Frugal Man Buys $52,000 Car – Why?
Introduction
Here’s a look at the new car, on its inaugural camping trip shortly after its delivery. As I write this, I’m navigating the various steps involved in purchasing a 2023 Tesla Model Y—a luxurious "crossover" packed with amenities: all-wheel drive, swift acceleration comparable to a Lamborghini, seating for seven, and enough tech features to rival a Google data center.
The Cost
The total net cost of this vehicle after taxes and tax credits will amount to approximately $52,000, a significant upgrade from the $4,500 I paid for my previous Honda van twelve years ago. That old classic served me well until recently, traversing mountains and deserts and contributing to rebuilding homes in my neighborhood.
A Frugal Conundrum
As a financial blogger known for advocating frugality and criticizing car culture, you might expect me to question this purchase. After all, most people use their cars far more than necessary and often drive vehicles they can’t afford. I feel a fair amount of self-mockery over this new acquisition, and many frugal friends likely share my initial reaction: "You’re off your rocker."
However, I remain committed to frugality and healthy self-ridicule. It was this philosophy that led to an early retirement 18 years ago, granting me the freedom I enjoy today. Procrastinating on buying this expensive car for four years is also in line with my values, despite encouragement from friends and internet critics.
A Timeless Slogan
A classic saying resonates: "What got you here won’t get you there." This applies to frugal living and longevity in retirement. Let me illustrate with a quick story from a recent grocery run:
I stood in the bakery aisle, hoping to restock on Dave’s Killer Bread for an upcoming breakfast with friends. Unfortunately, this store had raised the price to $6.99 per loaf—a steep increase from the $4.50 I’m used to paying (and even at bulk stores, it’s about double). My initial response:
“DAMN YOU KING SOOPER’S!”
My mind then embarked on a mental battle known as "Grocery Shopping With Your Middle Finger":
- Should I boycott this?
- Are other brands any good?
- What are alternatives for this breakfast?
Thankfully, the sensible answer emerged: “Just buy the bread you dumbass!” Because ultimately, small daily indulgences rarely lead to significant happiness.
Conclusion
I shared this tale with a guest that night, who understood perfectly. He, too, had earned his retirement through hard work and frugality. Despite having a higher net worth, he agreed: "You’re never going to wake up in the future and wish you’d spent an extra $2.49 more on bread."