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  #31  
Old 09-24-2012, 11:15 AM
caseysmowing caseysmowing is online now
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Join Date: Mar 2012
Location: Staunton VA
Posts: 1,278
Quote:
Originally Posted by TriCountyLawn View Post
No kidding , Last week I pulled out 1500 cash from my bank and the girl asks if im going on vacation ( like getting cash is illegal or something and besides that blotch is looking at my acct on the puter so its not like i am ballin...) I said no and that I would need more for a vacation then that. She then points at a lil sign and tells me about vacation loans ....I laughed out loud and shook my head.

A loan for a vacation ....jezzzus
That is why we are in the mess were in. I have friends that did this samething but they did it with student loans. Bought furnture, tvs, trips, beer, gas, you name it. Then complain about the interest and payments. Went to school for next to nothing ( Unlike my wife ) and now pay about 800 dollars a month to student loans a piece ( they are married). For the next 30 years!!!!! And they used to think less of me because I didn't go to college. lol College is overrated anyway. Sorry for the rant.
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  #32  
Old 09-24-2012, 12:46 PM
retrodog's Avatar
retrodog retrodog is online now
LawnSite Silver Member
 
Join Date: Apr 2007
Location: Paris, Tx
Posts: 2,078
Leasing is a huge tax benefit, and keeps all your equipment under warranty and looking better than your competition. I push it pretty hard to legit lco's, but always ask your tax person for to get the most out of your money!
This is from Advance Acceptance, I know they do all of snapper, ferris, and simplicity factory financing, but they will do anything. One machine or 50, it requires a normal app like a loan and good credit. I usually pay to buy the unit back at the end of the lease, and split half the profit with the customer that I sell it for.... If my tax man said it right, its a 100% write off when rented or leased, and if you purchase it right out, you only get interest write and depreciation of the unit... Big companies lease all their vehicles, but little companies can benefit too as long as you are not in the red to start with...

25 Month Term Lease*
Factor (.0359)
Example; $7,000 unit = Payment of $251.30/month
- 25 Payments
- Offers true options at end-of-lease either:
(a) Buy the equipment
(b) Walk away - no obligation!
- Residual is 25% of equipment cost

37 Month Term Lease*
Factor (.0268)
Example; $7,000 unit = Payment of $187.60/month
- 37 Payments
- Offers true options at end-of-lease either:
(a) Buy the equipment
(b) Walk away - no obligation!
- Residual is 20% of equipment cost
__________________

13 Gravely 460 60" 31hp
13 BB AOS 35hp 4 cylinder Cat 72"
13 BB XP 31hp Kawasaki 61", 13' 36hp 61 xp
2013 Grasshopper 325D 61" 4x rear discharge w/suspension forks !Awesome!
13 GH 725D Rear Discharge 61" 13' 430D 72"
07 Bad Boy Lightning 52 inch with 26hp LC Kawasaki (just hit 3000 hours and going strong after rolling down the road and totaling out at 22 hours!)
2012 Dodge 2500 Diesel 4x4 Custom!
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"Mow With an Attitude"
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  #33  
Old 09-24-2012, 12:58 PM
Ridin' Green Ridin' Green is offline
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Join Date: May 2011
Location: Michigan
Posts: 8,438
Quote:
Originally Posted by retrodog View Post
Leasing is a huge tax benefit, and keeps all your equipment under warranty and looking better than your competition. I push it pretty hard to legit lco's, but always ask your tax person for to get the most out of your money!
This is from Advance Acceptance, I know they do all of snapper, ferris, and simplicity factory financing, but they will do anything. One machine or 50, it requires a normal app like a loan and good credit. I usually pay to buy the unit back at the end of the lease, and split half the profit with the customer that I sell it for.... If my tax man said it right, its a 100% write off when rented or leased, and if you purchase it right out, you only get interest write and depreciation of the unit... Big companies lease all their vehicles, but little companies can benefit too as long as you are not in the red to start with...

25 Month Term Lease*
Factor (.0359)
Example; $7,000 unit = Payment of $251.30/month
- 25 Payments
- Offers true options at end-of-lease either:
(a) Buy the equipment
(b) Walk away - no obligation!
- Residual is 25% of equipment cost

37 Month Term Lease*
Factor (.0268)
Example; $7,000 unit = Payment of $187.60/month
- 37 Payments
- Offers true options at end-of-lease either:
(a) Buy the equipment
(b) Walk away - no obligation!
- Residual is 20% of equipment cost
I always appreciate your posts, and the info you provide, but-

