Type R Owners: What's your annual income?

Annual income before taxes?

  • $20K-$30K

    Votes: 20 5.0%
  • $30K-$40K

    Votes: 18 4.5%
  • $40K-$50K

    Votes: 29 7.2%
  • $50K-$60K

    Votes: 39 9.7%
  • $60K-$70K

    Votes: 33 8.2%
  • $70K-$80K

    Votes: 43 10.6%
  • $80K-$90K

    Votes: 37 9.2%
  • $100K-$125K

    Votes: 56 13.9%
  • $125K-$175K

    Votes: 54 13.4%
  • $175K-$200K

    Votes: 18 4.5%
  • $200K+

    Votes: 51 12.6%
  • $90K-$100K

    Votes: 6 1.5%

  • Total voters
    404

SilentMonkCTR

Senior Member
Joined
Oct 17, 2019
Threads
1
Messages
100
Reaction score
47
Location
Texas
Vehicle(s)
Civic Type-R
Country flag
I’m gonna get smacked no doubt by saying this, but I put 14K down and financed 32.8k at 4.49 for 72 months. How did I finance so much still with a huge down payment? Well, I didn’t expect to (stupidly) roll in 6 grand of negative equity (so much for resale value!) on my 2017, and after you add taxes and title... mhm, yeah.

I found my original budgeting sheet and my original thought was I was only gonna have $1.5k of negative equity (again, not ideal). Then I panicked at the table and my “I want it” side completely overcame my “hold on think this through” side.

I get why so many people are screwed with their car. It’s really easy to do so, and then you’re stuck with it (unless you buy something that retains its value super well).
Shit happens. We live and learn. Your deal is rough. I once bought a C6 Z06 when I was 21. Best and most expensive two years of my life. Fun times I'll never forget.
Sponsored

 
OP
OP
Zeffy94

Zeffy94

Senior Member
First Name
Matt
Joined
Mar 26, 2017
Threads
77
Messages
1,850
Reaction score
1,486
Location
Doylestown, PA
Vehicle(s)
2017 Mazda3 GT Hatch 6AT, 2018 Honda Civic Type R (traded in)
Vehicle Showcase
1
Country flag
Shit happens. We live and learn. Your deal is rough. I once bought a C6 Z06 when I was 21. Best and most expensive two years of my life. Fun times I'll never forget.
Hell yeah dude, no matter what I end up doing I'll never forget the memories of this car.

Although... you had my exact dream car (C6 Z06) I wanted when I was a kid so I'm only slightly envious that you got to experience that. :p
 

davemarco

Senior Member
Joined
Jun 3, 2017
Threads
148
Messages
2,638
Reaction score
1,458
Location
SoCal
Vehicle(s)
2019 Civic Type R (CBP), 2013 Audi TTRS
Country flag
Everyone has to learn somehow. I came out of college with zero debt and then decided to ditch a high paying job that I already had to "pursue my passion", which led to me having zero savings until almost 30. Fortunately I've played my cards right since and things are very solid now, but I frequently kick myself when I consider the massive amount that I could have saved from 21-30 with zero debt, while living at home. I'd have been 20-25% of the way to retirement by then and closing in on 40% now. Instead, I'll probably now have to work until I'm in the ground.
 
OP
OP
Zeffy94

Zeffy94

Senior Member
First Name
Matt
Joined
Mar 26, 2017
Threads
77
Messages
1,850
Reaction score
1,486
Location
Doylestown, PA
Vehicle(s)
2017 Mazda3 GT Hatch 6AT, 2018 Honda Civic Type R (traded in)
Vehicle Showcase
1
Country flag
Everyone has to learn somehow. I came out of college with zero debt and then decided to ditch a high paying job that I already had to "pursue my passion", which led to me having zero savings until almost 30. Fortunately I've played my cards right since and things are very solid now, but I frequently kick myself when I consider the massive amount that I could have saved from 21-30 with zero debt, while living at home. I'd have been 20-25% of the way to retirement by then and closing in on 40% now. Instead, I'll probably now have to work until I'm in the ground.
If I had kept my original car (2013 Civic LX, bought in January 2016) instead of trading it on a 2017 touring (Bought on Feb 2017) and then trading that for my CTR a year later, I probably would have at least 70K by now saved. I had very little expenses when I had that 2013 Civic. Even keeping my touring I would probably still have close to 55K.

I have a tendency to just want to drive something new way too often. It’s a really bad habit. If I get that urge I shouldn’t be looking at brand new cars. I just also a tendency to be overly paranoid about buying a car that turns out to be a POS that drains money. Agh.

