I've recently, as of today, updated our networth debt numbers. One of our goals for 2015 was to get our total debt load under $500,000 and I'm pleased to report that our debt is now at $489,000. Since, January 2007, our debt load has gone from $735,054 down to $489,000. That means, on average we have killed about $30,000 in debt per year since 2007.
On our primary home, purchased in 2004, we have paid off $105,546 in principal. Since we refinanced our mortgage a couple years ago to 2.75% our payments have accelerated. We also refinanced from a 25 year loan to a 15 year loan and cut off 7 years from our overall term. On our three investment property mortgages, as of next month, all three mortgages should be below $100,000.
As for our other debt, I've struggled with credit card debt, pay it down, run it up, pay it down, etc. I really need to kill it once and for all as its now been hanging around since the baby arrived. We also have a new debt that is not yet listed, 0% financing on floor tile that we bought for one of our investment properties. That debt is a couple of thousand dollars.
As for Mr. Sam's new truck, we continue to pay down his truck debt (we paid for his new truck half in cash and half in 0% financing) at $500 a month, so that debt will be gone in seven months. I really need to be saving for a nused car for me, as my car has been acting up. Recently it was out of commission for a few weeks with an electrical problem but the fix ended up only costing $250. There are several other more expensive things wrong with the car, but the dealer says none are pressing to fix as of now. The dealer gave me a print out of things to fix that would likely cost $4000 which is more than the car is worth. It was kinda funny as I had started to research my next car. Since Baby Sam arrived I, of course, want a family car. But, I'm better off trying to make my car last another year or so as I've only got $400 saved in my nused car fund.
Showing posts with label Net Worth. Show all posts
Showing posts with label Net Worth. Show all posts
Tuesday, October 27, 2015
Thursday, August 20, 2015
NetWorth Update
I have updated out networth numbers over on NetworthIQ.com. That site remains wonky and spotty, but I know how to use it and I can do a quick update when it works.
Angie (a reader here) had told me about NetworthShare.com, and I did create an account and had them port over data, but not all of my data came over. So I need to spend some time, which I'm perpetually short on these days, bringing the rest of my data over and getting used to the site, etc.
Our expenses have gone way up with Baby Sam which is mostly due to child care costs. We have also had some cash flow issues since we are converting a rental property. As a result, we've been relying on our credit card to fill some holes in our monthly budget which I hate to do.
We do have plenty of cash in our savings so its not necessary to do this, but I don't want to take cash from savings. Its been somewhat circular this summer. I really, really need to kill the credit card debt once and for all and then cut the card to get us out of this habit.
The positive is that we should be under the $500,000 debt number by end of year (one of our goals). If I killed the credit card debt we would be below the $500,000 number in a month. Another positive is that we have stayed above the $2 Million mark (in assets) for a year now.
Otherwise, we continue to struggle with putting money into our IRA 2015 fund, and we will need to work hard on that goal this fall.
Angie (a reader here) had told me about NetworthShare.com, and I did create an account and had them port over data, but not all of my data came over. So I need to spend some time, which I'm perpetually short on these days, bringing the rest of my data over and getting used to the site, etc.
Our expenses have gone way up with Baby Sam which is mostly due to child care costs. We have also had some cash flow issues since we are converting a rental property. As a result, we've been relying on our credit card to fill some holes in our monthly budget which I hate to do.
We do have plenty of cash in our savings so its not necessary to do this, but I don't want to take cash from savings. Its been somewhat circular this summer. I really, really need to kill the credit card debt once and for all and then cut the card to get us out of this habit.
The positive is that we should be under the $500,000 debt number by end of year (one of our goals). If I killed the credit card debt we would be below the $500,000 number in a month. Another positive is that we have stayed above the $2 Million mark (in assets) for a year now.
Otherwise, we continue to struggle with putting money into our IRA 2015 fund, and we will need to work hard on that goal this fall.
Friday, March 20, 2015
Updated Net Worth and Housekeeping
I'm continuing to work on getting our finances back under control. I spent some time this morning working on updating our net worth numbers. Our net worth is now above the $1.5 million number.
