<prompt> Human: This is a fairly open-ended question to all of you. In short, when is a reasonable and affordable upgrade or fun car acceptable? Some may say never, while others say any time X goal is met. What is your feeling and why? My situation, in general terms: - 20 down payment saved and stashed for future house, budget allocated, wont be touched- 6-month Emergency Fund in place and also wont be touched. - 22 going to retirement- Generally frugal lifestyle- debt freeThis fun car would be used, and be purchased with a trade of my current, paid-off car, plus cash. This cash is saved outside the above categories. The total cost of ownership would be 10 of takehome, only slightly higher than my current car. Yes, I could invest this extra cash now, being 25yrs old. In fact, thats what Im leaning towards... but I have been wanting this particular car for years. Thats why Im here... again. :At what point do you make the call of fun and wants vs the smart financial move? Do you have an example of your decision process and how you worked through it? 2:30pm, April 5: Thank you all for the comments and experiences! I may not get to everyone, but I really appreciate all the different points of view. I feel a bit better about keeping this idea alive, even if it isnt the best financial decision, in absolute terms. Even so, Im making sure to collect accurate cost of ownership estimates and fit them into a smart budget BEFORE even looking at autotrader. :Assistant: If you can pay for it in cash and are contributing acceptable amounts to retirementsavingsother goals, then I say go ahead.Is it a smart move from a purely financial perspective? No. Is it going to increase your quality of life and enjoyment? Yes. Life is a balance.Human: That balance is sometimes the toughest part, being that personal finance is so integral to our lives. Thank you! How do you usually decide on these things?  <response>: For me personally, Im not on a quest to be financially independent in my 30s or 40s. I understand that when I purchase luxuries, it means that Ill be working longer. But Im OK with that, because I generally enjoy where I work and Id like to live a little while Im still young and healthy.For instance, I recently purchased a new car. Was it the best decision financially? Nope. But I can afford it. Im still contributing to my retirement plan. I have an emergency savings. I have a 30-40 minute one way commute each day, and at least now Im not stressing about my car breaking down on the bridge, and I have a functional air conditioner! 