Last year was tough, yet I earned $100,000 pre-tax as the primary earner and household head. It's a solid start, but I'm focused on future enhancements. With two auto loans, I'm seeking solutions to offset them without resorting to costlier refinancing in the long term.

@clarisse2096

13 күн бұрын

You might want to consider starting with a different approach, like the snowball method. Focus on one loan, usually the smallest one, and direct all your resources to pay it off while maintaining payments on the others.

@richarddamien4654

13 күн бұрын

i agree with the comment above, Another option is to work with a money coach or investment advisor. While an investmentplannner focuses on the long term, a money coach can help pay off all your debts, maximize cash flow, and create systems for proactive money management.

@patrickjones1392

13 күн бұрын

@clarise you sound like you have worked with an advsor . how is the experience like?

@richarddamien4654

13 күн бұрын

yes that correct. I've been consulting-w/ monicamary strigle stock broker, and it's been transformative. Making 752k in the pst 8months frm barely 150k gives me high hopes for the coming months and 2025 with the way the strategies hve worked so far

@clementdan9417

13 күн бұрын

That's impressive! how can I reach this monica? I've tried finding a good adviser around me, but it seems impossible without exorbitant fees. Can you share her fee structure as well?

I love the "We need to spend 40K on a new vehicle for safety" crowd. That type of justification makes a salesperson lick their chops.

@davidrosenthal5795

15 күн бұрын

Yea those people are idiots

@AlexKaehler-qc8kd

15 күн бұрын

I would definitely feel more safe having $40,000, whether in cash or gold nuggets or something like that I don't care.

@gibblespascack1418

15 күн бұрын

For about 30K, he could get a Buick Envisa, Subary legacy impreza, Toyota Prias, corolla, Camary, Honda accord. He could get a bunch of pretty good cars that are safe, have lots of features. And it can work as a solid photography business car.

@TheMarshalOfLeague

15 күн бұрын

The problem is many people dismiss the serious safety risks on older vehicles. I can go into detail but cars built prior to 2014 are significantly less safe than cars even built in 2020. But it doesn't mean you need to spend 40k. 20k is fine.

@markg999

15 күн бұрын

​@@TheMarshalOfLeague please go into detail...why isn't my 13 Lexus not as safe as the 14 model?

Weird call. For heaven's sake, just buy a car. The overall story has a weird vibe.

@cljerjr31

15 күн бұрын

like defrauding the government vibe

@BrianW211

15 күн бұрын

@@cljerjr31 Exactly. He has the money. The only reason he wants to lease is so that his wife can drive a new car and he can write it off as a business expense. I.e., tax fraud.

@BREEZYM6015

15 күн бұрын

​@@BrianW211How is writing it off as a business expense tax fraud?

@BrianW211

15 күн бұрын

@@BREEZYM6015 You don't really think this guy is going give his current car to his wife and use the new car for his business, do you?

@califdad4

14 күн бұрын

I've only bought a new car once, always buy a used car ,most cars depreciation happens the first 3 years. My friends elderly mom wanted to new car every couple years under warranty and leased cars and it was cheaper for her to lease than buy

Having 30+ thousand dollars is safety. A 15-20k car is plenty safe.

if you are gonna purchase a car for the business just buy it outright for the business. its still a write off even if you don't lease it.

@compendiousperspicacity

15 күн бұрын

That's true but depends on the financial situation and goals of the business - leasing or financing allows the biz to keep more of the money now for other expenses or reinvestment and if they want a new car every 3 years its simpler to lease than to have to sell the car privately

@Dan16673

15 күн бұрын

Still dumb to overpay to write off more

@compendiousperspicacity

14 күн бұрын

@@Dan16673 If you have a business that has a high rate of return on capital employed, then leasing or financing can allow the business to make more money with the capital not spent on the entire vehicle purchase. What if the business needs a fleet of vehicals? You think the business is better off buying 10 vehicles in cash, tying up that capital in depreciating liabilities that their employees use lol smoooooooth brain it all depends on the situation

@Dan16673

14 күн бұрын

@@compendiousperspicacity that is NOT for the write offs but for the net present value. Do not confuse them.