Net Worth IQ web site continues to be flaky, but when its up I prefer to keep my data there. I've added entries for November 2014 - February 2015 but they are not accurate. I will be working to add the correct data over the next couple of weeks.
Additional good news, our primary mortgage is now below $220,000. I will be super excited when its below $200,000 although prepaying the mortgage is unlikely to be something we will be working on any time soon.
In baby news, I opened a savings account at Wells Fargo for Baby Sam for monies received as gifts. We have been researching college savings plans and at this point we have settled on a 529 plan rather than Florida Prepaid. More about that research later.
Finally, I am almost done with our 2015 Spending Plan which will influence and direct our 2015 Plan. More about that later too.
Net Worth IQ web site continues to be flaky, but when its up I prefer to keep my data there. I've added entries for November 2014 - February 2015 but they are not accurate. I will be working to add the correct data over the next couple of weeks.
Additional good news, our primary mortgage is now below $220,000. I will be super excited when its below $200,000 although prepaying the mortgage is unlikely to be something we will be working on any time soon.
In baby news, I opened a savings account at Wells Fargo for Baby Sam for monies received as gifts. We have been researching college savings plans and at this point we have settled on a 529 plan rather than Florida Prepaid. More about that research later.
Finally, I am almost done with our 2015 Spending Plan which will influence and direct our 2015 Plan. More about that later too.
Monday, August 25, 2014
$2 MM
According to today's update, our assets have snuck over the $2 million dollar mark. While a number is just a number and I recognize that the value of our assets are mostly variable (except for the cash), I always get positive vibes when I hop over one level to the next.
Friday, March 14, 2014
Drum Roll - New Goal
CNN.com reports that the number of millionaires has hit a new high. Which got me thinking, because this survey of millionaires excludes their primary homes in the asset count.
So, the new goal is to hit the million dollar net worth mark without counting our primary home. And, looking at our networthiq.com numbers we are not too far from that mark. At present, our net worth is at $1,380,755 and our primary home's value is listed at $399,000 (value from our last appraisal in 2012). Which means that we are about $18,000 away from having a million dollar net worth without including our primary home.
Not too shabby.
So, the new goal is to hit the million dollar net worth mark without counting our primary home. And, looking at our networthiq.com numbers we are not too far from that mark. At present, our net worth is at $1,380,755 and our primary home's value is listed at $399,000 (value from our last appraisal in 2012). Which means that we are about $18,000 away from having a million dollar net worth without including our primary home.
Not too shabby.
Monday, January 20, 2014
Wrap Your Mind Around These Numbers
Nbc.news reports that the richest 85 people in the world now hold the same amount of wealth held by 3.5 billion (yes, B - billion) poorest in the world. Said another way, half of the world's population, the poorest half, holds the same amount of wealth as the 85 richest individuals.
Mind is boggled.
Mind is boggled.
Monday, December 23, 2013
NetWorth - Retirement Investment Progress
So, at almost the end of 2013 we have just over $800,000 in total retirement investment accounts which is mostly due to the performance of the market. $200,000 more and our investments will be evenly divided between real estate and retirement accounts.
Friday, December 20, 2013
Holiday Cheer - 401K Match
For the first time in my corporate career, this year I received a 401K match. My employer contributed "profit sharing" in the amount of $5,500.
That was a surprise and certainly welcome holiday cheer at the end of somewhat tough financial year for us (with Mr. Sam's layoff).
Tuesday, December 3, 2013
What Would You Tell Your Younger Self?
Over at Get Rich Slowly April Dykman posed the question of what would you tell your younger self regarding personal finance. Below is my post.
I think the most important ingredients to my financial success are as follows. First, I invested in a good education which lead to a well paying, good, professional job. I was able, both due to my parents and due to smart choices (savings/grants/working) in professional school, to avoid student loan debt until the very end of my education. Second, early on in my career I started utilizing a spending plan/budget and focused on paying off debt and having a plan for my money. Third, I met and married a frugal man who, while horrible at paying bills and tracking spending, is fully on board with living a debt free life and prioritizing savings/investing rather than consuming.