if I understand it correctly, you get 100% write off for the amount you actually spend per year on the lease (and any down payment). It comes out very close to the same when you buy outright on a per year basis. On top of that, you get at lleast some of it back when you sell it or trade it in. I know some look at it as a tool to do work, but I look at my machines (including my handhelds) as large investments, and I go out of my way to keep them looking new as long as possible. I usually make more on resale than many would because of their condition.
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  #34  
Old 09-24-2012, 01:20 PM
retrodog's Avatar
retrodog retrodog is online now
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Join Date: Apr 2007
Location: Paris, Tx
Posts: 2,078
Not for everyone, but i have 2 bigger guys that trade in every 2 years mowers have 1200 to 1500 hours on them. One runs 725 and 430 grasshoppers that sell around 14 to 15000 each. The lease cost almost as much as buying, but instead of getting 30 cents on his dollar write off, he is getting the full dollar as a write off. Trade in he is averaging $6000 a machine, figure in 4 machines a year, he is gonna get a huve write off to offset the big dollar contracts he has. Je is getting an extra $4000 extra in write off per machine even with the losses he takes trading in, its a homerun. I do have a few that do 2 or 3 every 2 years there tax people want them to lease to stretch more write off money. Wont work unless you net good to begin with. Sorry for the post hog....lol
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  #35  
Old 09-24-2012, 02:17 PM
Ridin' Green Ridin' Green is offline
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Join Date: May 2011
Location: Michigan
Posts: 8,438
Quote:
Originally Posted by retrodog View Post
Not for everyone, but i have 2 bigger guys that trade in every 2 years mowers have 1200 to 1500 hours on them. One runs 725 and 430 grasshoppers that sell around 14 to 15000 each. The lease cost almost as much as buying, but instead of getting 30 cents on his dollar write off, he is getting the full dollar as a write off. Trade in he is averaging $6000 a machine, figure in 4 machines a year, he is gonna get a huve write off to offset the big dollar contracts he has. Je is getting an extra $4000 extra in write off per machine even with the losses he takes trading in, its a homerun. I do have a few that do 2 or 3 every 2 years there tax people want them to lease to stretch more write off money. Wont work unless you net good to begin with. Sorry for the post hog....lol
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Info is always good. Appreciate it too.
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  #36  
Old 09-24-2012, 03:20 PM
TriCountyLawn's Avatar
TriCountyLawn TriCountyLawn is offline
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Join Date: Aug 2005
Location: NW Indiana
Posts: 1,518
Quote:
Originally Posted by caseysmowing View Post
That is why we are in the mess were in. I have friends that did this samething but they did it with student loans. Bought furnture, tvs, trips, beer, gas, you name it. Then complain about the interest and payments. Went to school for next to nothing ( Unlike my wife ) and now pay about 800 dollars a month to student loans a piece ( they are married). For the next 30 years!!!!! And they used to think less of me because I didn't go to college. lol College is overrated anyway. Sorry for the rant.

Yeah I have seen that play out and I agree college is a scam. My wife is on her last semester of nursing school and I dont know how other ppl did it but were lucky if theres 600-1200.00 left over after books ,school, gas etc. It will be a nice additional income when its over.
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  #37  
Old 09-24-2012, 08:15 PM
Turf Dawg's Avatar
Turf Dawg Turf Dawg is offline
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Join Date: Aug 2006
Location: Gainesville Texas
Posts: 3,649
Quote:
Originally Posted by retrodog View Post
Not for everyone, but i have 2 bigger guys that trade in every 2 years mowers have 1200 to 1500 hours on them. One runs 725 and 430 grasshoppers that sell around 14 to 15000 each. The lease cost almost as much as buying, but instead of getting 30 cents on his dollar write off, he is getting the full dollar as a write off. Trade in he is averaging $6000 a machine, figure in 4 machines a year, he is gonna get a huve write off to offset the big dollar contracts he has. Je is getting an extra $4000 extra in write off per machine even with the losses he takes trading in, its a homerun. I do have a few that do 2 or 3 every 2 years there tax people want them to lease to stretch more write off money. Wont work unless you net good to begin with. Sorry for the post hog....lol
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Plus in Texas you have to pay your county aprasiel distric the same tax rate on your house for what you own for the bizz, but not for leased equipment. That is one reason why most lease the high dollar vehichles.
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  #38  
Old 09-24-2012, 10:01 PM
LibertyFarmLandscaping's Avatar
LibertyFarmLandscaping LibertyFarmLandscaping is offline
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Join Date: Aug 2009
Location: NE TX
Posts: 938
Quote:
Originally Posted by TriCountyLawn View Post
Yeah I have seen that play out and I agree college is a scam. My wife is on her last semester of nursing school and I dont know how other ppl did it but were lucky if theres 600-1200.00 left over after books ,school, gas etc. It will be a nice additional income when its over.
Nursing school is a little different, so many degrees are useless. It is one of the most secure degrees you could get. Also you will have good medical insurance on top of the income.
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  #39  
Old 09-24-2012, 10:05 PM
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Florida Gardener Florida Gardener is offline
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Join Date: Sep 2008
Location: Humid S. Fl. with sights set on San Diego
Posts: 5,052
College is a scam? See how many jobs you can get where you can make a good living without a college degree....I don't mean owning your own business either, I mean working for someone else.
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  #40  
Old 09-24-2012, 11:20 PM
Ridin' Green Ridin' Green is offline
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Join Date: May 2011
Location: Michigan
Posts: 8,438
Quote:
Originally Posted by diamondlandscaping View Post
College is a scam? See how many jobs you can get where you can make a good living without a college degree....I don't mean owning your own business either, I mean working for someone else.
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Yea, but on the other side of that coin, there's a ton of young people are out there with a college degree that don't have any job, or work at some entry level job. Right now, college is a waste of time. Maybe down the road things will pick up and then a degree will be worth the beau-coupe bucks it cost to get.
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