buying this car can make you a millionaire. Guys, I'm so excited to talk about this single decision that can make or break your financial future. Unfortunately, most Americans get this decision wrong. But one decision that you can get right is to subscribe to the Money Guy Show. Make sure you click the Subscribe button and hit the notification bell to stay up to date on all the information we put out. What car can make you a millionaire? The one that you can afford. Unfortunately, so many Americans are massively overpaying for cars. The average monthly payment is $735 a month. They're financing the car for almost 68 months. The average interest rate is 7.2%, and the average loan amount is $41,000. Spending on me money. We at the Money Guy Show always prefer you to pay cash for cars, but if you can't do that, we have developed 238. You want to put 20% down. You don't want to finance for any more than 3 years or 36 months. And all of your car

payments cannot exceed 8% of your monthly gross income. And then there are two caveats. If you're buying a luxury car, you have to have it paid off within one year, same as cash. And you cannot have your monthly car payment be more than your monthly investment amount. What this rule is, is allowing you to buy a reasonable, reliable car. What this rule is not, is allowing you to get into a little more car than you can afford. Bo, remember we're talking about Corollas, not Land Cruisers. And following this one rule could likely make you a millionaire. Don't believe me? Let's look at the numbers. Let's say that you have two individuals. You have Average Allen and you have Manny the Mutant. Both are 25 years old and both have an annual income of $75,000. Average Allen is going to make the same decisions that most Americans make. He's going to buy a car for $4,634.00, finance it over 68 months. That means that his monthly payment is going to be $735 a month. Then we have Manny the

mutant who's going to follow 238. Manny's going to buy a $119,000 car. He's going to finance it over 3 years or 36 months, so his monthly payment is only going to be $500 a month. And with his extra $235, he's going to begin investing that amount. And then once he pays off his car after 36 months, then all $735 is going to go to his portfolio. So remember, Manny is going to invest $235 for 36 months. Let's assume that he can make a 10% annualized rate of return. In 3 years, Manny's going to have a paid-off car, and his portfolio value is going to be $99,900. It's at this point that then he continues paying, investing $735 a month until average Allen pays off his automobile at the end of 68 months. Both Allan and Manny have paid for cars, but Allan has 0 extra investments, whereas Manny has accumulated $37,000 in his investment portfolio. But that's only part of the story. Remember

this is just over the 68 months that it took Allan to pay off the car. What happens if Manny lets that $37,000 continue to grow all the way until it gets to retirement? Again, if we assume saving 10% per year with no additional savings, that $37,000 can turn into $160,000. And that million dollars came from a single financial decision. Instead of Manny buying the expensive car, he bought the reasonable car. But maybe you're finding this video a little too late. You're in the camp where you have an automobile that's derailing your finances. It's okay. It's not too late to adjust course. Maybe you need to get rid of the vehicle. Maybe you need to readjust your payments to pay it off inside of 36 months. If you're learning this today, that's great. It's not too late. If you want to know which car you can buy that'll make you a millionaire, or maybe you want to know what kind of car to buy so that you don't make a million.

dooll mistake go to money guy.com resources and check out our how much can you afford car calculat so that way you won't be driving around your wealth. Don't let consumption decisions derail your financial future. Own your financial future or it will own you.

This Car Could Make You a MILLIONAIRE

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This Car Could Make You a MILLIONAIRE

This Car Could Make You a MILLIONAIRE

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