How about you, what personal finance guidance would you give your younger self?
This is fun!
To College Sam – walk away from the credit card offer, you don’t need that free t-shirt.
To post college Sam – good job on taking that personal finance course through the local extension system. You learned a lot and it will help you in the future. Good job on paying off that college credit card, now you really ought to cut it up. Also, congrats on opening your first IRA even though you are earning poverty wages in social services. And tell your parents thanks for paying your way through college, you probably didn’t even appreciate the fact that they saved each month your entire life to give you a great education.
To post professional school Sam – good job on paying off that student loan debt and good job on keeping your student loan debt lowish during school. You rushed into your first house purchase, but it will turn out great. Now that you are making a good living you are making a lot of good choices, paying off the student loan debt, creating your first budget (2001), investing in your work 401k and paying off all credit cards in full each month. I sure wish I could tell you that even when you are paying off your credit cards in full each month you are still spending too much money. You should have listened to me when I told you to cut up those cards post college.
A few years later Sam, just because everyone is investing in Florida real estate doesn’t make it a good investment, maybe you should do some more research before you buy that investment property in 2005, 8 years later it will be worth half of what you and soon to be Mr. Sam paid for it. Good thing its rented.
To engaged Sam, good job on picking a spouse that is hard working, frugal and recognizes that even though he has the MBA he is terrible at budgeting and bill paying so he turns it over to you upon marriage.
To married Sam, whoo-hoo, good job to you and Mr. Sam in paying off $55,000+ in just over a year during your first year of marriage. That first year of marriage in which you created your first annual spending plan (an update on the 2001 individual budget), finally cutting up the credit cards, creating an allowance system, prioritizing savings and making sure that you and Mr. Sam are on the same page when it comes to money, that will pay off big time. Seven years later and you guys have increased your net worth by $550,000.
Now, stop eating out so much. :)Looking back at my own journey, I certainly have made some mistakes along the way. It is hard not to, and many of those mistakes or detours have helped to make me a better person.
I think the most important ingredients to my financial success are as follows. First, I invested in a good education which lead to a well paying, good, professional job. I was able, both due to my parents and due to smart choices (savings/grants/working) in professional school, to avoid student loan debt until the very end of my education. Second, early on in my career I started utilizing a spending plan/budget and focused on paying off debt and having a plan for my money. Third, I met and married a frugal man who, while horrible at paying bills and tracking spending, is fully on board with living a debt free life and prioritizing savings/investing rather than consuming.
How about you, what personal finance guidance would you give your younger self?
Thursday, November 14, 2013
Time for 2014 Goal Planning
Since it is November, it is time to start thinking about our 2014 annual spending plan and our 2014 savings goals.
First on the list, 2014 IRA savings. As I previously posted, I have already set up our 2014 IRA savings account at CapitalOne 360 (f/n/a ING). The 2014 contribution limits for IRAs are holding steady, so we can each contribute $5,500 to our non-deductible IRAs.
Second, 2014 401k contributions, I will contribute $17,500 to my 401k at work (again the limits are not increasing next year). We need to figure out if Mr. Sam will be eligible for a 401k at his new job in 2014. If he is not eligible, then he may be able to contribute to a deductible IRA (see above) to get a bit of tax savings. But, regardless of whether he is eligible for 401k we will sock away $17,500 anyways. Yes it will be after tax money so we will lose out on that advantage but we will still put that money into the trading account.
Third, I assume we will put money into the emergency fund and for house projects.
We will need to decide whether it makes sense to continue to pay down the mortgage principal on our primary home. While I continue to have the goal of being debt free and paying off the mortgage on our primary home could provide significant insurance savings, we really are not saving much interest by paying early because our mortgage interest rate is so low (2.75%).
