Whats my GTI Worth??

[MR-GTI]

Hey all,

Just a quick one, I'm currently in negotiation of a new Job.
The prob is they will not offer a car allowance, but a company car.

Now the dilemma I have is I have my GTi on lease, as my current job did not offer a company car but a Car allowance.

So If I decide to take this new job, I have no choice but to sell my Polo...

What would it be worth?
I’m afraid the difference will end up costing me some $$ to pay the lease out after the car is sold.

It's a 2006
Silver
Completely standard.
Leather
Sunroof
16,000ks.

Any help would be appreciated.

Thanks

Regs Mr-GTI

[Ben_GTI]

Redbook puts a July 2006 16,000km Polo at $23,200 average private sale for a top figure.

Given you have leather and sunroof, you might be able to squeek $25,000 but remember that redbook averages include all options because it is the average price range for the model regardless of what options it has.

If you put it on the private market for $24,000 it'd sell. If you trade it in you are looking at $19,000. It really sucks for you man because you just copped the new car depreciation!!!

I'd keep it as a fun car, or get a company car below the spec offered and they should pay you the difference between your car's costs and the standard for your job grade.

[ralphk]

MR GTI,

Negotiate a salary sacrifice and a novated lease. It does not cost the employer any more or less to have you there but you get similar tax advantage.

We employ several people and have 2 on novated car leases...they didn't want vw. The others have aq company car, 2 x Golf Silver TDI, 2 x Silver Polo TDI, and my silver polo GTI (with lots of adjustments by Guy ;-))

[gti_freak]

keep this car man. So much fun you can enjor from polo gti and don;t waste the top and luxury options that you own. :)
Don't sell it !

[gti_freak]

one more thing, if you really desperate to sell it and if i were you, i will list the price for it at $26500. remember your car is top model with all features,trust me there must be someone to buy it.
Try it first.

[LowVeeDub]

Redbook puts a July 2006 16,000km Polo at $23,200 average private sale for a top figure.

Given you have leather and sunroof, you might be able to squeek $25,000 but remember that redbook averages include all options because it is the average price range for the model regardless of what options it has.

If you put it on the private market for $24,000 it'd sell. If you trade it in you are looking at $19,000. It really sucks for you man because you just copped the new car depreciation!!!

I'd keep it as a fun car, or get a company car below the spec offered and they should pay you the difference between your car's costs and the standard for your job grade.


one more thing, if you really desperate to sell it and if i were you, i will list the price for it at $26500. remember your car is top model with all features,trust me there must be someone to buy it.
Try it first.

Redbook is nonsense.. Sometimes there right, but hardly ever.
If you negotiate hard on a new one you could get one for $30500 with leather if the dealer is desperate. So $26500 is a good place to start, you may get lucky. When you buy a new car your on road costs are lost the instant you drive out the door. Good luck with the sale. Id keep it if you can find a way... Great little car.

[mitch_gti]

Dont see how 30,500 is possible.

I work in a dealer network which sells vw and that is beyond possible for us to do. Far below cost.

[Cygnus]

Well, depending on how urgent you are, you could always sell it here on the forum, I think there's a lot of would-be-buyers of the Polo GTI on this forum, and at 16000km and fully kitted out, there should be plenty of interest. I know if I didn't have mine already, I'd be interested at around the $28k mark.

As for how much you can get for a new one with leather, I guess $30500 is possible, but don't forget his car also has sunroof which adds another $1500 and metallic paint. Plus there's no waiting time.

[LowVeeDub]

Dont see how 30,500 is possible.

I work in a dealer network which sells vw and that is beyond possible for us to do. Far below cost.

I work for VW and it has been done, There are many variables when selling a car. Demo vehicles, old stock, service loan cars, end of month numbers?? As i said depends how desperate the dealer is.

[Timbo]

Owners (myself included :( ) are invariably over-optimistic when it comes to valuing their cars on the second-hand market, which is also pretty soft at the moment due to record new car sales. Red Book & Glass's Guides actually do provide a reasonably good value indicator as they are used in the industry, but remember they are dealing in averages.

Also, unfortunately the market doesn't always retain the relative value of options and modifications, which is one reason why many people remove these before selling.

