A quietly steady month for us. Markets have been doing their upward trajectory. There is a big group of people who think a correction is due, including me. It could come in a couple of months, in a couple of weeks, or we could be in the middle of one right now. Who knows? That’s why we keep investing every week, every month.
Major expense for last month was our semi-yearly auto insurance premium for $839. Obviously an expected expense, and we plan and save for this throughout the year.
Other than that, summer has been treating us well. We have a few short travels – extended weekend – planned for this and next month. Life is good.
We hit two milestones last month. First, our assets crossed over the $1M mark for the first time ever. Second, our Net Worth went over $800K, for the first time too.
Mostly this is a result of the markets swinging up by over 7% in June. Always remember, the markets will show volatility in the short term, but over the long run – think 15, 20 years – the markets will trend upwards.
Major expenses for June was $1,379 as down payment for a fence we are getting installed. The work will be done in July. Remainder payment of ~$2.5K will be made later this month after the installation.
We also bought an ecobee – smart thermostat – last month for $214, which is supposed to “pay for itself” in a few months due to reduced electricity and natural gas consumption. I have my reservation about how much we will actually save, but hey, the little device is cool. It is integrated with Alexa – Amazon’s voice assistant – and now our thermostat can play music. Wow.
Debt went down by almost exactly $4k, which is about par for us.
I’ve alluded to some changes coming about. Need to find the time and the mental clarity to put that in a post!
Our first month in 2019 where we turned red month-over-month.
The markets declining about 6% in May had a major role to play.
Major expense last month was a $2.5K payment for an emergency room visit from 2 months ago. All good on health front though. Another $2.75K on flights for one set of parents. This is a yearly expense baked into our finances.
Reduced debt by $4.2K by mainly paying extra on the mortgage principal.
Besides that another month of the usual. Markets could go down even more. Or it could rise. That’s how the markets work. It’s all good.
We were less than $2.5k away from being “asset millionaires”! (That doesn’t really mean anything, but the little joys of “millionaires” and “we” being in the same sentence :D)
At ~$23K, we posted our lowest year-to-date monthly increase of net worth. I can’t even begin to imagine how privileged we are to be in our position. Some of it comes with being judicious with our spending and automatic savings/investment. Our incomes helps as well. But where we started off in our adult lives, or for that matter the factors that precedes our birth, play a major though silent roles in where we are. #acknowledgePrivilege.
We paid taxes last month! On April 15th, automatic direct deductions were made from our account: around $2.5K to Federal and $500 to state. For the past 9 years or so we have owed money at the end of the year. This is expected as we would rather owe money than get a refund. Ideal case would be if we had paid the exact amount of tax in the prior year, but that’s hard to pull off. I’m perfectly fine with the government giving us an interest free loan for a few months, on which we earn interest! We have a savings account earmarked for taxes that pay 2.5%, so it’s a win-win for us.
Nothing else really worth noting for April. Markets have been on an upward swing. No major spending. Just a good ol’ solid month.
We as a family made a major decision last month. Not quite ready to reveal it here as we need a little more time to flesh it out. Stay tuned for some big update in the next month or so.
The markets have been relatively flat over March but we have been pumping in our usual amounts to our respective 401(k)s, joint brokerage account, and 529 for the kiddo.
Also, we made most of our Roth and traditional IRA contributions for 2018 last month. We were pleasantly surprised that we’re still able to contribute for Roth, though our MAGI was in the phased out section. Don’t think we’ll be able to contribute to this bucket for tax year 2019. The reason we waited to make our contributions so late is we wanted to know for sure how much we’d be able to contribute in our Roths, knowing well that we would either be over the range, or close to the top. Once we filed our taxes mid March, we got the AGI, and then the MAGI, to determine how much we can contribute.
Asset for March is at an all time high, so is Net Worth. Liabilities are down by almost $4.5k compared to February.
A $10k bond we had for the past 20 years reached its final maturity last month. For the time being we have kept that in a checking account.
Remember: Markets will fluctuate. Maintain course!
Total assets of $955k for February has smashed the previous high-water mark of $937k set in September 2018. Net worth is at all time high of $744k. Wow! Keep in mind though, as we always do, the market will have some hiccups on the way.
Outstanding mortgage is below $200k. I think we can reach our stretch goal of bringing this down to $160k by the end of the year.
Major expense for last month was $1,038 for home insurance we paid using credit card, and promptly paid back the card. $13 instant cash back! We took off home insurance through the mortgage escrow as soon as we were able to and now pay it directly and pocket the cash back.
Typing out the heading for this post made me wonder, “Where did the month go by??”
With this update we’re introducing a change in how we report numbers. Our Retirement bucket is by far our largest asset. We’ve decided to expand this by splitting up into 401(k) and R/T IRAs by individuals.
With the uptick in markets in January, our Net Worth is at an all-time high. Starting in January, we’re sending $3,100 in extra principal towards the mortgage. That’s a guaranteed 3.875% return! This will ensure that we’re mortgage free in 53 more months. (Possibly quicker when you factor in one-time payoffs from bonuses)
Major expense for the month was semi-annual $836 for car insurance, for both our vehicles.