gamefabrique
New member
@kaylamorgan I think it’s about R850
A fellow employee at our McD’s got knocked in the drive-thru a few weeks ago and finally got paid out
- Thread starter gamefabrique
- Start date
@kaylamorgan It is 2000
kaylamorgan
New member
Decidedly different responses!
jessasaurus
New member
@gamefabrique Unless he’s going to use the car to generate an income (for example by coming a ride share driver), he shouldn’t buy a car. It is unlikely that the government grant is going to cover the running costs of a car (fuel, insurance etc).
As others have said, he’d be better off investing it and learning a new skill that he can use to support himself.
As others have said, he’d be better off investing it and learning a new skill that he can use to support himself.
definitecomet
New member
@jessasaurus Even with that, margins are pretty tight in ride sharing. Would he be able to drive the vehicle himself? If his injury doesn't allow it would he have to hire and pay someone else to do it?
I'd say he definitely should learn a new skill.
I'd say he definitely should learn a new skill.
@gamefabrique R400K for not being able to work no more doesn't sound sufficient.
wutsrongwthme
New member
@gamefabrique Tell him to watch "I blew it"
@gamefabrique Just out of interest, is he also brain damaged?
@gamefabrique Tell your friend he needs to read a financial book. Anyone of the millions there are. I can guarantee he'll learn something if this is how he plans to spend that money.
peppermintmochax
New member
@gamefabrique As has been started before, tell your friend to go to school and get a qualification or to use the money to start a business. There are tons of jobs that do not require both hands to do.
He needs to use this money to go towards setting himself up for the rest of his life and the only way it's going to do that is by using it to upskill himself and pivot careers. There are also tons of courses you can do online that can help. If your friend loves cars, help him start a business that somehow works with cars. Be that a carwash, or a small second hand dealership, whatever.
Also, if his hand is so messed that he can't work, how on earth is he going to drive safely without modifications to the car? Those modifications aren't cheap.
Tell your friend that you think he's looking at this money completely wrong and that you want the best for him.
You might lose a friend, but if that's the case, he wasn't the type of friend that you wanted along with you on your financial journey anyway.
Be the friend that uplifts and educated, not that friend that enables his disasterous plans.
Buying a car for that amount of money when you have no income only ends one way and there's no car at the end of it.
He needs to use this money to go towards setting himself up for the rest of his life and the only way it's going to do that is by using it to upskill himself and pivot careers. There are also tons of courses you can do online that can help. If your friend loves cars, help him start a business that somehow works with cars. Be that a carwash, or a small second hand dealership, whatever.
Also, if his hand is so messed that he can't work, how on earth is he going to drive safely without modifications to the car? Those modifications aren't cheap.
Tell your friend that you think he's looking at this money completely wrong and that you want the best for him.
You might lose a friend, but if that's the case, he wasn't the type of friend that you wanted along with you on your financial journey anyway.
Be the friend that uplifts and educated, not that friend that enables his disasterous plans.
Buying a car for that amount of money when you have no income only ends one way and there's no car at the end of it.
@gamefabrique This has to be a troll post. No freakin ways.
armour1984
New member
@gamefabrique He needs to save every possible cent of that money. Its for the rest of his life. He is unlikely to get a windfall like this every again in his sorry life.
Learn about compound interest. Understanding how it works is the most important thing they never teach you at school.
If he puts it away in a conservative unit trust he is likely to get at least 10% annual return. When the interest is compounded after 20 years the investment will be worth R2.7 million. In 20 years when is married with teenage kids and lots of responsibilities he will greatful for that nest egg. Even more so if he can hang onto it until he is 60 then it will be worth R18 million ! (and probably a lot more) All his pals will be hustling for their next stompie and he will be living a proper life. The capital will be enough for him to draw an income and live off for the rest of his life. Imagine turning 60 and knowing you never have to work again or worry about money for you or your family! It is like knowing you will win the lotto the day you turn 60.
To be living the life of a very well off person at 60, he literally has do only three things. Invest the money carefully, never tell his wife, mates or business partners about it and never touch it no matter how hard things get.