Bases on what you’ve said in this thread though, It looks like despite having zero savings until you were 30 you are doing very well.
 


Chee_hu

Senior Member
First Name
Sherwin
Joined
Feb 21, 2017
Threads
2
Messages
934
Reaction score
747
Location
Elk Grove, California
Vehicle(s)
#611 Rallye Red CTR | 1998 Civic EX | 2007 Honda Fit Sport
Country flag
Surprised there are so many high-income folks buying these cars...
Why is that? A lot of rich folks prefer buying cars like Camry and such instead of flashy luxury expensive cars.
 

davemarco

Senior Member
Joined
Jun 3, 2017
Threads
148
Messages
2,638
Reaction score
1,458
Location
SoCal
Vehicle(s)
2019 Civic Type R (CBP), 2013 Audi TTRS
Country flag
If I had kept my original car (2013 Civic LX, bought in January 2016) instead of trading it on a 2017 touring (Bought on Feb 2017) and then trading that for my CTR a year later, I probably would have at least 70K by now saved. I had very little expenses when I had that 2013 Civic. Even keeping my touring I would probably still have close to 55K.

I have a tendency to just want to drive something new way too often. It’s a really bad habit. If I get that urge I shouldn’t be looking at brand new cars. I just also a tendency to be overly paranoid about buying a car that turns out to be a POS that drains money. Agh.

Bases on what you’ve said in this thread though, It looks like despite having zero savings until you were 30 you are doing very well.
Thanks - money is always tough, because unless you're making FU money and have substantial savings, you will always have fears about your future solvency. Lifestyle creep is also super insidious - it's easy to get used to increased spending patterns, particularly if you can afford them without impacting your short-term finances.

To me, the key to the go/no go decision on a car purchase is this: if you can buy a car without severely derailing your future goals for life, then do it. If, on the other hand, owning said car will put you deeply in debt, or hinder you from paying for school, food, etc., then keep the beater. In that case, you're simply not ready to step up to the next level (and that's ok). If you plan right and build a solid foundation, it'll happen when it's time.
 

davemarco

Senior Member
Joined
Jun 3, 2017
Threads
148
Messages
2,638
Reaction score
1,458
Location
SoCal
Vehicle(s)
2019 Civic Type R (CBP), 2013 Audi TTRS
Country flag
Why is that? A lot of rich folks prefer buying cars like Camry and such instead of flashy luxury expensive cars.
Agreed. I love the idea of driving something fun without the guilt of the massive cost. With a $200K+ income, a $35K car definitely falls into that category. It's actually why I upgraded from my '17 SI - I realized that I could get a Type R and still be in that cheaper but still amazingly fun car category.
 

willskiGT

Senior Member
Joined
Jul 1, 2019
Threads
6
Messages
314
Reaction score
190
Location
Atlanta
Vehicle(s)
2019 Civic Type R #26262
Country flag
Fair enough. I suppose that my argument is that those who can only afford to take 72+ month loans with very little down shouldn't buy $35000+ cars period. It seems like a recipe for never getting ahead, but to each their own, I suppose. A $200K a year household is smack dab in the middle class (the buying power of a six figure income is nowhere near what it used to be) and $20k down is nothing if it saves me more than it costs me (in market opportunity cost).
Maybe $200k HH income is "middle class" in SFO or NYC, but in the rest of the country (and on average), it's solidly in the top decile for incomes. I would not call that middle class.

https://dqydj.com/average-median-top-household-income-percentiles/

I put $0 down because I got a good rate (<4%) and I can do a lot better with the $36k I saved than a 4% avg annual return. Hell, an index fund is going to be 6-7% over the long run.

Agreed that households bringing in $50-60k should not buy a $36k car though.
 

willskiGT

Senior Member
Joined
Jul 1, 2019
Threads
6
Messages
314
Reaction score
190
Location
Atlanta
Vehicle(s)
2019 Civic Type R #26262
Country flag
If you have a boss that you report to every day for a wage you're not in the top decile, comrade.
Uh, no that's not accurate at all, sorry. If you want to look at it numerically rather than in random (untrue) generalizations, look at the link I posted. On average, HH income of >$185k means you are in the top decile of all households in the US. This is income, not net worth.



For net worth, the top decile is just $1.1MM. https://dqydj.com/net-worth-percentile-calculator-united-states/

That includes retirement savings and is skewed towards the elderly (those closer to retirement).

If you look at net worth deciles by age, you can see that you don't have to be anywhere close to wealthy to be in the top decile:

https://dqydj.com/net-worth-by-age-calculator-united-states/

Example, I am 29 (25-29 age group). Excluding home equity, I need just $63k to be in the top decile ($108k with home equity) for that age group.
 
