is already 1/3 or more depreciated in value. Then drive it into the ground. Leasing cars is the worst way to waste money.

[caver]

“AUTOMOBILES”

Yes, I for got that.

[ChildOfThe60s]

My wife got a 1972 Dodge Demon in October 1971 and drove it daily until selling it in 2006 with original engine. Our annual cost on it was piddly as it was so reliable and easy to work on. In 1974 I put Midas lifetime shocks, muffler and brakes on it. I don’t even know how many free replacements we got. ha ha!. In the early 80s I put a lifetime alternator and master cylinder on it. In the late 80s a friend of mine was managing a Aamco tranny shop and for $750 we got a lifetime transmission.

My wife was 17 when she got the Dodge and 54 when we sold it and she got the second car of her life, a 2007 Sonata which she is still driving.

We figured that car saved us enough money over 34 years to cover the cost of a home.

[cyclotic]

Right on. I leased one car when I was younger. Dumb move. Since then it’s late model high mileage cars. It’s never done me wrong.

I’m now in a position to have a company car which saves a ton. I just bought my my old company car to have a little used personal one.

We also live in less house than we can afford. It’s amazing how that works out.

[Alberta's Child]

I suspect Ramsey may be revisiting his advice about new cars and leases and changing it. In my experience, the increasing complexity of cars makes it less practical to keep them for a long time.

When I purchased my most recent company vehicle a few years ago, the sales manager at the dealership told me I was one of about 20% of his customers who bought vehicles instead of leasing them. I thought it was because everyone wants to drive the newest and best vehicles on the road, but he said there was a more practical side to it:

“Nobody wants to be driving a vehicle that isn’t under warranty anymore.”

[RushingWater]

This is where Dave Ramsey’s advice is correct. buy a two year old car that is already 1/3 or more depreciated in value. Then drive it into the ground. Leasing cars is the worst way to waste money.

But the expense of maintaining a car now is complex technical parts. You almost HAVE to have a warranty - which you get with a new car and can usually negotiate a price on a long term full warranty in a new purchase.

[Elsie]

So true.