Price increases

I browsed incoming inventory at my dealer and noticed a new 2023 ORP coming in with same equipment I have on my 2021.

I did a gasp looking at the price of 49.7 and the MSRP was 47.9

I remember my MSRP was 42.7 back in 2021 of June.

I know inflation is obviously up but wow that’s 11-12 percent hike for two model years for the same vehicle with same options. Plus the markup.

God help us all.

 

I thought it was about 700 bucks more this year than last.

 

Yeah it’s amazing. We all see groceries etc and everything inch up.

But when you look at 11-12 percent jump on a car the mere number itself jumps out so much more.

I feel bad for seniors like my parents. Their social security does not go up any where near the inflation rate. While my raises do not match inflation lately at least I get something.

Buy all your toys now before retiring

 

don't forget about teachers and other public servants who have contracts negotiated before the beginning of this crazy rise. Its complete crap that both me and my wife work fulltime in the schools, she has almost 20 years and I am at 10, but our savings accounts are dwindling each month. We both got our annual raises but, yet lose money every month and we are not buying more stuff. If I hadn't refinanced our house, I am not sure we could afford it any more. And we sure couldn't afford the rents in our area.

Might be time to give up my 10 years towards retirement and go back to the private sector.

 

understandable, but switching jobs from public education is almost always a pay increase, my concern is when jobs start getting cut and being recent hire, usually means let go first.

 

Depends on the company. I’ve gotten between 5% and 10% every year with my current company. Previous employer was at the 2-3% mark which is part of why I left.

 

At my co/ since 22-Apr-2020 during height of BS CV-19 travelled all over the US, S. America & A week in Haiti Aug.2020. NO increase except a position raise. Left NJSP aviation Unit 2003(Could've retired full pension in 2018, don't regret it) for Corp. Flt. dept. only to have new CEO dissolve it. You never know.

 

Yeah I am not getting raises anywhere near inflation either (typically 4-5%), obviously investments for most of us are in the tank as well. At least you have a teacher pension though.

 

You can imagine our retirees in United Kingdom on fixed Pensions
Most have to choose between food or heating up the house in cold winters.
Assuming the mortgage had been paid off.

 

Ya, even though its not great, one of the big reasons to work in the school is the retirement.

 

For sure, my sister is a teacher here in MI; when she started she had the option to buy 5 years of service at a discounted rate. I advised her to do it at age 21 when she started and told her she will never miss the money, she thanks me now. I am the opposite all self funded 401k and the economy is crushing me along with millions of others across the country. I wish i could get some of my student debt money back, that would help offset the inflation hit.

 

I'd say..... but I'm not about to talk about politics and get sent to 4Runner prison again. My parole officer advised against it.

And FWIW, it's not Toyota, its the entire industry. Then you have dealers with "market adjustment" BS. Its money in their pocket... because they can. People are willing to spend, spend, spend, and will deal with the issues later on. Its the American way

 

It is the entire industry plus the idiots who have no issue paying MSRP plus market adjustment for their "new" car. There are tons of people paying well over 1K per month for their new cars and don't blink an eye. As long as people buy, prices will keep going up. Nothing to do with "inflation". It's just an excuse.

 

Yeah my dealer was not charging markups for a long time and now sadly they are. I think they ship vehicles anywhere now too and the small mom and pop size place sold out their allocations.

I am grateful I purchased mine when I did. I am going to hold onto to My cars as long as humanly possible now. Time to try to start saving like mad again.

 

The new FTC regulations should knock this issue down a lot. Not get rid of, but less of it.

 

Not shocking at all. 11 - 12% is nothing.

We are up 20% in our material cost here at work just this year. I'd be grateful if we were at 11%.

Getting the components are difficult and switching suppliers will always bring the cost up. Its either switch and up cost or don't switch and not have anything on hand to sell.

 

MSRP increased $500 from when I ordered my ORP in March, to when it was allocated in August. Of course the back of the P&S agreement clearly states that the buyer agrees to pay any change in MSRP between when the vehicle is ordered and delivery. Luckily my dealer is awesome and didn't have a "market adjustment" to begin with.

 

The cost of raw material and fuel has skyrocketed so of course the 2023 models will be more expensive.

 

FWIW, at least the 4Runner is sub-$50K for the most part. My 2013 Jeep Wrangler Unlimited Sahara cost me $32K new against a sticker of $38K. Today that same vehicle is closer to $65K....about double. Hence, why I am in a 4Runner (among other reasons).

 

There it is....

 

$65k for a Jeep plus don’t forget all the repair costs

 

I hear you on the repair costs, although my 2013 Wrangler was pretty trouble free and reliable. But the Jeeps now have a lot more tech and if there will be a problem with them, it will be with the tech.

 

I can relate to pension, small Social Security check and very little money to stretch through the month. I worked 15 years in private industry and 30 years for the government. Only the 15 years of private industry applied towards my SS check. So, it’s about $500 a month. My 2022 4Runner payment is around $600 a month after a $10,000 down payment. On top of that, still paying $250 a month on my daughters student loans and we’ve been paying for 17 years. Not much money left at end of the month, but, retirement is worth it.

 

2%-3% is close to normal right now, or even better than normal. I've averaged maybe 1% annually for the past ten years (that includes a 4-year stretch where I got 0%). 5%-10% per year is extremely rare. Good for you.

 

Yeah 5-10 percent is great. Heck I am blessed to get a few percent with my company and others laying off right now.

I remember last downturn in 08/09 seeing people get walked out the door and having to withdraw on their sinking 401k balances.

 

08 was bad. I managed to hold on to my house then. Thankfully. Prices tripled now.
401k suffering now. Temporarily. Same as contracts market. Its all good.

God wouldn't take us where he cant sustain us.

 

" Sell the car!" - Dave Ramsey. Lol

 

We live in a world where it seems most got to have it no matter the cost. As long as customers keep paying over msrp it will not stop.

 

I say keep the car because you will lose when you buy any replacement. If you had not bought I get it but too late for that.

Heck a darn Civic will cost you your first born now.

I have three cars one being the 4R. Everyone says sell but I am keeping the third in case a issue arises. They are old but paid for and in good shape. I could not replace what I have now easily.

Plus I am not a fan of EVs I still like my gas and plan to hold on as long as possible.

 

The truck is pride and joy during his retirement. Beside its got resale value unlike Fords.
Keep it.