The car fun fund - how do you budget for fun car activities?

I need to get better about making a car fun budget and sticking to it. Even just tracking my stuff would be an improvement. Also, whenever I go to buy a fun car (and we all know good deals need cash and don't last long), I almost everytime have an issue getting cash - like the ATM has a limit of withdrawl and it's sunday or something like that. Also, I'm constantly guilty of buying the next project before selling the last, and most of the time I tell myself that it's like for like. Well, we all know how that goes. 

I would also like a better way to track my annual spending (and income from sales of cars and parts), so I have a more clear picture of the financial impact of the hobby. The challenge car budget is a start, but parts not on the car don't go in the budget - so that only goes so far. 

So, what do you do? Anyone have a process that they like?

Cash stash in the house from selling off previous projects/parts. Online banking app lets me change daily limit on withdrawals.  I don’t really want to know what I spend. Ignorance is bliss. 

Poorly, the same way I budget for everything.

When I still had my track car:

Expenses (house/car/food) + Appropriate amount into savings + appropriate amount into retirement/401k = what's leftover for all my fun budget (HPDE, going out/booze)vacation.

Probably not a great way to do it, but my ex-wife and I had very low living expenses. Like at one point I had my track car, my '06 and '08 4Runner (both with payments) and I was still putting $750 per month in savings and 15% in in my 401k.

I tried to keep track of what I was spending on my GTO and then I quickly realized how bad of an idea that was.

Once I know I'm spending more on the car than what it's actually worth, I quickly regret doing anything to said car.

I just wanna be in the dark when it comes to cost.

My budgeting looks a lot like Z31's HPDE budget, but with a bunch of house projects instead of car payments.

If I sell something and plan to replace it I usually keep the cash on hand for jumping on the next good deal.

For jumping on good deals, if I am looking for something I'll often have cash in hand for weeks on end. 

I also at one point kept 3 checking accounts open specifically for getting the max out ATM's at once, but that was when I was in the habit of buying and selling guitars at a ridiculous rate.

I was talking to somebody else about this and he budgeted $400/mo for car related expenses. This covered all track costs, maintenance, mods, etc. You may need to fudge the numbers more, as he was running an NB Miata.

I had a similar process, but much less refined and tracked. I kept to 2 events per month, and each even was just under $200/each. If maintenance/mods cost more than that, the event is off the table.

I autocross an ES miata.

I saved quite a bit by buying a more expensive car, the second one needed minimal work and was already set to the limit of the rules.

I spent more on maintenance than I paid for the first car in the first year. I think the next owner got a real good deal after I got everything straightened out.

I don't have a specific budget, but e Street autocross costs a lot less than track days or modified autocross classes.

MINIzguy said:

I was talking to somebody else about this and he budgeted $400/mo for car related expenses. This covered all track costs, maintenance, mods, etc. You may need to fudge the numbers more, as he was running an NB Miata.

 

I had a similar process, but much less refined and tracked. I kept to 2 events per month, and each even was just under $200/each. If maintenance/mods cost more than that, the event is off the table.

How long ago was that? The last track day I did in my 1.6 Miata, each day was $110, I'd spring the $60 for both days for covered parking on concrete. Add two tanks of gas (not counting getting to the track and back), food, water, snacks for the day. 

So that right there almost handles the budget without even getting into consumables or the cost of building the car. 

But it's also why I haven't built another HPDE car. 

Every penny I make in overtime each week goes into saving for my fun car project fund.  It could be $50 a week or $600.

I used to be more into being profitable with my hobby and kept a spreadsheet of everything I purchase/sold. One year I sold over 20k worth of parts for over a 10k profit. Then my father made me examine the hours I put in, it wasn’t a profitable way to spend my time compared to my actual job. 

Now that I’m married my wife just says no to everything. Doesn’t matter how much money we have the answer is no. Can I get the fancy salsa at the grocery store? No, that’s $4. (I like going shopping without her) She thinks my challenge car only costs $2000. Got in trouble for buying a $40 car, spent more on toy tractors as Christmas gifts. 

Edit: We are definitely savers. The longer I live it seems the less I want to spend. Project cars have seemed to just become baggage to me, I like driving a lot more than having a project. I know too many people that blow their money on materialistic things and have to constantly worry about meeting the mortgage.

Honestly I’ve had more fun driving my challenge cars than I’ve had in the CTS-V, Viper, or Mustang I’ve owned. 