Learn about compound interest. Understanding how it works is the most important thing they never teach you at school.
If he puts it away in a conservative unit trust he is likely to get at least 10% annual return. When the interest is compounded after 20 years the investment will be worth R2.7 million. In 20 years when is married with teenage kids and lots of responsibilities he will greatful for that nest egg. Even more so if he can hang onto it until he is 60 then it will be worth R18 million ! (and probably a lot more) All his pals will be hustling for their next stompie and he will be living a proper life. The capital will be enough for him to draw an income and live off for the rest of his life. Imagine turning 60 and knowing you never have to work again or worry about money for you or your family! It is like knowing you will win the lotto the day you turn 60.
To be living the life of a very well off person at 60, he literally has do only three things. Invest the money carefully, never tell his wife, mates or business partners about it and never touch it no matter how hard things get.
@gamefabrique No car should be seen as an investment ever.
Minimum liability?
Don’t buy a new car, and aim to spend only 1/3 of the payout on a vehicle if the need for one exists. Put the other two thirds in an investment account and forget about it.
You can find and buy a clean 2008 Polo 1.9TDi 74kW (5door) with a full service history, decent mileage for a diesel (180-200,000km) and one prior owner for around R80k or less.
https://www.ultimatespecs.com/car-s...wagen-Polo-4-(9N3)-Highline-19-TDI-100HP.html
Why the 5door? It’s more practical, has 15” wheels from factory so tyres are going to be affordable. The 2-door sportline model will not only have a significantly higher cost of ownership (turbo, injectors, tyres to name a few all cost more) but it’ll likely have had more owners and modifications affecting reliability, it’s less practical and more likely to be a target of theft. Not to mention it’ll fetch a higher price regardless of condition. Finding a really clean example is borderline impossible and if you manage to, expect to pay R100k-R120k for one. Both cars have the same motor.
This motor & transmission is incredibly overbuilt and as long as you make sure to give it new oil once a year or every 5000mi (as well as filters) it will outlive you. In addition to fuel and insurance budget, put R1500pm aside for annual major services, emergency maintenance OR annual mechanical overhauls if that money is still available at the end of each year (new brakes, suspension rebuild, turbo replacement, AC repair etc.) then you have an incredibly fuel efficient vehicle that has enough torque to tow a trailer, low insurance premium, easy to work on and perform minor services yourself and has enough creature comforts to keep you happy.
You’re welcome to DM me for further support if you’d like.
Edit: this car will retain its value decently if maintained well. No new polo will retain its value even nearly as well. Unless you bought an Audi A3/S3 or other VAG hatchbacks or desirable high demand vehicles of that class for cash during the peak of the silicon shortage in 2020 - 2022 you won’t make a profit or decent return selling a used 2023 polo.
Chris fix has a great series about how to inspect and test used cars. Link below.
Minimum liability?
Don’t buy a new car, and aim to spend only 1/3 of the payout on a vehicle if the need for one exists. Put the other two thirds in an investment account and forget about it.
You can find and buy a clean 2008 Polo 1.9TDi 74kW (5door) with a full service history, decent mileage for a diesel (180-200,000km) and one prior owner for around R80k or less.
https://www.ultimatespecs.com/car-s...wagen-Polo-4-(9N3)-Highline-19-TDI-100HP.html
Why the 5door? It’s more practical, has 15” wheels from factory so tyres are going to be affordable. The 2-door sportline model will not only have a significantly higher cost of ownership (turbo, injectors, tyres to name a few all cost more) but it’ll likely have had more owners and modifications affecting reliability, it’s less practical and more likely to be a target of theft. Not to mention it’ll fetch a higher price regardless of condition. Finding a really clean example is borderline impossible and if you manage to, expect to pay R100k-R120k for one. Both cars have the same motor.
This motor & transmission is incredibly overbuilt and as long as you make sure to give it new oil once a year or every 5000mi (as well as filters) it will outlive you. In addition to fuel and insurance budget, put R1500pm aside for annual major services, emergency maintenance OR annual mechanical overhauls if that money is still available at the end of each year (new brakes, suspension rebuild, turbo replacement, AC repair etc.) then you have an incredibly fuel efficient vehicle that has enough torque to tow a trailer, low insurance premium, easy to work on and perform minor services yourself and has enough creature comforts to keep you happy.
