Our net worth is currently $211,414.01, so we are one year ahead of our plan. Below is a list of our goals and our progress thus far (click on spreadsheet).
December 19, 2012
Pass our 2014 Net Worth Goal - 1 Year Early
We passed our 2013 net worth goal of $173,200 back in August, which was great news in and of itself. I'm happy to report today that we passed our 2014 net worth goal of goal of $211,000.
Our net worth is currently $211,414.01, so we are one year ahead of our plan. Below is a list of our goals and our progress thus far (click on spreadsheet).
Our net worth is currently $211,414.01, so we are one year ahead of our plan. Below is a list of our goals and our progress thus far (click on spreadsheet).
December 15, 2012
Net Worth Milestone - $210,000
Today we passed the $210,000 net worth milestone! Our net worth is currently $210,065.
We passed our last milestone of $200K in November. Based on my forecasts, we should hit the next net worth milestone of $220K by June.
I will update our net worth meter (on the left side of the screen) at the end of the month.
We passed our last milestone of $200K in November. Based on my forecasts, we should hit the next net worth milestone of $220K by June.
I will update our net worth meter (on the left side of the screen) at the end of the month.
December 5, 2012
November 2012 Income Statement
November
was a wild ride. Our income was near record
breaking (for us), our expenses reasonable by comparison, and my wife’s company
laid off the entire national sales force (click on spreadsheet below).
Our
total income for November was $19,454.47, our 2nd largest income
month since we began tracking in 2007. My
wife received a third “extra” paycheck this month, an awesome quarterly bonus
of $11,150 gross ($8,182.69 net), and was paid out 33.25 hours PTO $1,154.55. In
addition, my wife received a $61.99 in company reimbursements. We also received $75.00 in credit card cash
back rewards, $18.40 in a BofA judgment, and we earned $3.37 in interest income
from our online savings account.
In
November, we spent a total of $11,506.85 ($2K of which was tithe). Some of the larger non-standard expenses
were: $1,028.48 for a generator and $309.69 for a laptop.
Next
month (December) will be little unpredictable.
My wife receives her final paycheck that includes: 1 week pay and 1 week
severance with the possibility of an additional 6 days severance and $500 (based
on the return of the company car and company property).
December 4, 2012
November 2012 Net Worth Update (+18,666.21)
Our
net worth increased an amazing $18,666.21 from last month, to a total of $207,920.17
(click on spreadsheet below). This puts
us at 120.05% of our 2012 net worth goal of $173,200.
What
Worked
Sadly,
my wife was laid off this month, but not before contributing to our net worth
in a big way. She earned a quarterly
bonus of $11,350.00 gross ($8,182.69 net).
We tithed 10%, put $6,500 into savings, and are keeping the balance in
our checking account. In addition to the
bonus, her company automatically 100% vested her in her 401(k) match and profit
sharing. We didn’t expect to see any of
this ~$6,000 because she was only with the company for 1-1/2 years. This blessing increased our total retirement
accounts balance ~10%! We contributed a
total of $3,021.83 to our retirement accounts and saw them increase $9,321.16 to
$74,552.93 total. We also contributed
$1,500 to our son’s 529 Plan this month.
Busy month!
What
Didn’t Work
My wife’s company laid off the entire sales force, so we focused on putting money into savings.
My wife’s company laid off the entire sales force, so we focused on putting money into savings.
Next
Month
Next month is a big question mark. My wife will be officially unemployed after she receives her last paycheck on 12/14.
Next month is a big question mark. My wife will be officially unemployed after she receives her last paycheck on 12/14.
November 29, 2012
Net Worth Milestone - $200,000
Today we passed the $200,000 net worth milestone! Our net worth
is currently $200,435.
We passed our last milestone of $190K in October. Based on my forecasts, we should hit the next net worth milestone of $210K by January.
I will update our net worth meter (on the left side of the screen) at the end of the month.
We passed our last milestone of $190K in October. Based on my forecasts, we should hit the next net worth milestone of $210K by January.
I will update our net worth meter (on the left side of the screen) at the end of the month.
