<p>In return for attending my state university, my parents have graciously offered me either 1.) a car sophomore year or 2.) that money in cash. The car would be a 2008 Prius.</p>
<p>I would like to move to San Francisco after graduation, and want to choose the best option to make that an easier possibility. If San Francisco is not a walking city, I thought it would be smart to have my parents buy me the car, because I know gas prices - especially in CA! - are extremely high. The new Prius can be plugged in and gets a ridiculous 90-something miles per gallon. I think this would really cut down on my living costs if a car is necessary.</p>
<p>If a car is not necessary in San Francisco (I know it is more of a traditional walking city than LA, but possibly not as foot-transportation friendly as NYC - can someone clarify?), I think it would probably be better to invest that money somehow. If I choose to invest it, what is a wise plan for getting good returns? </p>
<p>SF is a walking and public transportation city. A car is nice to get away to Napa, Carmel, Tahoe and more, but not at all necessary. Lots of people just rent one the weekends they need one.</p>
<p>SF is one of the most expensive in the world to live in. Save the money for a down payment on a condo.</p>
<p>Don’t decide now. Wait until the end of freshman year, when you will have a better idea of whether a car is really useful at your university. At some campuses, a car is unnecessary. At others, it really enhances the quality of life.</p>
<p>You say that your location is “HoCo.” If by that you mean Howard County, Maryland, and you’re going to UMCP, you will not truly need a car there. Having one would be a nice luxury (mostly because there is no real supermarket within walking distance of the places where most of the kids live off-campus), but it is definitely not a necessity.</p>
<p>Thank you! I know that I will not need a car in college. I am willing to make quality of life sacrifices in college to move to SF (my plan to relocate was part of my decision to attend the cheaper university). I know the longer I have to invest the money and/or it is in a bank, the greater returns I’ll get. So I would prefer to decide now, anyway.</p>
<p>I was leaning towards #2. Is there any way I can invest the money? It would be ~$30,000.</p>
<p>*Correction: the third generation Prius I am (potentially) waiting for will probably be available closer to the date of my graduation (2010-11) rather than in 2008.</p>
<p>I would want the money pretty close to my graduation date to help pay for the costs of living in the city (otherwise, it’s likely that I wouldn’t have enough savings to immediately relocate). I think stocks would be too volatile in the short term. I guess I would be willing to wait 2-3 years after graduation before moving, but I fear that if I establish myself, I won’t ever get off of my butt ;).</p>
<p>I don’t know what a municipal bond fund is, but it’s good to hear the terms thrown out, anyway (ah, the magic of Google). I don’t even know what my options are.</p>
<p>If you get hired by a firm for a position in San Francisco when you graduate, they will probably pay to move you there : ) Often times they will also pay to help you find a place to live and temporary living expenses. Something to shoot for!</p>
<p>Well, that makes your plan difficult. Most ambitious journalists move a lot. They often take the best job no matter where it is. Gilmour Girl fan? Poor Rory is graduating from Yale as was just turned down at the NYT and a major Chicago paper. She begs for a job she thought she was too good for in Providence. I;ve watched my cousins, one who does now work for a SF newspaper. It’s hard to just show up in SF and get a job as a journalist. Usually you work in Little Rock or Cleveland or Providence first.</p>
<p>You better make sure your apartment building has a dedicated 240 volt outlet available to recharge that Prius or your mileage will be a lot closer to 35 than to 90.</p>
<p>I’d take the cash. When and if you need a car, you can buy a 5-year-old economy car for $5-10k and keep the rest.</p>
<p>Plan B: Give me the money. I promise to take good care of it.</p>
<p>The Prius out now (not plug-in) gets something like 60 mpg. Some hyrbrid SUVs get around 34. Whatever it gets, it’s the best out there. But yeah. I’m pretty much decided on the cash.</p>
<p>Anyway, I have heard about it being tough to make your mark as a journalist. Rory was dumb if she thought she could get a job at the NYT! I don’t really mind what paper I work for first, but I do want to move to a decent-sized city (which also all - unfortunately? - have decent papers!). Even if I don’t get a job in San Francisco, having the money that I planned to use there will help set me up anywhere (DC, Portland, or even Providence :p. But not Little Rock, for the love of God ;)!). Also, being able to write and live where I want is more important to me than journalism specifically per se.</p>
<p>Only in Toyota’s advertising and the EPA mileage measurements. Real-world numbers are typically in the low 40s. The '08 is going to have a larger gasoline engine and may not even do that well.</p>
<p>WashDad’s rules, nearly everyone:</p>
<ol>
<li> Lies about their love life.</li>
<li> Overstates the amount of taxes they pay.</li>
<li> Exaggerates their gas mileage.</li>
</ol>
<p>You don’t need the money for the next 10 years. Use the money to put a deposit on an investment property in a grwoing market–PM barrons for his list.</p>
<p>I’m not sure this is true. Right after college, you may suddenly need a car to get to work (although it need not be a nice one), several days worth of appropriate business clothing to wear while at work, and some basic furniture for an apartment. And you will need these things before you have any income to buy them with. The money your parents are giving you now would help you to pay for those necessities then. </p>
<p>Each of my kids inherited $25,000 when their grandfather died a few years ago. I expect that they will both find it necessary to spend most of it for those initial right-after-graduation expenses when they suddenly have to transform themselves from students into working people.</p>
<p>SF is more foot/public transport friendly than it is car friendly. It’s pretty unique in this respect for a city in the west but SF is unique in many ways. Of course, a car is nice to have to go anywhere outside of the city and there’s a lot to explore - coastline, Napa, Redwoods, Tahoe, Yosemite, Sequoia, etc.</p>
<p>I suggest waiting until you come to the bridge before you cross it. Between now and then circumstances might change which could affect your plans. You can always park the money and earn some interest until you decide how best to spend it.</p>
<p>And the Prius gets nowhere close to 90mpg and generally nowhere close to the mileage advertised although of course, it does get good mileage. As Washdad or someone suggested you might want to consider doing a bit of both - buy a good used car and then have cash leftover for investment, savings toward an eventual down payment on a house/condo, or to travel a bit while you’re young and unencumbered.</p>
or invest in google, holy cow, they are non stop.</p>