In the world of opportunity cost I often see people decide to purchase a nice car and not save for retirement. Now that we have seen inflation run wild for the last 30 months lets talk about how foolish that is. In your own words discuss the cost of a new car and compare that cost with the savings one would have if they put the money in a 401K. I am assuming that the answer is someone under thirty years old and the savings will be distributed in 30 years and the employer will match the monthly payment with three percent