I also think we need to start a savings account for a replacement car/truck. I bought my car, a 2006, in 2008. I just put about $3000 into it so, even though it is 7 years old, it should be good for quite some time.
But, Mr. Sam's truck, which we bought used in 2005, is more than 10 years old and not in the best condition these days. He would prefer to keep it and have me buy a newer car and he would take my current car for his work car. Then we would have the truck to use for house projects and the like when we need it. But that means we would have 4 cars (we also have an antique weekend car) and that is a lot of insurance. I'm also not keen on having 4 cars to store/park. As such, I'm more inclined to replace Mr. Sam's truck with a newer and nicer truck (something with a bigger cab and shorter bed and a smoother ride.
Second, 2014 401k contributions, I will contribute $17,500 to my 401k at work (again the limits are not increasing next year). We need to figure out if Mr. Sam will be eligible for a 401k at his new job in 2014. If he is not eligible, then he may be able to contribute to a deductible IRA (see above) to get a bit of tax savings. But, regardless of whether he is eligible for 401k we will sock away $17,500 anyways. Yes it will be after tax money so we will lose out on that advantage but we will still put that money into the trading account.
Third, I assume we will put money into the emergency fund and for house projects.
We will need to decide whether it makes sense to continue to pay down the mortgage principal on our primary home. While I continue to have the goal of being debt free and paying off the mortgage on our primary home could provide significant insurance savings, we really are not saving much interest by paying early because our mortgage interest rate is so low (2.75%).
I also think we need to start a savings account for a replacement car/truck. I bought my car, a 2006, in 2008. I just put about $3000 into it so, even though it is 7 years old, it should be good for quite some time.
But, Mr. Sam's truck, which we bought used in 2005, is more than 10 years old and not in the best condition these days. He would prefer to keep it and have me buy a newer car and he would take my current car for his work car. Then we would have the truck to use for house projects and the like when we need it. But that means we would have 4 cars (we also have an antique weekend car) and that is a lot of insurance. I'm also not keen on having 4 cars to store/park. As such, I'm more inclined to replace Mr. Sam's truck with a newer and nicer truck (something with a bigger cab and shorter bed and a smoother ride.
Wednesday, November 13, 2013
Progress on Debt
Updating our networthiq.com numbers today and I was pleased to see we have less than $540,000 in debt (all real estate debt). We have paid off just under $35,000 in debt in the last twelve (12) months.
These types of round numbers make me happy. Now to get under $500,000 in debt.
These types of round numbers make me happy. Now to get under $500,000 in debt.
Monday, October 7, 2013
Investment Property Debt
Hit a milestone this month with our investment property debt, at present we owe less than $300,000 on our investment properties.
Feels good.
Tuesday, September 17, 2013
2008 - 2013 The Great Recession Check Up - Part II
Yearly Savings Goals
In 2008, we undertook our first annual savings goal, and saved $50,000 (even with my big pay cut). In 2009, we saved slightly more at $50,168. In 2010, we had a bit of a backslide, but we saved $49,325. In 2011, we increased our annual savings by $10,000 and saved $60,060. In 2012, we saved slightly more and saved $62,446.
Retirement Savings
In January 2008, we had a combined $245,795 in 401k savings. Most of that savings, $150,000+, was in my 401k. As of September 2013, we have a combined $606,324 in 401k savings. And, our 401k savings is basically split between the two of us which means Mr. Sam has made significant progress in adding to his 401k savings. The dramatic increase in 401k savings over the past 5 years is due in large part to (1) each of us maxing out our 401k savings year over year; (2) Mr. Sam's awesome match at his prior employer in that he was getting a 20% match for 5 years; (3) continuing to regularly invest in stock based mutual funds during and after the great recession which meant that we bought some great bargains; and (4) the overall recovery of the economy.
In January 2008, we had a combined $7,217 in IRA savings. At that point, all of our IRA savings was under my name. As of September 2013, we have a combined $125,510 in IRA savings. The dramatic increase in IRA savings is due to (1) each of us maxing out our IRA savings year over year; (2) buying stocks at super bargain prices during 2008 and 2009; (3) the overall recovery of the economy.