@tate6809

13 күн бұрын

@@compendiousperspicacity If they do have the cash to tie up in those vehicles to save themselves the interest payments then absolutely in that situation it's absolutely better. who has the smooth brain now? 😂

Fleecing a car is the stupidest idea. Just buy a good used car with cash.

@jasonbornne7767

15 күн бұрын

Depends who you are. If you’re a single female with no mechanical knowledge and don’t want to be bothered with owning a car, leasing isn’t a bad idea.

@lindacondilli6494

15 күн бұрын

@@jasonbornne7767yes!! I’m overwhelmed trying to maintain my house. Can’t imagine dealing with car problems on top of that.

@The_Food_Police

15 күн бұрын

​@jasonbornne7767 right. This gets overlooked a often. I'd also say the same goes for a ultra busy professionals that maybe have the knowledge required to maintain their car, but not enough time to do so.

@davidrosenthal5795

15 күн бұрын

Leasing is the most expensive route and they can still break down lol 😂

@jacobawojtowicz

15 күн бұрын

​@jasonbornne7767 what does gender or mechanical knowledge have to do with it? The math doesn't work no matter what genitals you have

I’m self employed but I can’t stand people like this. you’re talking about putting the car through your business for a tax advantage but then you admit that it’s not even intended to be used for your business. People like this give all self employed people a bad name.

Even the leasing sales person told my husband that leasing a car is a very poor decision. JUST AWFUL

@evanl889

15 күн бұрын

It’s not a “very poor decision” you are being extremely dramatic with your post. Yes the lease will cost you more But it’s not an over-the-top life-changing amount. If you buy a car, it’s still going to depreciate even a used one and you have no warranty generally after a set amount of miles and you will pay for maintenance on a used vehicle. It’s a guarantee it will break. It’s not an if it’s a when. If you have a lease payment of $300 a month that’s $3900/year, or $10,800 over 3 years with 0 maintenance or repairs. If you buy. Used vehicle it will depreciate $10,800 over 3 years easily and will cost you repairs. You have to do a straight comparison over the life of a vehicle including maintenance, repairs, and depreciation to have a final cost of ownership. Also on top of that, if you spend 30k on a used vehicle instead of investing it, you will lose out on money made in the market where it could be invested. I bought a certified pre owned vehicle with a warranty after doing Dave ramseys plan and the transmission broke during covid so not only was it a $7500 repair they couldn’t get a replacement transmission for weeks and weeks. Imagine being a grown adult having to borrow vehicles and ride your bike to work during a pandemic because you can’t get your transmission fixed.

@mosesmoua2012

14 күн бұрын

@@evanl889read “extremely dramatic” than stopped cause someone wrote a whole essay on a KZread comment ffs.

@foxhound34

13 күн бұрын

@@mosesmoua2012 just trying to justify their bad decisions.

@landondc4739

13 күн бұрын

It’s a poor decision from the sales guys position bc he only makes like $250 on the lease.

@jkneeland89

12 күн бұрын

@@foxhound34 Probably bought a “certified pre-owned” BMW or Audi. In fact, it better be at $7500 for a transmission lol.

Ted's taking more than photos.

@1jw298

15 күн бұрын

Probably in the adult business. Something doesn’t sound right ……he was hesitant on saying where 300k was going.

@pacifiquekwizera1521

15 күн бұрын

That’s what i thought! Or Probably BSing with these guys

@ilai7893

15 күн бұрын

Yeah, how does a conventional photographer makes $400k?

George danced around a bit, but he should've called Ted out when he realized that Ted's real intention and the whole reason for this call is that Ted plans to commit tax fraud by leasing a new car for his wife and write it off as a business expense.

@GAFB1122

15 күн бұрын

Exactly!! He would fail in an IRS audit. And the details would come out thru the interview process.

@OtisFlint

15 күн бұрын

That's not at all what he said. If you actually listen, he said he would dump his wives car, move his current newer car over to her, and use the leased vehicle for the business. I know you're a Ramsey viewer, but please try to keep up.

@BrianW211

15 күн бұрын

@@OtisFlint When George said "OK, so this isn't really for your business, anyway." Ted replied "It's not, but..." followed by some BS backtracking about his wife taking his current car and using the new car for the business. I can literally guarantee that the wife will be driving the new car almost 100% of the time.

