It appears I've been punched multiple times. Out of curiosity at what point do you feel I can afford the RAV4? Once I pay off my mortgage?
So, as the designated car girl here, I will chime in: when you have a plan for FIRE and are on track for your goals and can knowingly accept the tradeoffs that come with the "nicer" option. And can pay cash.
That means after:
- You have an emergency fund sufficient for your situation and risk tolerance
- You have medical, life, and disability insurance if you have any kids/dependents
- You have no other debt except a mortgage and possibly student loans if they are below @4%*
- You are both maxing out your 401(k)s and IRAs/Roths, as applicable/available/appropriate for your FIRE plans
- You are saving sufficient additional money post-tax to meet your FIRE target date
- You are saving the amount you need to do whatever you plan for your kids' college
- You have a pot of extra money left over, and you and your SO would rather spend that on a new car than on moving your FIRE date forward or devoting more money to college or spending it on other lifestyle improvements, like a vacation**
Sorry. You only get to use each dollar once, so you have to make sure the needs are covered before you can move on to the wants.
*0% CCs don't count if you are doing interest rate arbitrage
** FWIW, I just committed myself to @ 6 mos. additional work for my own stupid car (much more stupid than a Rav4). Yes, it is not remotely Mustachian. But I did the math first, considered how I felt about my job, and said ok, it's worth it.