Wednesday, August 14, 2013
How Low Can You Limbo
In addition to our primary home mortgage, we have three other mortgages on our investment properties. In working on updating our net worth numbers today I realized that one of our investment property mortgages is now under $100,000 (specifically $97,061). Something about getting that loan number under $100,000 makes me very happy!!
We are also just a month away from getting our investment mortgage totals under $300,000. Which I will similarly celebrate next month. Gotta look for those silver linings.
We are also just a month away from getting our investment mortgage totals under $300,000. Which I will similarly celebrate next month. Gotta look for those silver linings.
Thursday, May 16, 2013
NetWorthIQ
Although I lost my blog link to our NetWorthIQ.Com profile, it looks like the system is back up and running.
Whoo-hoo!
Tuesday, May 14, 2013
2013 Goals - May Update
(1) Max out 401k(s) - $15,736 (45%) (goal is $35,000)
(2) Max out IRA(s) - $6,013 (55%) (goal is $11,000)
(3) Add to e/r fund - $3,600 (36%) (goal is $10,000)
(4) Pay down mortgage - $1,660 (25%) (goal is $5,000)
(5) Trading account fund - $50 (1%) (goal is $5,000)
(6) House projects - $900 (30%) (goal is $3,000)
Total: $27,959 (41%)
We are about $1400 ahead of where we should be.
Otherwise, we continue to chug along. I've got some unbudgeted car expenses coming up, new tires, new breaks, tune up, etc. which is likely to run more than a thousand. My eating out/ordering in expenses continue to be high. The busier I am at work, and I'm super busy right now, the more I spend on eating in because I don't have the time or energy to prepare food. Last week I spent close to $100 on eating in (yikes!) which is way too much.
I was trying to get into networthiq today, and its not working. Another yikes! I love that site and I have a lot of data stored in it, so I'm trying not to freak out and hoping it will be back up and running shortly.
Wednesday, May 8, 2013
Dow Closes Above 15,000
Did you hear that the Dow closed above 15,000 yesterday for the first time ever?
How did you celebrate? Me, I updated our NetWorthIQ profile and reviewed our Roth IRA holdings, which is where we hold individual stocks, to see if there are any holdings we should be selling.
How did you celebrate? Me, I updated our NetWorthIQ profile and reviewed our Roth IRA holdings, which is where we hold individual stocks, to see if there are any holdings we should be selling.
Friday, January 25, 2013
An Apple A Day
In March 2009, when the stock market was in the pits, I bought some Apple stock. At the time it was priced around $100 and I bought 25 or so shares (a $3000 investment). Well that Apple stock did tremendously well, in fact many stocks purchased in 2009 did were winners, because the market has, overall, gone up.
As an aside, we only buy individual stocks in our IRAs, so that is $5,000 for each of us per year in stock purchases (now $5,500).
If you follow the market or new regarding the market, you probably know that Apple has been down from a high of $700 per share down to a low of $437. I did some research and, since I just funded my 2012 IRA, I decided to buy more Apple stock. Whether or not that was the right decision is not the point of this post. So I picked a limit order price of $428 earlier this week and put in an order for a few more shares. But, instead today I decided I couldn't hold out anymore and switched my limit order to a market order (meaning I was going to buy at whatever the market price was that day) and purchased my shares today at $451 per share.
This is not the first time I've switched a limit order to a market order and I need to figure out why I can't wait to see if the stock price comes down to my limit order price. So, I'm posting this to remind myself to watch the Apple price and see if it comes down to my original limit order price or not.
As an aside, we only buy individual stocks in our IRAs, so that is $5,000 for each of us per year in stock purchases (now $5,500).
If you follow the market or new regarding the market, you probably know that Apple has been down from a high of $700 per share down to a low of $437. I did some research and, since I just funded my 2012 IRA, I decided to buy more Apple stock. Whether or not that was the right decision is not the point of this post. So I picked a limit order price of $428 earlier this week and put in an order for a few more shares. But, instead today I decided I couldn't hold out anymore and switched my limit order to a market order (meaning I was going to buy at whatever the market price was that day) and purchased my shares today at $451 per share.
