Opinions: Doing 20/3/8 in lieu of paying cash
Mutants, I am looking at a new truck, Ram RHO, which is likely going to be $74k OTD, so monthly payment will be north of $1100. Based on my provided information, would you still pay cash for the vehicle?
- Early 30s
- HHI 310-330k, family of 4
- 835k invested assets(401,403, Roth 457, Brokerage etc.)
- Guaranteed government pension of at least 55k annually in retirement
- 1.6 years of expenses in an HYSA
- Paid off residence
- No debt
- Monthly investment would change to $5500 to offset predicted cost of financing
- Coast Fire is already reached, with 55 as targeted a retirement age; will not retire any earlier
We are at the point where we are able to still live a more expensive lifestyle in retirement than our current life, and we are just lowering the SWR now with every monthly and bonus contribution. My main logic to financing the vehicle now is that money is getting cheap because of the increase in M2 money supply, and when SPACEX and eventually Anthropic become public, Index Funds will be forced to rebalance their funds to account for the multi trillion dollar NAVS within the 15 day fast track period. Am I crazy for thinking this way? I wonder if Bo would say, “Well it Depends!”