November 2, 2012
October 2012 Income Statement
October
was a very good income month and a slightly high expense month (click on
spreadsheet below).
Our
total income for October was $8,065.98. I received a third “extra” paycheck
this month. In addition to our regular paychecks, my wife received
a $25 company reimbursement. We also received
$58.08 in credit card cash back rewards and we earned $2.14 in interest income
from our online savings account.
Our
spending continues to be higher than plans - we’re not within our budget of
~$6,600. In October, we spent a total
of $9,326.18. Some of the larger non-standard
expenses were: $475.70 for two new car seats, $200.78 for brakes, and $119.57 for
a baby monitor.
Next
month (November) should be another very good income month because my wife
receives a third “extra” paycheck and what may be a large quarterly bonus.
November 1, 2012
October 2012 Net Worth Update (+992.69)
We
barely squeaked by with an increase to our net worth this month, but we’ll happily
take it. Our net worth increased $992.69
from last month, to a total of $189,253.96 (click on spreadsheet below). This puts us at 109.27% of our 2012 net worth
goal of $173,200.
What
Worked
We
continue to pay our auto loan a week or two early so that more of our payment
goes to principle ($264 principle reduction this month instead of ~$200).
What
Didn’t Work
We passed the net worth milestone of $190,000 earlier this month only to see the market retract and drop us down below it again. We contributed a total of $1,854.48 to our retirement accounts but only saw them increase $968.85 to $65,231.77 total.
We passed the net worth milestone of $190,000 earlier this month only to see the market retract and drop us down below it again. We contributed a total of $1,854.48 to our retirement accounts but only saw them increase $968.85 to $65,231.77 total.
Next
Month
Next month my wife receives a third “extra” paycheck and may earn ~$8K gross quarterly bonus. We plan to put a large portion into savings and also contribute ~$1,500 to our son’s 529 Plan.
Next month my wife receives a third “extra” paycheck and may earn ~$8K gross quarterly bonus. We plan to put a large portion into savings and also contribute ~$1,500 to our son’s 529 Plan.
October 18, 2012
Net Worth Milestone - $190,000
Today we passed the $190,000 net worth milestone! Our net worth is currently $190,625.95.
We passed our last milestone of $180K in August. Based on my forecasts, we should hit the next net worth milestone of $200K by December.
I will update our net worth meter (on the left side of the screen) at the end of the month.
We passed our last milestone of $180K in August. Based on my forecasts, we should hit the next net worth milestone of $200K by December.
I will update our net worth meter (on the left side of the screen) at the end of the month.
October 1, 2012
September 2012 Income Statement
September
was a normal income month and a high expense (click on spreadsheet below).
Our
total income for September was $8,065.98.
In addition to our regular paychecks, my wife received a $25 company
reimbursement. We also received $50.00
in credit card cash back rewards, $275.00 in gifts to our sons 529 Plan, and we
earned $3.64 in interest income from our online savings account.
In
September, we spent a total of $8,362.84, higher than we should have spent, but
less than we’ve spent almost every month this year. Some of the random large expenses were: $345.77
went to repainting the inside of our home, $489.08 in pool supplies, $432.35
SDG&E, and a few hundred towards our son’s 1st birthday party.
Next
month (October) should be a very good income month because I receive a third
“extra” paycheck. Hopefully we can
tighten our belts and spend less…
September 28, 2012
September 2012 Net Worth Update (+5,243.86)
In September, our net worth increased $5,243.86 from last month, to a total of $188,261.27(click on spreadsheet below). This puts us at 108.70% of our 2012 net worth goal of $173,200, which means we’re starting to make pretty good headway towards our 2013 net worth goal of $211,000.
What Worked
We contributed a total of $1,445.04 to our retirement accounts, and saw them increase $3,449.87 to $64,262.92 total. We contributed $275 to our son’s 529 Plan thanks to birthday gifts from family.
What Didn’t Work
Our excessive spending continues to keep us from putting more money away. As a result, our credit card bill each month has been much higher than usual. We pay the card in full each month in order to avoid interest charges, but had to pull some money out of savings last month to make it happen.
Next Month
We hope to get caught up a little in October. I received a third “extra” check that will help cover our large credit card bill without pulling much money out of savings.
