Re:Tesla lays off more than 10% of its workforce
by yardie on Monday April 15, 2024 @09:51AM
(#40040552)
> Are people not saving for their retirement?
Your retirement savings in the US has no fallback, except social security. So taking money out of it to buy a quickly depreciating liability like a car would be a really bad plan as most financial advisers would say. It feels tempting, and on paper you may even be a millionaire who happens to feel broke all the time, but like everything in life it simply depends.
> wouldn't it be better to take the money to buy the car from your savings and avoid paying interest?
We bought our car a few weeks before rates were raised. The interest on our car is 4%, the interest on our savings is now 5.5%. So it worked in our favour to finance when rates were extremely low.
Your retirement savings in the US has no fallback, except social security. So taking money out of it to buy a quickly depreciating liability like a car would be a really bad plan as most financial advisers would say. It feels tempting, and on paper you may even be a millionaire who happens to feel broke all the time, but like everything in life it simply depends.
> wouldn't it be better to take the money to buy the car from your savings and avoid paying interest?
We bought our car a few weeks before rates were raised. The interest on our car is 4%, the interest on our savings is now 5.5%. So it worked in our favour to finance when rates were extremely low.