@sharonspeicher2017

12 күн бұрын

He said, he would drive it and his wife would drive his current car

I own a contracting company, and i could easily lease my truck via my business. However, I can strongly relate to what Dr. John is saying here. If my business takes a huge drop in profit tomorrow, then I can at least take refuge in the peace of mind that comes with knowing that I own my truck outright.

@Dan16673

15 күн бұрын

100%

What’s wrong with a 2910 car. My wife is driving one now and no concerns. Check the numbers. Almost always you will,pay more than you save in taxes.

As someone who worked in highway engineering, the overall safety of cars made after 2017 is WILDLY different than a car made before 2017. Now that 80s/90s Volvo-type engineering is affordable, it is keeping everyone safer. I don’t begrudge anyone who doesn’t want to deal with the upkeep of an old car. I was spending roughly $2k a year keeping my beater running and always worried what would happen next.

2010 is old? I guess my 2000 Accord is an antique. An antique that will go another decade or more if I can!

@Chieffg

6 күн бұрын

Same i got an '03 accord still running strong, i laughed when he said 2010 is aged!

I have a '98 Silverado. Bought it for $4,500 with two sets of tires (one studded) and 154,000 miles. I've since had to replace the motor and the gearbox, and some minor things. Hoping to get the rocker panels and wheel wells redone this summer. All this is still cheaper than a $500 vehicle payment (and that's probably a low payment). I love my old truck.

You pay depreciation regardless if you buy or lease a car. After a lease, you can buy the car, sell it, trade it in or ground it. Which means you give it back to the dealership when you lease ends.

Something smells real fishy with this caller.

@dl6622

15 күн бұрын

Yep. He brings a quarter of what he makes and “move a lot around” !? Him 🤔

@Mr_Fairdale

15 күн бұрын

​@@dl6622he's most likely just talking about his s corp

@jmanrock11

15 күн бұрын

People say this with every person that calls in. Get a grip.

@jasonbornne7767

15 күн бұрын

@@jmanrock11 I’ve got a grip on reality. If you write down all the facts of this call, it just doesn’t add up. You can tell the hosts purposely didn’t dive in and ask questions to open up a can of worms.

@BrianW211

15 күн бұрын

Smell #1: He wants a new car for his wife and want to write it off as a business expense: Smell #2: His gross is $400K and his net is $100K. When askes what he does with the other $300K, he says "I've made a bunch of physical moves... in the business... changed locations. There's just a lot of moving pieces at the moment." Moving personal expenses to business expenses is more like it.

"She's my business lawyer and we HAVE a relationship..." 😂

@almaguillot8597

15 күн бұрын

I know... 👀

@fauxbro1983

15 күн бұрын

when he said, "she" I knew we were dealing with girl math

@anaa03899

15 күн бұрын

This shade as helll

@stevenporter863

15 күн бұрын

In all fairness a business with customers may have a different set of expectations than a weekend beater.

Would be nice if they were allowed to at least acknowledge the benefits of the lease, so that it would be easier to have a respectful and informed conversation with the accountant etc.

Generally, tax savings are a concession to wasting money someplace else. People who make decisions based on the tax advantages are stepping over dollars to pick up pennies. Make the business decisions first, then find what tax advantages can be gleaned from those decisions.

He says he needs to buy one that is safe for his family. But he's giving the family his current car?

I think what John said is a very good statement your sleep tax I much rather would have a car paid off and financed the release

@Mr_Fairdale

15 күн бұрын

That can cut the other way. Some people hate taking care of cars and are more comfortable with a newer model that they just rent. I drove a toyota echo until the wheels fell off, then an avalon for 15 years. Recently leased a luxury car. But I'm also at a stage where the money isn't a big deal to me due to not having car payments for a all those years.

There's always a mileage limit on leased cars too. Over miles can be very expensive.

The CPA is not bad. They simply come at the problem from a different perspective. They want to save you taxes while keeping you liquid. Ramsey advice gets you debt free. That's the difference.