What Worked
We contributed a total of $1,445.04 to our retirement accounts, and saw them increase $3,449.87 to $64,262.92 total. We contributed $275 to our son’s 529 Plan thanks to birthday gifts from family.
What Didn’t Work
Our excessive spending continues to keep us from putting more money away. As a result, our credit card bill each month has been much higher than usual. We pay the card in full each month in order to avoid interest charges, but had to pull some money out of savings last month to make it happen.
Next Month
We hope to get caught up a little in October. I received a third “extra” check that will help cover our large credit card bill without pulling much money out of savings.
September 5, 2012
August 2012 Income Statement
August was an amazing month - enormous income and large expenses (click on spreadsheet below).
Our total income for August was $17,679.78, our second largest income month EVER. The only larger month was December 2011 ($25,449.19, which included proceeds from a recreational vehicle sale). Our income was huge this month because of my wife’s awesome quarterly bonus ($13,750 gross, $9,839.22 net). In addition to our regular paychecks, my received a $25 company reimbursement. We also received $50.00 in credit card cash back rewards, a $50.00 gift for my sons 529 Plan, and we earned $3.22 in interest income from our online savings account.
In July we spent a total of $13,051.92. We had many rare expenses this month, starting with a $561.81 water bill (broken sprinkler) and $397.03 gas/electric bill (darn A/C). We also went on vacation to Canada($1,865.36), bought a new car battery ($125.91), insurance for our new SUV ($165.97), a portable A/C unit for my son’s room ($173.24 after a $150 gift card), various costs for my wife’s reunion. We were busy this month!
Next month (September) should be a much more normal income month and hopefully, a mellow expense month.
Our total income for August was $17,679.78, our second largest income month EVER. The only larger month was December 2011 ($25,449.19, which included proceeds from a recreational vehicle sale). Our income was huge this month because of my wife’s awesome quarterly bonus ($13,750 gross, $9,839.22 net). In addition to our regular paychecks, my received a $25 company reimbursement. We also received $50.00 in credit card cash back rewards, a $50.00 gift for my sons 529 Plan, and we earned $3.22 in interest income from our online savings account.
In July we spent a total of $13,051.92. We had many rare expenses this month, starting with a $561.81 water bill (broken sprinkler) and $397.03 gas/electric bill (darn A/C). We also went on vacation to Canada($1,865.36), bought a new car battery ($125.91), insurance for our new SUV ($165.97), a portable A/C unit for my son’s room ($173.24 after a $150 gift card), various costs for my wife’s reunion. We were busy this month!
Next month (September) should be a much more normal income month and hopefully, a mellow expense month.
August 30, 2012
August 2012 Net Worth Update (+11,797.62)
In August, our net worth skyrocketed $11,797.62 from last month, to a total of $183,017.41 (click on spreadsheet below).
What Worked
The largest impact this month, and likely this year was a huge quarterly bonus that my wife earned. She bonus this quarter was $13,750 gross ($9,839.22 net). Obviously, this has a major impact on our finances. We paid off our 0% credit card balance ($5,236.35), tithed 10% ($1,375), and got a few things done around the house. We contributed a total of $2,820.04 to our retirement accounts, and saw them increase $5,143.40 to $60,813.08 total. All of this goodness resulted in us passing the net worth milestone of $180,000 in August.
What Didn’t Work
N/A, we were blessed with an amazing month.
N/A, we were blessed with an amazing month.
Next Month
September should be a standard month in terms of our net worth increase. However, it’s a milestone for our family as our son turns 1 year old!
September should be a standard month in terms of our net worth increase. However, it’s a milestone for our family as our son turns 1 year old!
August 10, 2012
Net Worth Milestone - $180,000
Today we passed the $180,000 net worth milestone! Our net worth is currently $182,496.62.
We passed our last milestone of $170K last month (July) so reaching $180,000 in such a short period of time is a major blessing. My wife’s larger than normal quarterly bonus, $13,750 gross ($9,839.22 net), put us over the $180K mark. Based on my forecast, we should hit the next net worth milestone of $190K by November.
