February 2020

Aha, the correction is here! This is going to be a fun few weeks. Or months. Who knows?!

On Friday Feb 21 the DJIA closed at 28,994. The next Friday it closed at 25,402 – the largest ever drop in any single week in its history. Naturally, our numbers are down as well.

We recorded our largest over drop in net worth, month over month, at over $47k. But …all is good. We’ve pumped in about $5k from our “dry powder” to take advantage of the dip. I’m almost hoping for a 20% correction, which would take us into official bear market. Bring it on!

Major expense for February was $1,183 we paid in home insurance premium. We decoupled the insurance payment from our escrow a couple of years ago and now use credit card to pay the premium, which is already saved for in a savings account. Another expense was regular and preemptive maintenance for one of our cars at $450.

January 2020

Writing and publishing this post in the third week of February makes me cringe a little! What can I say, things got quite busy with the stay-at-home-parent thingy. 😀

Not a very flashy month but still humming along nicely. Modest increase of assets and similar decrease of liabilities.

Major expenses of the month was $817 for semi-yearly payment of car insurance premium.

Should have more updates when we post the February numbers.

December 2019

Another solid month to wrap up the year. December 2018 was sort of a bloodbath for the markets, if you all recall. I was expecting at least a slow bleed for this time in 2019. But no, the markets just keep going forward!

Major expenses for last month was …surprisingly nothing, if you exclude the gifts purchased for the holiday season. As those are seasonal, and recurring every year, we already have them baked into our saving/spending buckets.

November 2019

Net worth reaches another high of $915k. Buzz of an impending recession is everywhere but we still plow into our tax advantaged and taxable accounts. We are also hoarding some cash. The recession will come but we don’t, and neither does anyone else, know when. And it will pass too.

There were a major expense of $2,706 this month, where we booked a vacation with a credit card and then promptly paid it off.

Things to keep in mind when looking at these numbers:

  • These numbers are snapshots in time, most likely the last day of the month
  • Since I copy/paste the numbers from the online accounts, the decimals remain but they are insignificant (obviously, duh!). Neither are the ones and tens digits of each account balance. What is important is the trend.

If you’re reading this for the first time, welcome! If you’re thinking if now is the “right time” to invest in the market ….well, everyday is the right time to invest, if you’re in it for the long haul. Remember the adage, “time in the market is more important than timing the market

October 2019

Our net worth is close to $900K! After an initial hiccup at the beginning of October, the markets have continued moving up. As you’ll notice our cash holding is at an all-time high. Major part of it is due to known expenses coming up, part of it is dry powder when the markets takes a dive. Does this sound like market timing? Well, yes, it is! But the amounts are so small to what we have out in the market invested, it does not really matter in the large scheme of things. It’s more to do with mental jujitsu, that we have some cash around when the correction comes.

September 2019

A late monthly update post! We had some planned travel from end of September so didn’t get this out in time. Let’s dive in.

Another good month in the books. We’re hoarding some cash due to a planned expense coming in the next few months. Markets have been doing well. All is good.

August 2019

August was the second month this year that our net worth dipped by over $12K. And that’s ok. How ok? Even with the monthly dip, our net worth is over $144K for the year! Frankly, the market run we’ve been having is almost unprecedented and it is bound to end at some point. But from that end it will rise again. All is good.

Valuation of retirement assets, which is almost 70% of all our non-property assets, decreased by ~$17K. Liquid cash in bank accounts increased over $3K but most of that increase will go towards paying off the fence we had installed couple of months ago (they billed the invoice late).

We also stopped paying the extra monthly $3K towards mortgage principal that we’d been doing since the start of the year, in anticipation of the reduction in income that will happen when M stops full-time work.

Other than that, a mostly quiet month. We’re enjoying the long Labor Day weekend. Kiddo will be going back to school this week. Some travel planned for end of September.