People really do bad math when it comes to taxes. Spending 50k on a car to save 18k on taxes. Genius. How about spend 18k on a car and leave 32k in your pocket? The math is very simple. A lease might scale those number down since you are only renting the car for a few years, but keep leasing and youll get there eventually.

He a OF manager. Bc a regular picture that a iPhone can take not making 400k

@jeffkline9191

15 күн бұрын

Haha and he sounded greasy.

The only difference between a lease and a loan is you have the option to return the car and wipe your hands of it at the end of the lease. At the end of a lease you can purchase the car out and it's yours to keep. The tax advantage makes sense in a lot of cases when you have a business. The other advantage of a lease is that if the vehicle gets into an accident and has a Carfax ding, you hand it right back at the end of the lease and it's not on you. People that don't understand how leases work will never get it.

@GAFB1122

15 күн бұрын

Let's see. I have owned my car for 14 years come this August. 187K miles on it, still running strong and it meets my needs. I WIN over those who lease OR even those who buy but feel the need to trade in their perfectly good running vehicle every couple of years. A vehicle has a function and that is to get you from point A to point B. Those who place self esteem with their vehicle will always pay more than me to drive, lol.

@Dan16673

15 күн бұрын

There is no advantage to over paying to write off

@baconblaster6422

15 күн бұрын

my lease apr was 4 percent on a BMW. no brainer. good luck inheriting the maintenance on thst thing

@XennialGuy

15 күн бұрын

@@Dan16673 I have never overpaid for a lease. Most times it was cheaper for me to lease then it would have been to keep the car for the same amount of years after the depreciation. Most vehicles I have actually got back money at the end of the lease because I bought out the car and sold it for more than I owed. Several vehicles I drove for free because it was worth more than the lease after cap cost reduction that the dealer provided. There are leases out there that have little to no interest or the cap cost reduction is so great, it makes no sense to buy the car.

@XennialGuy

14 күн бұрын

@@GAFB1122 And for someone like you, a vehicle is only a utility to go from point A to point B, nothing more. But for a lot of us, it is more than that, it is our connection to the road, it represents freedom, it represents friendships. We take our cars to car shows, cruises, morning coffee meetups. It brings family and friends together, it's a talking point, it's something to look forward to, to drive on the weekend. It's an adrenaline rush, it's a romantic getaway, it's a reliable friend along on a trip. My cars are more than just utilities, they're part of the family. There are people that will never understand that, nothing wrong with the way you view your car, but you don't have a connection with your vehicle the way I do mine. But hey, to each their own.

It's a lot easier to write off a lease. You can write off 100% of it easy easy to figure out. If it's purchased you have to depreciate it so much every year, and it's complicated to keep track of.

Depending on the business you are running, you can’t write off a car purchase completely. Most of the time you can write off the interest OR get a mileage deduction.

Interesting concept that leasing a car is paying off the depreciation. I never thought of it that way. I've never leased. The one time a dealer suggested I lease a car, my response was that I put too many miles on a car. That shut the conversation down immediately.

Here is what I hate about "tax write off". 1. I wonder if the write off saves you more money than the interest. 2. I understand paying taxes for infrastructure, police, etc. I don't understand paying a bank more money than they should get. The less those people get from me, the better. At least the government pays for the cops that help me when or if I am in danger.

This guy 100% wants to write off a new car for his wife as a business expense.

For personal use buy second hand car with cash, never lease . However , lease tools of the trade ( trucks, vans , tractors ,other machinery ) that get used every single day and help to grow your bussiness.

@johnmuth3971

15 күн бұрын

Exactly right. The calculation for a real business is different than for household. You only have so much working capital in a business and leasing equipment, just like leasing facilities, is one way to preserve that capital. Never cheap out on your professional tools.

I have never leased in 65 years. They want money down you don't get back to have payment at 350 or more and then 3 years later you don't own it and have to take out insurance for scratches and damage. So silly. I put money down, pay it off usually in 3 years with 4 year loan and own it for many years later. My Subaru is going strong and my son's is 10 years old. I can't see giving them so much money for nothing.

$300K in overhead taking pics? Even if you buy a car outright, and you use it for your business, you can still take the depreciation as a write off.