I will update our net worth meter (on the left side of the screen) at the end of the month.
We passed our last milestone of $170K last month (July) so reaching $180,000 in such a short period of time is a major blessing. My wife’s larger than normal quarterly bonus, $13,750 gross ($9,839.22 net), put us over the $180K mark. Based on my forecast, we should hit the next net worth milestone of $190K by November.
I will update our net worth meter (on the left side of the screen) at the end of the month.
August 3, 2012
Already Passed our 2012 Net Worth Goal!
Today we passed our 2012 net worth goal of $173,200. That puts us 4 months ahead of schedule. Our current net worth is $174,101 and my wife expects to receive a large quarterly bonus next week, so our net worth should jump another $8,000 or so by the end of the month. Our net worth meter (on left) will be updated at the end of the month.
July 31, 2012
July 2012 Income Statement
July
was a somewhat higher than average income month and large expense month (click
on spreadsheet below).
Our
total income for July was $8,061.55. In
addition to our regular paychecks, my received $60 in company
reimbursements. We also received a $128.61
auto insurance refund, $150 Best Buy store credit, and we earned $3.24 in
interest income from our online savings account.
In
July we spent a total of $11,571.94. Our
largest expense was a $3,000 downpayment on a third vehicle that cost $17,998. With this vehicle comes additional costs in
terms of fuel, insurance, etc., but it will add to our quality of life as we
make an effort to do more family outings.
Next
month should be one of our largest income months ever, thanks to a very large quarterly
bonus that my wife should receive.
Expenses should be slightly higher with the addition of our auto loan,
insurance, and fuel.
July 27, 2012
July 2012 Net Worth Update (+3,518.70)
In
July, our Net Worth increased $3,518.70 from last month, to a total of $171,219.79
(click on spreadsheet below).
What
Worked
We
passed the net worth milestone of $170,000 in July! We contributed a total of $2,245.04 to our
retirement accounts, and saw them increase $3,285.04 to $55,669.68 total. We paid $600 towards our 0% credit card debt.
What
Didn’t Work
Our cash & savings declined because we pulled $3,000 out for a down payment on a SUV. The balance on the loan is $16,736.99. My wife has a company provided car and my car is paid off, so this third vehicle is going to be used for “family” stuff, such as weekend trips to the beach, camping, vacation, etc.
Our cash & savings declined because we pulled $3,000 out for a down payment on a SUV. The balance on the loan is $16,736.99. My wife has a company provided car and my car is paid off, so this third vehicle is going to be used for “family” stuff, such as weekend trips to the beach, camping, vacation, etc.
Next
Month
August should be a huge income month because my wife earned a large bonus. The money is slated for paying off our 0% credit card debt, contributing to our son’s 529 Plan, bolstering savings, and tithing.
August should be a huge income month because my wife earned a large bonus. The money is slated for paying off our 0% credit card debt, contributing to our son’s 529 Plan, bolstering savings, and tithing.
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July 2, 2012
Net Worth Milestone - $170,000
Today we passed the $170,000 net worth milestone! Our net worth
is currently $171,781.11.
We passed our last milestone of $160K in December and are well on the way to our 2012 net worth goal of $173,200. Based on my forecasts, we should hit the next net worth milestone of $180K by the end of the year.
We passed our last milestone of $160K in December and are well on the way to our 2012 net worth goal of $173,200. Based on my forecasts, we should hit the next net worth milestone of $180K by the end of the year.
I will update our net worth meter (on the left side of the
screen) at the end of the month.
June 29, 2012
June 2012 Income Statement
June was another outstanding income month and an above average expense month (click on spreadsheet below).
Our total income for June was $10,456.04. In addition to our regular paychecks, my wife received a third “extra” paycheck this month. She also received a 1.75% merit raise that was backdated to April. In addition to my wife’s awesomeness, we received a completely unexpected $473.02 property tax refund (major blessing!). My wife received $40 in company reimbursements, we received $75 in credit card rewards, and we earned $3.55 in interest income from our online savings account.
In June we spent a total of $8,787.81. Large infrequent expenses included $425.24 for 6 months of auto insurance and $80 in gifts. We also gave our nanny a $25/week raise.
