I am Back Baby! October 2016 Net Worth Update

//I am Back Baby! October 2016 Net Worth Update

I am Back Baby! October 2016 Net Worth Update

On May 1, 2016 I wrote what I thought would be my last post on MyJourneytoMillions as I sold the site.  Well, the stars aligned and I am back baby!  I have been to some exciting (to me) stuff over on my other blog, which will now but die and I’ll bring everything over here.  I’ll go into some details in the next few weeks, but for now since my last post was a net worth update and it is the beginning of the month let’s start back.

While I haven’t written here in 5 months, I have been keeping tracking of my net worth.  Even if you aren’t sharing with the world like I do, I think keeping track of where you are leads to be a better chance of getting to where you want to go.

Calculating my Net Worth

Creating a net worth statement is pretty simple.  All one has to do is honestly add up your assets and minus your liabilities.  If you build your net worth calculation on lies, what’s the point of even doing the exercise.  I know calculating my net worth helps me keep track of my decreasing liabilities while seeing if my investments are growing like they should be.

My Assets

My assets are pretty simple:

  • Emergency Fund – It is a little less than where I would like it, but I don’t calculate it in terms of monthly expenditures.  Rather I think to myself how much cash would I really need if say, the roof goes.
  • My Dividend Growth Account – It is small, but this is where I have really been focusing my efforts lately and I will writing a lot about it.
  • My Wife’s Roth IRA – Nothing special – just a mixture of cheap index funds and stocks that capture my attention.
  • My 401(k) – My 401(k) is terrible with high fees for shit mutual funds, but where else am I getting a match on my money.  I am not one to turn down free cash.
  • Wife’s Mutual Funds – This was an amount that was given to my wife from her now deceased grand parents.  They were horribly mismanaged until I stepped in, putting them in low expense vanguard mutual funds.  She and I both look at this account as a super emergency fund.
  • My House – Despite being my largest asset I don’t particularly care how it is valued.  I am not moving so it is more or less a dead asset.  I don’t grow it and I don’t reduce it.  Maybe at the end of the year I can do an annual review if there are any comparable homes sold.
  • My Traditional IRA – Just a few stocks that have captured my attention.
  • My Investment Account with my Brother – My Wife and my brother invested a nominal amount ($1,200 each) to try and give my brother confidence with his stock picking ability.

My Liabilities

  • My Law School Loans – Despite being almost 35 years old I have a significant amount of law school loans left.  I don’t fret too much as they are locked in at 3.5%, so what’s the rush to pay them off?
  • My Mortgage – I live on Long Island (and its on not in), so the odds of me ever prepaying this down, especially with a 3.375% 30yr fixed is unrealistic.
  • Credit Cards – My favorite card is my American Express Premier Gold Card, whose fee I fight every year.  I also have some minor outstanding balances that I’ll just pay down slowly.

My Net Worth Increase/Decrease

While I usually share month over month gain that means nothing since I took off 5 months of sharing, so we’ll start that next month.  Thus far year to date my net worth has increased 14.21%.

By | 2016-10-01T16:07:08+00:00 October 1st, 2016|Personal Situation|3 Comments

About the Author:

Evan is the owner of My Journey to Millions which was started to track his journey from a broke debt ridden law school graduate to building a positive balance. Need more Evan? Follow him on Twitter, Contact him or get new posts directly to your email

3 Comments

  1. DivHut October 1, 2016 at 11:38 pm - Reply

    Always nice to see a net worth grow year to date and I look forward to reading more about your dividend growth portfolio. I think it’s funny how you call your house a “dead asset.” That’s the first time I have head anyone call a house by that term but in a way you are correct. Thanks for sharing and welcome back.

    • Evan October 3, 2016 at 1:55 pm - Reply

      Thanks DH! I am excited to get back into MJTM and bring over all the fun option investing I have been doing.

  2. The Wannabe Investor October 28, 2016 at 5:08 am - Reply

    Look forward to following your financial journey. I’ve just started investing and it’s always good to read what others are doing.

    Cheers
    Rohan

Leave A Comment