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Subject:  Re: Car Leasing Question Date:  1/21/2022  12:52 PM
Author:  BruceCM Number:  23163 of 23360

Leasing is expensive as compared to outright purchase, or at least it was last time I considered leaasing. However, leasing is convenient, particularly if you routinely change family automobiles every 3 years or so and you don't want to be bothered by what to do with your old (3 year old) car.

I considered it when we got out current car....2016 Mazda CX-5. But the numbers were simply too big for the lease, particularly when with our credit score we could get a 3 year 1.2% APR loan with our CU with payments automatically deducted from out account each month.

I think leasing made a lot more sense when cars started becoming expensive to repair after a few years. But modern cars just seem much more reliable even with higher numbers on the odometer.

As to your $10K from your TIRA. The one thing I can think of is if you regularly give to charities and you are at least 70.5, you might consider using your taxable account cash towards the $10K and use your IRA to make the charitable contributions you'd normally make, using the Qualified Charitable Distribution which, tax wise, is the same as making a contribution then deducting it as an itemized deduction, which few retired person do as the vast majority use the standard deduction. Just seems expensive to lose 27% of your TIRA withdrawal to income tax.

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