July should be a fairly average month in terms of income and expenses.
Our total income for June was $10,456.04. In addition to our regular paychecks, my wife received a third “extra” paycheck this month. She also received a 1.75% merit raise that was backdated to April. In addition to my wife’s awesomeness, we received a completely unexpected $473.02 property tax refund (major blessing!). My wife received $40 in company reimbursements, we received $75 in credit card rewards, and we earned $3.55 in interest income from our online savings account.
In June we spent a total of $8,787.81. Large infrequent expenses included $425.24 for 6 months of auto insurance and $80 in gifts. We also gave our nanny a $25/week raise.
July should be a fairly average month in terms of income and expenses.
June 28, 2012
June 2012 Net Worth Update (+4,342.33)
In
June, our Net Worth increased $4,342.33, to a total of $167,701.09
(click on spreadsheet below). This puts us
at 96.83% of our 2012 Net Worth goal of $173,200 (see NW meter on left side of page).
What Worked
We
paid $1,355 towards our 0% credit card debt.
As I mentioned before, our main short term financial goal is to get this
card paid off by the end of the year (0% until April 2013).
What Didn’t Work
We contributed a total of $1,741.95 our retirement accounts, but only saw them increase $1,623.34 to $52,384.64 total. Not a big deal.
We contributed a total of $1,741.95 our retirement accounts, but only saw them increase $1,623.34 to $52,384.64 total. Not a big deal.
Next Month
We hope to pay down another good “chunk” of our 0% credit card debt next month. My wife should also learn how large her Q3 bonus in August will be (she kicked butt this quarter).
We hope to pay down another good “chunk” of our 0% credit card debt next month. My wife should also learn how large her Q3 bonus in August will be (she kicked butt this quarter).
June 1, 2012
May 2012 Income Statement
May
was an excellent income month and a large expense month (click on spreadsheet
below).
Our total income for May was $11,571.83. In addition to our regular paychecks, I received a third “extra” paycheck this month and my awesome wife earning a quarterly bonus of $2,325 gross ($1,937.89 net). My wife also received $43 in company reimbursements, we received $75 in credit card rewards, and we earned $2.47 in interest income from our online savings account. I want to take a moment to say that we feel very blessed. This income allows us to pay our mortgage, save for retirement, live a comfortable lifestyle, etc. and it is only because of God. We do not deserve it, but pray that we use it to His glory.
Our total income for May was $11,571.83. In addition to our regular paychecks, I received a third “extra” paycheck this month and my awesome wife earning a quarterly bonus of $2,325 gross ($1,937.89 net). My wife also received $43 in company reimbursements, we received $75 in credit card rewards, and we earned $2.47 in interest income from our online savings account. I want to take a moment to say that we feel very blessed. This income allows us to pay our mortgage, save for retirement, live a comfortable lifestyle, etc. and it is only because of God. We do not deserve it, but pray that we use it to His glory.
In
May we spent a total of $9,282.48. Leading
the way was a whopping $1,470.47 in purchases for household items; I guess we’re
not buying stuff for our new place J. Some other large, infrequent expense include:
$354.90 for clothing, $230 in extra nanny pay (overtime) and $185.44 for a
hotel.
June
should be another good income month, led by an “extra” third paycheck for my
wife (after I just received 3 paychecks in May). We will continue to use this “extra” money to
pay down our 0% credit card debit.
May 31, 2012
May 2012 Net Worth Update (+1,636.22)
In
May, our Net Worth increased $1,636.22 from last month, to a total of $163,358.76
(click on spreadsheet below).
What
Worked
We
increased our savings account $1,550.47 to $5,140.41, thanks primarily to my
wife earning a $2,325 gross ($1,937.89 net) quarterly bonus. We also paid $1,250 off on our 0% credit card
debt, which is now down to $7,191.35. I started a small vegetable garden in our
backyard. This is our first step toward
growing some of our own food and hopefully saving money long-termJ.
What
Didn’t Work
We contributed a total of $2,076.20 our retirement accounts, but saw them decrease $1,462.84 to $50,761.30 total.