@OtisFlint

15 күн бұрын

Sounds like he has a physical location (overhead) and i know some photographers that drive a ridiculous amount of miles working events all over the place. Dropping a piece of equipment can cost you a couple thousand dollars. There's more costs than people realize in pro photography.

have the business buy the car and depreciate it as a fixed asset...still get the tax advantage....

My question is, hopefully someone can answer... If leasing a car is so bad, Why do you have to have excellent credit to lease? When I got my truck, I did not qualify to lease, BUT did qualify to buy. So if dealerships want you to lease then why make it so hard?

I bought a car that had been turned in after a lease--had my local mechanic check it out first (cost $300). He found something that needed to be fixed and was covered under the remaining warranty, so I insisted that the dealer have the repair done prior to purchase. Bottom line, the vehicle cost half of what a new one would have, and 15 years later is still going strong with minimal repairs needed during that entire time. I can't see any way a lease is a financially good idea....and only works for those who want to pay for the image of driving a new vehicle. Leasing it thru the business won't make financial sense unless the goal is "I want a new car every 3-5 years."

@Dan16673

15 күн бұрын

It's the dumbest of ideas out there and people love it lol

@evanl889

15 күн бұрын

So taking the numbers from this call, buying a 40k used vehicle in cash means you take 40k out of a potential index fund. Mine were over 12% which were $5,000/year in interest. A $300/month lease payment is $3900/year. Now, you got lucky with no maintenance because a new transmission is $7500 minimum which I found out after I bought a certified pre owned vehicle after doing Dave Ramsey’s program. The dealership or GM can deny any warranty if they want to. Also, $3900 per year is 10,800 for a 3 year lease. The 40k vehicle will depreciate that much or more in 3 years. Also, if you ever get into an accident and it goes on the carfax it will tank the resale. Insurance is not required to pay out diminished value claims in almost every state. Also an AAA study found that the average yearly maintenance cost was roughly 10 cents per mile so at 15k miles you’re talking $1500 a year. Sure, a lease is going to be more money, but it’s not so much more that it’s life changing. If a few thousand dollars over the life of a few cars is going to change your life, as Dave Ramsey has said, you don’t have much of a life to begin with.

@aolvaar8792

15 күн бұрын

To get the car's name out there The lease involved 0% interest + Factory subsidizing. It was cheaper to lease and buy at the end. Than to pay interest and no factory subsidizing. I can't see any way a lease is a financially good idea????????

@sweetiespoon5150

15 күн бұрын

I prefer to buy vehicles that were a single "owner" lease trade-in. It's almost a guarantee that the leasee took exceptional care of the vehicle in order to get the best trade-in possible & you aren't paying an absurd amount for a vehicle that is only a few years old.

If you run it through your business it may make sense. I wish the guys would’ve admitted that they don’t know enough to comment. They don’t know enough about the business to make this assessment.

5:45 "Soul Tax" and 6:15 "Sleep Tax" spoke to me. "Winning is sleeping better." - Jodie Foster

Pay for the car use the standard mileage method.

When we started our business our accountant encouraged to lease a business truck because it was a deductible. Is that better than a personal loan ?

Reminds me of my former coworker who suggested I should lease a car to save money. Did not take his suggestion. I bought and paid off my car. No regrets.

Leasing isn't even really tax advantageous. Buy it and deduct those business miles. I've been driving my 2008 Honda Civic for over a decade, and with over 400K miles (most of which are business) I just keep taking that 50 plus cents a mile deduction on Schedule C. It's the gift that keeps on giving!

The account is saying buy or lease the car and write it off on your taxes

The tax attorney job is to tell you ways of lowering your tax bill. This is not always the best decision to make. Pay a dollar to not pay the irs a quarter in a lot of the situations. It's great to take advantage of tax savings to keep your own money, but sometimes it's smarter to not deal with the excess spending and headaches to get that bit of savings

I got people telling me to sell my 1979 El Camino that I don't have a car payment on and buy a car that I'll have a car payment on. The Camino needs some engine work done but it runs. Should I sell it or keep it?