In reply to Andy Neuman :

Damnit andy, get the $4 salsa.

i try and pay for car stuff with car money, the problem is my car money loaned me a lot of $ for non car reasons now I don't know where i am but it's probably closer to even than I want to believe.  If i see something i want, i buy.  If I need money, i sell something.  If I want space, i sell something.  I'm at critical mass right now so no buying, and trying to dump the stupid infiniti

Whatever loot I have after bills/gas/rent etc sits in my checkbook. If I have an upcoming purchase- I take a look at the savings. If I'm sitting on more than two paychecks at the time of purchase, I generally go for it. I also have an ancillary "cash loaf" that is for discretionary spending outside of said savings. That cash loaf is from cash bonuses at work, cash trades made on the side for groceries/whatever and the occasional tip from loading pine bark into a Porsche. That's the savings on the savings. That's what bought me a bike. 

FuzzWuzzy said:

I tried to keep track of what I was spending on my GTO and then I quickly realized how bad of an idea that was.

I go some decent muscle car shows and I'm convinced some of these guys don't want to know how much they've spent on a build. And they underestimate the cost to their wives.  
 

"it was on clearance dear, 60% off, then 30%, then I got Kohl's cash too"

Datsun310Guy said:

FuzzWuzzy said:

I tried to keep track of what I was spending on my GTO and then I quickly realized how bad of an idea that was.

I go some decent muscle car shows and I'm convinced some of these guys don't want to know how much they've spent on a build. And they underestimate the cost to their wives.  
 

"it was on clearance dear, 60% off, then 30%, then I got Kohl's cash too"

"When I die, for the love of GOD- do not lef my wife sell my stuff for what I told her I paid" 

You need to work out your entire budget for all your spending first, then you can figure out what discretionary money you have for hobbies.

Datsun310Guy said:

FuzzWuzzy said:

I tried to keep track of what I was spending on my GTO and then I quickly realized how bad of an idea that was.

I go some decent muscle car shows and I'm convinced some of these guys don't want to know how much they've spent on a build. And they underestimate the cost to their wives.  
 

"it was on clearance dear, 60% off, then 30%, then I got Kohl's cash too"

Heck no they didn't, I didn't want to know either. I didn't tell me ex-wife because it didn't matter. Our money was separate.

Every payday I go online and pay all the bills that will be due soon, then with whatever's left, I vaguely imagine how much I'll need for food and gas, spend some of the rest foolishly, miscalculate, start panicking, try to get through the rest of the two weeks without spending anything, get frustrated, make another few impulse purchases, scrape a few pennies together to make it through the last couple days, get paid again, repeat. 

I used a spreadsheet on my desktop when I was buying and selling cars fairly often. I also have a running spreadsheet since the day I purchased the zephyr, minus oil changes and burnout tires. I like knowing exactly what I have invested. With 3 surgery's in 2 years it's been a flat line for a bit but I can still look it up lol.

In reply to Robbie :

My approach was different.  I started restoring sportscars for people nights and weekends. Whatever I made outside of what I earned at my day job  went into the race budget.   

On rare occasions I “borrowed” from my family funds if I expected a payment before  those funds were actually needed.  

Eventually I got some steady customers who actually wanted me to drive the cars I restored for them. Those were my busy days. My “day “ job took 12-14 hours 5 days a week. My restorations took another 4-5 hours a day 5 days a week.  Weekends were spent either racing or restoring. Too  Rarely with my family.  

I tried to have them come along to the race track. Sometimes they came. Rarely bringing friends with them. 

Things continued that way for roughly 3 decades  

I don't really mean making the money to play with cars, I mean more like accounting for what you've made and spent. 

Honestly, I think I might grab an envelope, and put some cash in it on the first of each month. All buys come out of it and any sales go into it. 

At least I'd be able to figure out where I stood.

In reply to Robbie :

That's what I do, I do have a separate online account I use to save up. When I'm looking for a new project I make sure I have cash in the safe for quick withdrawal. 

If my paycheck is over $x then I'm allowed to put $x into a savings account I have specifically for "my stupid purchases" as the wife says. Obviously repairs that are necessary are purchased as soon as funds allow 

Easy, I don't!

Seriously though, I do well on buying low and selling high whether its cars, parts, or toys. I keep my PayPal stocked through selling hobby items and that typically covers entry fees for autocross. On the cars themselves, I try to flip one or two a year and roll the money back into the cash in the safe and the profit pays for the upgrades on the keepers.