You’re welcome to DM me for further support if you’d like.
Edit: this car will retain its value decently if maintained well. No new polo will retain its value even nearly as well. Unless you bought an Audi A3/S3 or other VAG hatchbacks or desirable high demand vehicles of that class for cash during the peak of the silicon shortage in 2020 - 2022 you won’t make a profit or decent return selling a used 2023 polo.
Chris fix has a great series about how to inspect and test used cars. Link below.
gamefabrique
New member
@gamefabrique My absolute pleasure by bud 
No awards expected but I appreciate the gesture, I just like to help out where I can and knowing that I’ve even sparked consideration of a different perspective is awesome!
DM me if either of you wanna chat about it further.
No awards expected but I appreciate the gesture, I just like to help out where I can and knowing that I’ve even sparked consideration of a different perspective is awesome!
DM me if either of you wanna chat about it further.
@gamefabrique Thought this post is taking a piss? No way this can be real?
@gamefabrique Use money to pay lawyer to get a bigger payout because this is nothing (still think op is trolling)
resjudicata
New member
@gamefabrique Ask Nozi van heerden. She will help you choose an investment that pays dividends. 400k is a lekker amount to earn dividends on.
Just a bit a about dividends: some companies pay you a % of what you invest as a thank you almost. Paid every quarter/6 months /annually. Your cash also grows with interest on top of that if you've picked the right investment.
Another option is buying a bond where lets say you invest that 400k over a set period of time, you then get interest on that amount/month or quarter or 6months, and then have that 400k returned to you at the end.
Idea is that, he buys a car using the interest he makes on that cash. He doesn't spend a cent of the original 400k. It just grows.
Think about the future! Ask Nozi, she is a personal finance educator.
Just a bit a about dividends: some companies pay you a % of what you invest as a thank you almost. Paid every quarter/6 months /annually. Your cash also grows with interest on top of that if you've picked the right investment.
Another option is buying a bond where lets say you invest that 400k over a set period of time, you then get interest on that amount/month or quarter or 6months, and then have that 400k returned to you at the end.
Idea is that, he buys a car using the interest he makes on that cash. He doesn't spend a cent of the original 400k. It just grows.
Think about the future! Ask Nozi, she is a personal finance educator.
vancouverguy
New member
@resjudicata Dividends is not a percent of what you invest as a thank you, it's a return of some of the earning of the company to it's shareholders.
You also won't earn interest on cash invested because you don't hold cash, you hold shares. If they increase in in vale it is not interest
You also won't earn interest on cash invested because you don't hold cash, you hold shares. If they increase in in vale it is not interest
resjudicata
New member
@vancouverguy Seems that while trying to stay away from jargon and the intricacies of investments, for the sake of portraying the idea of having your money appreciate rather than buying a car, has got me into some trouble.
Correct, dividends are not a mere thank you. However they are not compulsory, they do fluctuate dependent on the companies earnings and they do promote loyalty by showing the strength of the business to offer stable returns. I see them as a ' thank you for trusting us'.
Regarding earning interest on cash. Sure it's not cash, you buy stocks which ideally increase in value which you then sell at a higher value in the future. The value gained can be calculated as a % of what you invested which is called 'return on investment' not interest. Interest is a % that you are charged on what you have borrowed, which is paid rather than earned like on a loan.
Pardon my inaccuracy in my previous comment.
Correct, dividends are not a mere thank you. However they are not compulsory, they do fluctuate dependent on the companies earnings and they do promote loyalty by showing the strength of the business to offer stable returns. I see them as a ' thank you for trusting us'.
Regarding earning interest on cash. Sure it's not cash, you buy stocks which ideally increase in value which you then sell at a higher value in the future. The value gained can be calculated as a % of what you invested which is called 'return on investment' not interest. Interest is a % that you are charged on what you have borrowed, which is paid rather than earned like on a loan.
Pardon my inaccuracy in my previous comment.