This is not the first time I've switched a limit order to a market order and I need to figure out why I can't wait to see if the stock price comes down to my limit order price. So, I'm posting this to remind myself to watch the Apple price and see if it comes down to my original limit order price or not.
Tuesday, December 4, 2012
Goal Setting
As I start planning our 2013 savings goals and I reflect on our progress to date on our 2012 savings goals this NYT Bucks Post by Carl Richards really resonated with me.
When setting an important goal, he focuses on financial goals, how do you respond to the question "how badly do you want it?"
Mr. Richards notes that there are generally two kinds of answers to this questions:
When I set our 2007 debt killing goals, I had the mindset that I (we) would do anything to reach our goals. Frankly, Mr. Sam thought I was a bit loony and he wasn't on board until he saw the plan on paper. During 2007 there were a number of times that we got derailed and our plan seemed like it was destined for failure. What did we do, we doubled our resolve and get going. The result, we paid off $55,500+ in just over a year.
Thinking about our 2012 savings goals, I can honestly say that we did want to save $69,000 but we were unwilling to change our lifestyle to meet our goals. Yes there were lots of other important expenses, our refi expenses, Mr. Sam's certification classes, that derailed us. But, more importantly, we did not make the sacrifice necessary to meet our goals.
I'll be thinking about this article as we set our 2013 savings goals and its further applicable to some career goals and personal goals that I'm working on.
When setting an important goal, he focuses on financial goals, how do you respond to the question "how badly do you want it?"
Mr. Richards notes that there are generally two kinds of answers to this questions:
- I want it badly, and I’ll do whatever it takes to get there.
- I want it badly, but I don’t think it’s possible.
When I set our 2007 debt killing goals, I had the mindset that I (we) would do anything to reach our goals. Frankly, Mr. Sam thought I was a bit loony and he wasn't on board until he saw the plan on paper. During 2007 there were a number of times that we got derailed and our plan seemed like it was destined for failure. What did we do, we doubled our resolve and get going. The result, we paid off $55,500+ in just over a year.
Thinking about our 2012 savings goals, I can honestly say that we did want to save $69,000 but we were unwilling to change our lifestyle to meet our goals. Yes there were lots of other important expenses, our refi expenses, Mr. Sam's certification classes, that derailed us. But, more importantly, we did not make the sacrifice necessary to meet our goals.
I'll be thinking about this article as we set our 2013 savings goals and its further applicable to some career goals and personal goals that I'm working on.
Saturday, October 13, 2012
Net Worth Number Crunching
I am in the office today, supposed to be working but ended up getting sucked into analyzing our 2012 net worth numbers at networthiq.com.
Overall this year, since January, our net worth is up $92,851 which I must say impressed me. Most of the growth can be tracked directly to the growth of the stock market since $42,911 of our increase in net worth comes straight from growth in our 401k accounts. Plus, we have contributed $30,565 to our 401k accounts, so all together our 401k accounts are up $73,476.
The other big area of movement is in our debt load. We have reduced our debt (all mortgage) from $594,056 to $574,735 for a total of $19,321. Between the grown in our retirement accounts and the reduction in debt our net worth is up $92,000+, maybe by the end of 2012 it will be up over $100,000.
Overall this year, since January, our net worth is up $92,851 which I must say impressed me. Most of the growth can be tracked directly to the growth of the stock market since $42,911 of our increase in net worth comes straight from growth in our 401k accounts. Plus, we have contributed $30,565 to our 401k accounts, so all together our 401k accounts are up $73,476.
The other big area of movement is in our debt load. We have reduced our debt (all mortgage) from $594,056 to $574,735 for a total of $19,321. Between the grown in our retirement accounts and the reduction in debt our net worth is up $92,000+, maybe by the end of 2012 it will be up over $100,000.
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