Last edited:


davemarco

Senior Member
Joined
Jun 3, 2017
Threads
148
Messages
2,638
Reaction score
1,458
Location
SoCal
Vehicle(s)
2019 Civic Type R (CBP), 2013 Audi TTRS
Country flag
Maybe $200k HH income is "middle class" in SFO or NYC, but in the rest of the country (and on average), it's solidly in the top decile for incomes. I would not call that middle class.

https://dqydj.com/average-median-top-household-income-percentiles/

I put $0 down because I got a good rate (<4%) and I can do a lot better with the $36k I saved than a 4% avg annual return. Hell, an index fund is going to be 6-7% over the long run.

Agreed that households bringing in $50-60k should not buy a $36k car though.
I’ve seen the same data - I just don’t find it compelling given the erosion of buying power in the last 20 years. If you divide the income of the general population in 2000 and the income of the population today into the same lower, middle, upper class income brackets, you’d find that wage stagnation has kept the income thresholds for each relatively consistent. In essence, you’re considered to be “upper class” at $200k both in 2000 and today, but what that will buy you has drastically decreased.
 

yargk

Senior Member
Joined
Jun 20, 2017
Threads
21
Messages
499
Reaction score
359
Location
SF bay area
Vehicle(s)
'18 Civic Type R, '16 GT4, '19 GSW 4motion 6mt
Country flag
I’ve seen the same data - I just don’t find it compelling given the erosion of buying power in the last 20 years. If you divide the income of the general population in 2000 and the income of the population today into the same lower, middle, upper class income brackets, you’d find that wage stagnation has kept the income thresholds for each relatively consistent. In essence, you’re considered to be “upper class” at $200k both in 2000 and today, but what that will buy you has drastically decreased.
Yes, exactly. In other words, by those notions, middle class extends far into the top decile. In many areas you could have income in the 95th percentile and just barely manage what is thought of as a middle class lifestyle.
 
Last edited:

.grimace

Senior Member
First Name
Byron
Joined
Nov 9, 2017
Threads
49
Messages
1,796
Reaction score
1,348
Location
Reno, NV
Vehicle(s)
2021 Honda CTR, 2022 Range Rover , 1990 CRX SI
Country flag
Lollin at all these answers. So many people making up high numbers
 

willskiGT

Senior Member
Joined
Jul 1, 2019
Threads
6
Messages
314
Reaction score
190
Location
Atlanta
Vehicle(s)
2019 Civic Type R #26262
Country flag
I’ve seen the same data - I just don’t find it compelling given the erosion of buying power in the last 20 years. If you divide the income of the general population in 2000 and the income of the population today into the same lower, middle, upper class income brackets, you’d find that wage stagnation has kept the income thresholds for each relatively consistent. In essence, you’re considered to be “upper class” at $200k both in 2000 and today, but what that will buy you has drastically decreased.
There hasn't been an erosion of buying power though.

Wages, while not rising as rapidly as they did in the 1970s/80s, still rose at a greater rate than inflation from 2000 to now.

In year 2000 dollars, the top 20% of households made $81,766 ($119,561 in 2018 inflation adjusted dollars). The top 20% of households in 2018 made $130,000. You can see by comparing the two 2018 dollar figures that wages grew about 0.4% faster than inflation from 2000-2018. So buying power has not eroded.

I made a political statement and not a statistical one but there's nothing untrue about it.
When you're talking about income where there is a wealth of very high quality, readily available data, it probably makes more sense to stay in the realm of quantifiable facts rather than personal opinions.

The numbers (both income and net worth) clearly show that you can easily be in the top decile of US households with a wage earning job. Most director level and higher positions at F500 companies will make $200k+ per year, so if you have 1 or 2 people at that level in a household, they will comfortably be top decile for income, and after 15 or so years of saving, the top decile for net worth as well.

There are ~120MM households in the US, so that means 12MM households are making at least $200k. The vast majority of those households are people earning a wage ("working for a boss").

Now, if we want to talk about America's increasing wealth/income disparity, that's definitely a thing, but it's mainly the top 0.1% or 0.01% driving that, not the top decile. But, as you alluded to, a topic for a whole different thread.
 
Last edited:

Caestus

Senior Member
First Name
Jeremiah
Joined
Jun 22, 2019
Threads
14
Messages
665
Reaction score
316
Location
Miami Florida
Vehicle(s)
19 Civic Type R
Vehicle Showcase
1
Country flag
Lollin at all these answers. So many people making up high numbers

Not really... I could show you my job offer I just got on Wednesday, but I have nothing to prove. Just trust people sometimes :)
Sponsored

 


 


Top