My accountant said never do a business lease. Also. Taking it in monthly for an oil change=total pita

Just because it can be written off doesn't mean it is free and one should over spend. Also one can buy out right and still write it off, it isn't like one has to lease to get tax benefit. My wife started her business last year and her car was already paid off but we still got tax benefit.

2010 car is old??? I drive 2004 Audi A6 quattro 3.0TDI V6 with over 220k miles and it drives perfectly - 600 miles of range doing 75mph on a single tank. Also it is able to reach 160mph on German autobahn. If you are taking care of the car it will last for quite some time!

"Used RELIABLE car" is easier said than done.

@Snesboy09

14 күн бұрын

Honda. Done.

It's called "autofleecing" for a reason. Trust me, don't do it.

Some people lie driving a new car - we all have our self indulgences. For some it's travel, watches wardrobe, boats etc for others it's cars

My friend recently did a stupid decision imo with her car. She was leasing a car, and the contract was almost up. Her partner financed a car, and only had about $1000 left to pay it off completely and own it. They decided they only wanted one car together (since they live together). They decided to sell the almost payed off car, and lease a Tesla......makes absolutely no sense to me. They always say how owning a car isn't worth it bc it's a depreciable item, which it is, however, it just doesn't make sense to me to pay hundreds-thousands of dollars every month on a car. I guess leasing is only good if you want a car for a short period of time/new car. But if you're looking to have a good car for the long-term and don't care about switching it up, I would hate to lease. Am I missing something though? Like why would they make that decision when the 2nd car was literally about to be paid off...

@frankcb11

15 күн бұрын

Your friends didn’t make a smart move

@percivalgooglyeyes6178

15 күн бұрын

It's the lure of that new car smell!

@loomonda18

15 күн бұрын

@@percivalgooglyeyes6178 Hahah maybe you're right!

@OtisFlint

15 күн бұрын

Very simple, cars are not simply a financial decision for many people. I have a $1000/mo car payment on a car that is only a toy and isn't needed at all. I could pay it off today, but with low interest, why would I? Unlike the folks at Ramsey, i can do math. For some people cars are a simple appliance, other people actually enjoy their cars.

This caller currently has a fourteen year old car. That tells me that he is not one to trade cars every two or three years. Just considering that one factor, leasing does not make sense for him. Anytime you are considering an action based on the tax implications such as this, you really need to "do the math" on the various scenarios. That's the only way you are going to make an informed decision.

He was probably told to buy a Range Rover cause they weight over 6k etc etc😂😂

His stated net margin ratio of about 25% is low for photography, unless he's a start-up. I believe the average for established photographers is about 50%. I would not lease, finance, or otherwise buy any new car. I would buy a highly reliable fuel-efficient model low-mileage used car, about 5 or 6 years old, for cash. I do all my own routine auto maintenance and a good amount of auto repairs myself in my own home garage, for about 25% to 33% of what a professional mechanic and/or what the car dealership service department will charge.

I bought my truck outright. I'm self employed. I like having no payments

Listen to your business lawyer and accountant

50% threshold test is incorrect unless you are doing accelerated depreciation for vehicle over 6,000 lbs. GVWR for purchase under Section 179. You guys really need to stop giving legal advice when you don't know the answers.

Dave says renting a home isn't a bad idea. He also says leasing a car is renting it. TBH, I don't have a problem with leasing a car if it's for a short time while saving up to buy a car - same as housing.

If I were an IRS agent that wanted to get ahead, I would listen to this show and find these idiots that call in and admit to tax fraud.

" photographer " lol yeah right.... and i want to commit tax fraud.

On the side where we give the government too much money oit of our taxes and require an item to get a job completed. Why not take a tax write off. The problem is, lease vs buy, youre still able to write off a bought vehicle, you just have to depreciate it year over year where as the lease you can write off the full lease. The thing you have to ask is, is it worth it to you or would you rather have some equity in the vehicle for when you buy something new, not only do you have a trqde in value and can minimize how much you pay in taxes, but you also dont have to reach into your pocket for the whole amount, where as with a lease, youre constantly paying and have no equity depreciating or constant, a lease is just an expense on a rented vehicle

Leasing a car for business is a smart move, if driving a newer car is important to you. There’s also plenty of good lease deals to be had. For this persons income it’s just not that big of a deal.

