Copping a model 3

Hi all, I am going to be starting my analyst stint in LA/OC where driving is the norm to work. I grew up in Manhattan so have never owned my own car before. Salary is same as NYC, 85k which amounts to roughly 5k after taxes. While the obvious and money saving choice is to cop a cheaper used car, one of my roommates just bought a used tesla model 3 (highest trim) for roughly 36k and it got me thinking about the feasibility of buying a tesla. They seem to hold their value remarkably well even as used cars have significant resale value. Given gas prices in the area, it seems like it might be very useful to have an electric car so gas savings will be significant. I fully intend to move back to NYC within 2-3 years as I grew up there and would not want to raise my kids anywhere else (also do not need a car at all there so this is basically the only point in my life I would buy/regularly use a car) so the resale value looks very attractive there. Given these circumstances, would it be a sensible decision to buy a tesla in my situation. I currently doordash/uber at college and would definitely continue uber in the LA area regardless of the vehicle. 

 

Yeah, get the Tesla.

You might want to look for a black on black if you want to drive Uber Black.

"Uber Black vehicles must be in mint condition. They must also, as the name implies, have both a black interior and exterior. The interior must be leather or vegan leather."

"If you always put limits on everything you do, physical or anything else, it will spread into your work and into your life. There are no limits. There are only plateaus, and you must not stay there, you must go beyond them." - Bruce Lee
 
Most Helpful

do you think it makes financial/logical sense. I dont see my rent being above 1200-1300 (with multiple roommates). Taxwise, not including the bonus around 55k (Cali and NYC taxes double whammy) which works out to a little under 5k a month. 

You can definitely craft an argument that the Model 3 will make financial sense (even if there are some things you're being intellectually dishonest with yourself about to justify the purchase because you want it). For me, the greatest financial boon of the Model 3 has been the free charging I get. I live right next door to a commercial garage that has 2 hours of free charging (so I get about 20% charge or about 53 miles) and when my place of work re-opens there is free EV charging. In 9 weeks, I've spent $22 or so on fuel (I've had to hit a supercharger some). My buddy has put 95,000 or so miles on his Model 3 and asserted to me he had spent $160 on maintenance, which is ridiculous.

On the other hand, insurance on a $36k used Tesla is gonna run you upwards of $100/month. The other x-factor is depreciation. With makes and models with long histories, such as Toyota Camry, it's gonna be a lot easier to estimate your depreciation. It's hard to say if a used $36k Model 3 is going to further depreciate $15k in the next 3 years or $5k. It's a real headscratcher. 

Array
 

I love seeing fancy cars with Uber and Lyft stickers on the back. Close second is the 10-year-old Maserati with a Baby on Board sticker.

heister: Look at all these wannabe richies hating on an expensive salad. https://arthuxtable.com/
 

I'm a Model 3 owner. The operating cost (maintenance and fuel) is stupid low and depreciation has historically been abnormally low. I do wonder, however, how much of that low depreciation is a function of limited supply, and I wonder what is going to happen in the next few years as Tesla ramps up production. You will have a lot more supply of used Teslas. 

Array
 

Go check out what 95% of other Tesla owners look like and then reassess your desire to be a part of that group...

Taycan or bust

 

Ad quam sunt quaerat delectus. Aspernatur repudiandae deserunt dolorem harum blanditiis maiores perspiciatis laboriosam. Provident velit ipsa asperiores qui aut. Deserunt dicta autem eligendi magnam magnam quibusdam id.

Non similique dolor vitae iusto in sint. Neque qui ad architecto.

Adipisci ut magnam et nisi. Nihil consequatur excepturi nihil et. Est odit sint quo aut excepturi.

"If you always put limits on everything you do, physical or anything else, it will spread into your work and into your life. There are no limits. There are only plateaus, and you must not stay there, you must go beyond them." - Bruce Lee

Career Advancement Opportunities

March 2024 Investment Banking

  • Jefferies & Company 02 99.4%
  • Goldman Sachs 19 98.8%
  • Harris Williams & Co. (++) 98.3%
  • Lazard Freres 02 97.7%
  • JPMorgan Chase 03 97.1%

Overall Employee Satisfaction

March 2024 Investment Banking

  • Harris Williams & Co. 18 99.4%
  • JPMorgan Chase 10 98.8%
  • Lazard Freres 05 98.3%
  • Morgan Stanley 07 97.7%
  • William Blair 03 97.1%

Professional Growth Opportunities

March 2024 Investment Banking

  • Lazard Freres 01 99.4%
  • Jefferies & Company 02 98.8%
  • Goldman Sachs 17 98.3%
  • Moelis & Company 07 97.7%
  • JPMorgan Chase 05 97.1%

Total Avg Compensation

March 2024 Investment Banking

  • Director/MD (5) $648
  • Vice President (19) $385
  • Associates (86) $261
  • 3rd+ Year Analyst (13) $181
  • Intern/Summer Associate (33) $170
  • 2nd Year Analyst (66) $168
  • 1st Year Analyst (202) $159
  • Intern/Summer Analyst (144) $101
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

1
redever's picture
redever
99.2
2
BankonBanking's picture
BankonBanking
99.0
3
Betsy Massar's picture
Betsy Massar
99.0
4
Secyh62's picture
Secyh62
99.0
5
kanon's picture
kanon
98.9
6
DrApeman's picture
DrApeman
98.9
7
dosk17's picture
dosk17
98.9
8
GameTheory's picture
GameTheory
98.9
9
CompBanker's picture
CompBanker
98.9
10
Jamoldo's picture
Jamoldo
98.8
success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”