Finally, studies have shown that time is your best asset when trying to sell anything for the price you want. Most people get rushed into accepting a lower price because they have to get rid of the car.

All that said, check the car sites then set your price and be prepared to wait...or figure out a way to keep the car.

Much as I would like to support the $26,500 starting point, I have a similarly configured car, and I know its depreciated value is now around $25,500. You could always kick off at the old $25,950 price point :???:

[dodgeGTI]

ralphk is on the money, you should put the car on a novated lease which the new company pays the car allowance into. If the allowance won't cover the leave payments you can salary sacrifice the rest. ;)

[PeterHBne]

Go a novated lease. Particularly if you are in a higher tax bracket and doing lots of kms. Very tax effective method of paying off your car and associated expenses.

[Funkdancer]

I love my own novated lease of same spec polo (plus mods added).

[MR-GTI]

Thanks guys,

I'm not sure what to do.. I really love the car, but there is no-way I can keep it if they are going to supply me a company car.

The reason why they want to offer one is they can buy a 1 yr Old car for like 18-20k and thats it, the only expence after that is Rego, Insurance, service and maybe fuel for them.

To them , that is money well spent rather than giving me 15k a yr as a car allowance.

Just the thought of stepping out of the POLO and into a Camery or something else along those lines is a killer.

Regs MR-GTi

[ralphk]

I am not sure you understand how novated leasing works. I have 2 of my own employees doing it. Here is a very basic summary and for the purpose of the exercise lets pretend the car is worth 25000 and the tax rate is 50%, and that running expenses for the car are $10000 per year.

So lets say you are on $80000 with nothing else, you pay $40000 tax (50% of $80000) and you are left with $40000 take home, you now pay your car loan and running expenses of $10000. So you are really left with $30000 to spend after that. The cost to the employer is your $80000 (I have ignored Super)

Now lets do this with a novation
$80000 Gross Salary
-$10000 Salary Sacrifice (this now pays for your car)
$70000 is what is left Gross
-$35000 is what you pay in tax
$35000 is what you have now left This is $5000 more than the above, you still have the same car, the employer costs are the same and everyone is happy. There is no risk or cost to your employer (a little bit of admin but bugger all), if you quit or are fired the car is your responsibility and the employer is not lumped with it.

I have also ignored the FBT from above. Anyway what you need to do is talk to your employer or call someone like Orix or Elite Fleet Management and they will provide you with the exact calcs.

Hope this helps

[dodgeGTI]

You can avoid fringe benefits if you make personal (post tax) contributions equal to the amount of FBT. That amount you contribute is taken away from the amount you salary sacrifice. ;)

[Timbo]

You can avoid fringe benefits if you make personal (post tax) contributions equal to the amount of FBT. That amount you contribute is taken away from the amount you salary sacrifice. ;)

Unfortunately, depending on your marginal tax rate, this can be a real zero sum game. It works best when you are on a low marginal rate....but then you have less after tax income to make the contribution, although this depends on whether you are also making a superannuation salary sacrifice. Best to speak with a tax adviser, as it can become quite complex.

(holds self back from indulging in a rant on the absolute bloody stupidity of FBT regulations, which penalise people for driving less....using less fuel....:mad: )

[VW Convert]

(holds self back from indulging in a rant on the absolute bloody stupidity of FBT regulations, which penalise people for driving less....using less fuel....:mad: )

Agreed, I had to take a few long country drives in March to make sure I racked up the mileage to avoid the higher FBT. Of course long country drives in the Jetta are most enjoyable but it is farcical that I have to rack up more kilometres to save some thousands of dollars in FBT.....lunacy is the word that comes to mind. :mad:


Cheers

George

[PeterHBne]

The whole novated lease thing is a bit of a mind fark - it takes a bit to get your head around it.

As the guys are saying, you must know how many kms you will do in a year to see if it's worth it for you. Low km's makes the sums hard to work.

Definately do your own reading and seek advice. I guy I know underestimated his kms and got a nice little $4,000 FBT bill.

[VW Convert]

The whole novated lease thing is a bit of a mind fark - it takes a bit to get your head around it.

As the guys are saying, you must know how many kms you will do in a year to see if it's worth it for you. Low km's makes the sums hard to work.

Definately do your own reading and seek advice. I guy I know underestimated his kms and got a nice little $4,000 FBT bill.