@damondiehl5637

15 күн бұрын

A photographer probably has to do a lot of traveling and could easily exceed the mileage restriction, and wind up paying a lot for the overage.

He's likely in the 15% effective tax rate so he'll only save about 15% of the lease amount. If monthly lease is $500 that's $6000 per year or a $900 savings. Ain't worth it.

@OtisFlint

15 күн бұрын

North of $100k and you think he pays 15%? Lol wut. I'm self employed and pay A LOT more than 15%. Self employment tax is an additional 10% right off the top.

@ItsEricAZ

15 күн бұрын

@@OtisFlint He said he is paying himself a salary with some being dividends. The Self employment tax won't be affected by this possible tax deduction. Let's run with your assumption that his effective tax rate is 20% with 15% self employment for a 35% rate. His saving are now $2000 a year. I still don't see how that makes leasing smarter vs buying.

@cscorona1

15 күн бұрын

It’s not effective tax rate to pay attention - it’s marginal, and he’s probably around 30% marginal.

We buy Toyota new and drive the wheels off them. Take care of it and it takes care of you.Ive had 1-16 years another 14-years and 1 for 12 years

@OtisFlint

15 күн бұрын

How boring. Can't imagine driving old toyotas my whole life, life is too short.

My line is in 3 years i dont want to think about you (car dealership), in 10 maybe

Great job gentelmen😅

“A lot of moving parts” means he has no idea!

@ImOriginallyGreen

12 күн бұрын

He’s generating 400k in revenue as a photographer and taking home 100k of that. He knows what he’s doing, he just isn’t going to get into the specifics on a radio show

Write offs! Yada yada!

Why can't people just buy what they can afford?

This sounds like a fake call - trying to intrigue a dramatic response!

But what if you don’t have the cash but still need a car. A lease then should make sense right?

@mike112079

15 күн бұрын

It is all personal preference. If a person does not have money to buy a car ( but needs one), then they probably have bad credit. In that case you are going to be paying a lot more in interest than you need to. What no one should ever do, is call the Ramsey show thinking you will get their blessing to lease/finance a vehicle lol.

@damondiehl5637

15 күн бұрын

No, a lease equates to 14% interest. Look for other Ramsey videos where Dave explains it.

@sweetiespoon5150

14 күн бұрын

​@damondiehl5637 Pretty much this. Leasing is worse than taking out a loan.

A lease is a fancy word for rent. Renting furniture, cars isn’t a good financial move.

Assuming this guy is any kind of small businessman, 1/3 off the lease cost guys, that's what the deductions going to be. So a $600 lease would be $400 net.

He certainly has a relationship with his accountant 😂😂😂

I truly believe if he managed to build $400k photography business. He should be wise enough to not be into the leasing crap

Some people like to sound more important than they really are!

Oh no, the caller wants to lease a vehicle! The sky is falling at Ramsey Solutions. 🙄

For once George nails it

Leasing can be a great deal. Look at the hyundai ioniq 6 EV. The current lease price from them is $189 monthly with $2,000 down. With the gas savings, that's almost a free car.

@GAFB1122

15 күн бұрын

I'll tell you what a great deal is. Bought my reasonable car new in August 2010 and come August 2024, I will have owned it for 14 years. It has 187K miles on it. It has not nickel and dimed me on repairs. It is still going strong. Finally, it meets my needs to get from point A to point B. The amount of money I have saved because I see vehicles as transportation and not something to show off to others to make myself feel better has been huge!

@MakeAMark1755

15 күн бұрын

@@GAFB1122 How much have you spent in gas expenses per month compared to leasing a new ev for $189?

@GAFB1122

15 күн бұрын

@@MakeAMark1755 I don't know but I'm confident that not having car payments for 14 years saves me more money than your gas savings with an EV.

@MakeAMark1755

15 күн бұрын

@GAFB1122 You don't know how much you spend in gas on a monthly basis? I use to spend $250 in gas. When I got my ev 6 years ago my payments was $200 monthly. Was a two year old car at the time with only $1,000 down. Yeah I could get a 10 year old car but why do that when I can buy a used ev and pay less with gas savings?

