Negotiating Your New Car Purchase
According to AAA, the Sticker Price (MSRP) is marked up by an average of 13.5% from what the dealer actually paid for the vehicle.
What scares us about car negotiations? Our preconceived notions of “not getting a good deal” or being subjected to “slimy dealer tactics”? Could it be how infrequently we make large purchases and the costs associated with them? With double-digit markups, it seems like new car buyers would be more more diligent in their research and more aggressive with their negotiations.
Mrs. FinEngr and I first started talking about the idea of a new car back in August of 2009. Not really entering the market until early September of 2010, we worked with Geoff, the Car Negotiation Coach, on strategies to secure the best possible price.
New Year’s Eve Day, we purchased a 2011 Hyundai Sonata.
Based on checked and re-checked calculations we negotiated:
- 19% below MSRP, over $3,000
- 14% below Factory Invoice, over $2,000
- 3.5% below Dealer Cost (averaged*)
*It’s hard for me to believe the dealer actually took a loss on our sale. At a minimum I know they got very little to no profit off us. Different sources and price profiles came back with savings from 0.5% to 6.0% under Dealer Cost.
As for the back story, here’s our situation…
Forget 2011, Go Back to 2010
A time to look forward, New Years gives us the opportunity to better ourselves. We set resolutions raising the bar where we’ve fallen short before. As we focus on our new goals, the old year is soon forgotten along with all that happened in the past.
Being a nut about advanced planning, we make a lot of headway financially in the month of January. Our portfolios are rebalanced, insurances are reviewed and updated, and our Roth IRAs are fully-funded (read why I’m a fan of “front-loading”) for 2011. Okay so what about the remaining 300+ days?
Being well-prepared not only keeps you ahead of the game, it also allows for more reflection. Knowing what you did well gives a strong sense of satisfaction and knowing what you did wrong helps you improve going forward.
Gift Card Arbitrage: New Way to Save More
Skimming through Jan-Feb issue of Money, one snippet caught my attention:
“Swap that Gift Card for Cash”.
The write-up focused on two sites – PlasticJungle and GiftCardRescue. Both are services for offloading unwanted gift cards. While the article seemed only to consider the selling opportunities I was amazed they didn’t bring up the BUYING potential of these sites. Sure gift cards are limited to specific stores, but these cards are being sold for less than what’s on them – that’s an immediate discount!
Continue reading “Gift Card Arbitrage: New Way to Save More” »
Happy 1st Anniversary EYF
Hard to believe this site has been in existence for over a year now. Instead of celebrating this milestone with a boisterous “HOORAY”, it’s more of a wimpy “yay”.
Readership continues to grow despite any regularity or consistency in the writings. Facebook fans are almost at 100 and the Twitter following hovers 400. Comments and discussions have dropped off and are one area I’d like to work on. Admittedly, I can’t expect comments without posting relevant and entertaining articles.
Inactive for an entire month, all of the recent listings have consisted of third party guest posts. Subjecting readers to my sporadic postings only punishes myself and establishing a better schedule for writing is another goal for me to work on. Don’t get me wrong, ideas for articles come to mind everyday as I read and think about finance – these ideas just don’t seem to make it from brain to keyboard.
Of all the things that keep me blogging, the #1 top has to be the Yakezie Network. Throughout my extended periods of inactivity, I’ve always returned with this sense of guilt from neglecting the members and current events. Even during these times, it remains one of my stronger support networks (outside of my loving wife). Amazingly I have yet to draft my Yakezie Network biography or announce my intentions to pursue a position for “Publication Marketing & Author Liaison” (the title isn’t real).
Get In The Game – Start Studying Finance Online
This guest post comes from Connor G. as he discusses online degree programs related to finance.
Breaking into the financial industry can seem daunting. A popular saying goes, it comes down to who you know, not what you know. While this holds some weight, the knowledge you have about finance is extremely important to finding a job in the industry. If you live a busy life or don’t have the resources available to make a big move, you may want to look into studying finance online. The top online finance schools are accredited by the U.S. Department of Education. This accreditation takes into account a school’s history, the quality of teachers they provide, the quality of their masters in finance online programs, and any distinguished alumni that may have attended. Choosing to attend accredited online finance schools is a big step. It is best to take your time and do as much research as possible before deciding where to attend. Continue reading “Get In The Game – Start Studying Finance Online” »
Adaptu on Engineer Your Finances
Engineer Your Finances is all about helping readers increase and expand their financial education, work on improving and optimizing their own financial system, and continue towards the ultimate goal of financial security. At Adaptu, we believe we can help you achieve your financial goals.
Adaptu is an online service, with tools, resources, and a community of connected users, that helps people make sense of and be in control of their financial lives. We believe that by taking a more active role in your own finances, you’ll be able to adapt to life’s both planned and unplanned events. Like Engineer Your Finances says, optimization is all about “maximizing the good, minimizing the bad.” There is always room for improvement. Continue reading “Adaptu on Engineer Your Finances” »
