What income do you need to consider purchasing a $10k watch? $100k car?

[ponyo]

Well, cars are certainly not that. I get not wanting to have debt but auto loans are short term, low interest debt. Stupid would be carrying credit card debt. I don't equate auto loans to that. If anything, pay your house off early. That's the thing you'll pay the most interest on by far in your lifetime (assuming you don't have any credit card debt).

5 years of auto payment is longtime. Lot can happen in 5 years. I had 3 year auto loan at 0% and that felt like eternity. I was tempted to pay that off early even at 0%.

I paid my mortgage off ~20 years early and haven't had mortgage payment in almost a decade. Last week, I purchased $12k in jewelry for the wife. Yes, I paid cash.