@GAFB1122

15 күн бұрын

@@MakeAMark1755 Over 14 years, yea I couldn't tell you. I put $200 in my monthly budget for gas (just me) even with current gas prices. I also have a hybrid job where I work from home several days a week. Here is the crux to the discussion between you and I. I am NOT against EVs. I AM AGAINST AND DO NOT UNDERSTAND those who place their self-esteem on the vehicle they drive. Vehicles are a form of transportation to me and that is all. Heck, I don't even like to drive that much with all the traffic and horrible road conditions. I am confident I will spend LESS to drive than those who buy vehicles for reasons other than transportation!

Leasing a car can make absolute sense if you don't know if you will keep vehicle after lease period. Almost all vehicle leases have a right to buy out the car at end of lease for a set price that is estimated depreciated value. If the car is worth more than buy out, you buy it out. If less, you can turn it in. Win either way. You just need to know how to negotiate a lease and built in interest rate based on money factor and fees. If you negotiate it right, no problem. If you don't want to learn how to negotiate, then yes don't do it.

What is he trying to lease, a Tesla truck? Be

But is he safe?

This call was really sketchy 🤔 he literally admitted that it would be used by his wife and child to use… it has nothing to do with business but yet you’re still thinking about getting the benefits of a business write off? Shady, shady

@RobculA

15 күн бұрын

His “lawyer” should suggest he take an Ethics class.

@frankcb11

15 күн бұрын

People do it lo.

@WewLaddie

15 күн бұрын

99% of people who do this Lease still do it for personal reasons.

And this folks is why small businesses have a higher rate of being audited by the IRS than than individuals. And they should. I want small businesses audited more often because they have the ABILITY AND OPPORTUNITY to cheat more than individuals who don't own and operate small businesses.

@dariodjakovic1600

15 күн бұрын

Then open a small bussiness and stop being jelaous of the loop holes in a law.

@GAFB1122

15 күн бұрын

@@dariodjakovic1600 Whoa there buddy, hold your horses, lol. I never said I was jealous. Follow the rules is what I said, and you should be audited more to ensure you do!! Are YOU a tax cheat? Lol

@dariodjakovic1600

15 күн бұрын

@@GAFB1122most of your presidents are tax cheaters. I dont see you calling them out.

You can also give your life savings to charity and get a tax deduction. 😅

Ted just buy a car. Hybrid since you drive around a lot.

2010... I'll buy it.. wtf

He doesnt need to spend 40k to get a reliablr veh😅😅

Just buy the car

Buy a Tesla no dealership

400K taking pictures? Jeez

@damondiehl5637

15 күн бұрын

Maybe his wife has an OnlyFans account.

@martinramirezmi5457

15 күн бұрын

@@damondiehl5637 Must be, he didn’t say what kind of photography😂

Lying through his teeth

Every car from 2000 has air bad and seat belts only two safety features that are useful. Lights and camaras stuff are cool if you can pay for them but they’re mostly a distraction and almost completely useless for safety

Whatever. I’m sure that there’s some of these calls that are planted. This has that feel. Why would he call if his accountant is suggesting he lease? If I’m paying for an accountant, I’m going to take his advice. And to all those hardcore disciples of Dave…believe it or not, Dave’s way is great for poor people with no self discipline. But for those more financially sophisticated, debt is a tool that can actually make you money, either through arbitrage or expense reduction (as in this case).

"I have an aged car, 2010." My daily driver is 18 years old, and my truck is 23 years old. What is with people acting like they're scared to drive an older vehicle?

@jdtreharne

15 күн бұрын

20 years ago driving a 20 year old car was more of an issue

Your accountant is misinformed. I write off new and used equipment all the time.

leasing is a bad deal. limited mileage, and you have to bring it back in brand new condition, with new tires, perfect rims (no curb rash), perfect key fobs, no scratches or dings on body, perfect interior, etc. otherwise, they charge you for going over the mileage and normal wear and tear. and if you lease again, they throw all those charges onto the new lease agreement.

@sweetiespoon5150

14 күн бұрын

All these reasons are why I look for a vehicle that has just been traded in from a lease. They are typically very well maintained & cost about 1/3 the price.