Dave Ramsey Says Millionaires Drive These 10 Cars: Are They Worth the Price Tag? (2024)

FAQs

What vehicle do most millionaires drive? ›

“Your cars, trucks, boats, motorcycles, and other vehicles should not have a total value that exceeds half your annual income. Why? You don't want too much of your wealth tied up in things that depreciate.

How many quadruplets do you know? 8. Millionaires usually drive new cars. False— Only 23% of millionaires drive a current-year car and more than half drive a car that is more than two years old.

Buying new can be a good choice if you want the latest features and cheaper initial maintenance costs, but you'll have to deal with a higher rate of depreciation and a bigger price tag when it comes to the initial purchase and insurance rates.

Additionally, research by MaritzCX found that for Americans earning more than $200,000 a year, the Ford F-150 pickup truck was the most popular choice of vehicle to drive.

“Some [rich people] prioritize financial prudence and long-term wealth accumulation over ostentatious displays of wealth,” said Kilday. “Instead of spending money on expensive cars, wealthy individuals who choose to drive more modest vehicles [often] focus on building their investment portfolios.”

Ramsey took people to task for the financial hole they put themselves in as they contend with massive car payments. "You've got a car payment bigger than your house payment. The average car payment in America now is $499 — that's suspiciously like 500 bucks," he said.

The 20/3/8 car buying rule says you should put 20% down, pay off your car loan in three years (36 months), and spend no more than 8% of your pretax income on car payments. As we go into depth to determine how realistic this rule is, you may consider whether it can actually help you budget for your next car.

Honestly, whether you tithe from your gross pay or your take-home pay is totally up to you. The point here is that you're giving 10% of your income. Dave Ramsey gives off the top of his taxable income—and I do too! But the true heart is this: Just give and be a giver.

Personal finance expert Dave Ramsey emphasizes that those who have built wealth between $1 million and $10 million typically drive "understated" cars. He says that people in this wealth bracket often drive used Camrys, Hondas, or old pickup trucks, as they're not trying to impress others.

Where do millionaires keep their cars? ›

In a racetrack villa

The Thermal Club in La Quinta, California, is a V.I.P. racetrack country club that sells real estate on the track for super-rich buyers who want to build insane garages. In order to race supercars at this exclusive 4½-mile track, you need to be a Thermal Club member.

His collection includes several high-end vehicles such as a Cadillac Escalade, Land Rover Range Rover, Mercedes-Benz S450, Ferrari Pininfarina Sergio, W Motors' Lykan HyperSport, Bugatti Veyron Mansory and Koenigsegg CCXR Trevita.

In a 2017 blog post, Orman said buyers should spend the least amount possible on a car because paying less will help them pay off the car faster. Once the car is paid off, Orman advises hanging onto it for as long as possible.

Here's the deal: The car you can afford is the car you can pay for in cash. And as a general rule, the total value of all your vehicles combined shouldn't be more than half your annual income.

Starting with the 1/10th guideline, created and pushed by Financial Samurai, this guideline states: buy a car in cash that costs less than 1/10th your gross annual pay. If you make $50,000 you should buy a car in cash worth $5000. If you make $100,000, the car you buy should be worth no more than $10,000.

Bezos also owns a car collection reportedly worth around $20 million. His collection includes several high-end vehicles such as a Cadillac Escalade, Land Rover Range Rover, Mercedes-Benz S450, Ferrari Pininfarina Sergio, W Motors' Lykan HyperSport, Bugatti Veyron Mansory and Koenigsegg CCXR Trevita.

Buffett's current vehicle, the 2014 Cadillac XTS that he has owned for approximately ten years, is a testament to his reputation for frugality.

Luxury Vehicles , super cars, exotic cars used by billionaires. All types of expensive vehicles like rolls royce , lamborghini ,ferrari ,benz, BMW and many…

While Musk hasn't explicitly named a favorite, he frequently drives Tesla models, suggesting a personal preference for their performance and sustainability. He's also expressed admiration for the classic Jaguar E-Type and the iconic McLaren F1.