Absolutely right, I keep a spreadsheet that calculates a daily target mileage and tells me how far behind I am.

Cheers

George

[Timbo]

Absolutely right, I keep a spreadsheet that calculates a daily target mileage and tells me how far behind I am.

j: Cripes, George -- I think you're more anally retentive than me :o :D

[Lukev85]

Redbook puts a July 2006 16,000km Polo at $23,200 average private sale for a top figure.

Given you have leather and sunroof, you might be able to squeek $25,000 but remember that redbook averages include all options because it is the average price range for the model regardless of what options it has.

If you put it on the private market for $24,000 it'd sell. If you trade it in you are looking at $19,000. It really sucks for you man because you just copped the new car depreciation!!!

I'd keep it as a fun car, or get a company car below the spec offered and they should pay you the difference between your car's costs and the standard for your job grade.

I agree with this. If it has a full vw service history and is immac i reckon somewhere round the $26,000 mark as a private sale. Do not trade it in as u will get s*#t all, and a dealer will make a killing on it.

But i reckon keep it. Its always good to have a reliable car on the side.

[VW Convert]

j: Cripes, George -- I think you're more anally retentive than me :o :D

Mmmm...let me see, 2 choices......keep track of mileage or pay an extra $4,000 in FBT......tough choice! LOL j:

Cheers

George

[GT3]

I think you're more anally retentive than me :o :D

..there's no fear of that occuring Tim, you'd pass the chequered flag way ahead of the field j: ..well maybe I'd be a close 2nd, dunno ;)

[GT3]

George, with a megabuck towbar installed, why on earth would you even comtemplate selling the car and parting with such a sort-after performance mod? :D

[VW Convert]

George, with a megabuck towbar installed, why on earth would you even comtemplate selling the car and parting with such a sort-after performance mod? :D

Must admit I nearly choked when I got the price for it, absolute bloody rip off!
It has actually been a poor investment, but I have a 4.3 metre catamaran so I need a towbar. Problem I have is that since my wife came on the cat with me for the first (and last) time, (she is a non swimmer) and we cartwheeled it spectacularly on Lake Macquarie (first time I'd ever put it over) I've hardly used it! Of course she won't come on it EVER again! j:

I also have a box trailer that I've only towed a few times with the Jetta so I reckon it would have been cheaper to have hired a truck to carry what I had to!

Will think long and hard when the lease is up, thinking Eos with no towbar. :)

Cheers

George

[Timbo]

..there's no fear of that occuring Tim, you'd pass the chequered flag way ahead of the field j: ..well maybe I'd be a close 2nd, dunno ;)

Hang on...read what George said...he has a spreadsheet with his weekly target mileage!! That outdoes me j::D

[GT3]

Hang on...read what George said...he has a spreadsheet with his weekly target mileage!! That outdoes me j::D

well, if George actually polishes his towball, then he wins hands down :rolleyes:

[Timbo]

Oh duuuh! Everyone polishes their towball.......don't they?:confused::o

[MR-GTI]

Hey all, Sorry for the late reply..

Thanks for all you help and advise, the good news is the company have agreed to let me keep the GTI and pay me a car allowance. No need for salary sacrafice, actually I was negotiating more money, so all is good.

I should have the final offer within the next few days.

Thanks again and hopefully the Polo lives on !!!.

Regs MR-GTi

[VW Convert]

Hey all, Sorry for the late reply..

Thanks for all you help and advise, the good news is the company have agreed to let me keep the GTI and pay me a car allowance. No need for salary sacrafice, actually I was negotiating more money, so all is good.

I should have the final offer within the next few days.

Thanks again and hopefully the Polo lives on !!!.

Regs MR-GTi

Great news....keeping the GTI was always the best option. :)


well, if George actually polishes his towball, then he wins hands down :rolleyes:

I don't actually polish my towball.......but I do make sure the VW logo on the towball cover is aligned with the car!!!!!! j: j:
Doesn't everybody?

Cheers

George

[BenjGTI]

Great news Mr gti
I have test driven the Colt rallli, Suzie and xr4 and still find the polo the best drive overall.
Awaiting delivery feb.....

good to see you didnt accept a standard company car

%$^£" supermarkets: Holden Bommodore