We contributed a total of $2,076.20 our retirement accounts, but saw them decrease $1,462.84 to $50,761.30 total.
Next
Month
June may be another good month because my wife receives a third “extra” check. This should allow us to pay another good chuck off of our 0% credit card debt. Knocking down that credit card debt is our #1 financial goal right now.
June may be another good month because my wife receives a third “extra” check. This should allow us to pay another good chuck off of our 0% credit card debt. Knocking down that credit card debt is our #1 financial goal right now.
May 2, 2012
April 2012 Income Statement
Things
are starting to settle down a bit. April
brought an average income month and, thankfully, decreased spending (click on
spreadsheet below).
Our total income for April was $7,591.52. Our regular paychecks saw a bit of an increase this month in the form of a 1% raise for me ($704.60/year) and my wife changing her filing status to M2 ($200.15 net increase per check that began her 2nd check of the month). We received $50 in credit card rewards, $43 tax refunds ($41 Fed & $2 State), a $50 gift to our baby’s 529 Plan, and earned $1.77 in interest income from our online savings account.
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Our total income for April was $7,591.52. Our regular paychecks saw a bit of an increase this month in the form of a 1% raise for me ($704.60/year) and my wife changing her filing status to M2 ($200.15 net increase per check that began her 2nd check of the month). We received $50 in credit card rewards, $43 tax refunds ($41 Fed & $2 State), a $50 gift to our baby’s 529 Plan, and earned $1.77 in interest income from our online savings account.
Well,
our downward trend of spending continues.
In March we spent a total of $7,284.95, higher than our budget of $6,070.89, but far lower than what we’ve been
spending the past 3 months: $22,902.72 in Jan., $14,038.03 in Feb., and
$9,560.04 in Mar.
May
should be a good income month, led by an “extra” third paycheck for me. This extra money should help get us back on
track somewhat. We’ve been putting off
having our security camera system installed ($850), but we may get around to it
in May.
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April 30, 2012
April 2012 Net Worth Update (+2,363.13)
In
April, our Net Worth increased $2,363.13 from last month, to a total of $161,722.54
(click on spreadsheet below).
What
Worked
We
had a great visit with my family when they came into town. My father passed away two weeks after the
visit, so it was very nice to see him one last time. His passing is a reminder to me that saving
for retirement is important, but so is enjoying your life along the way.
What
Didn’t Work
We contributed a total of $1,434.26 our retirement accounts, but only saw them increase $781.27 to $52,224.14 total.
We contributed a total of $1,434.26 our retirement accounts, but only saw them increase $781.27 to $52,224.14 total.
Next
Month
May will hopefully be an opportunity to pay down some of our 0% credit card debt since I receive a third “extra” check. We have until April 2013 for the 0% interest offer, but want to get it paid off as soon as possible.
May will hopefully be an opportunity to pay down some of our 0% credit card debt since I receive a third “extra” check. We have until April 2013 for the 0% interest offer, but want to get it paid off as soon as possible.
April 9, 2012
February 2012 Income Statement
We continued our spending spree in March, albeit at a reduced rate. Our income was fairly typical (click on spreadsheet below).
Our total income for March was $7,484.97. In addition to our regular paychecks, my wife received $131.92 in reimbursements from her company (includes February internet & meal and March internet). We also received $75 in credit card rewards, a $35 rebate for purchasing an energy efficient washer, and earned $1.37 in interest income from our online savings account.
We did a little more shopping in March for our new home and spent a total of $9,560.07. Our spending over the past three months has been shocking: $22,902.72 in January, $14,038.03 in February, and $9,560.04 in March. At least the trend is going in the right direction. Some of the larger one-time expenses in March included $667.63 for ADT security installation, $400 for a security door, and $275 to our tax accountant.
Next month my check will be a smidge larger thanks to a 1% raise that my company provided all employees. This is a good sign as we have not had any raises for 4 years. The only large, non-reoccurring expense planned in April is $850 for a security camera system installation.
Our total income for March was $7,484.97. In addition to our regular paychecks, my wife received $131.92 in reimbursements from her company (includes February internet & meal and March internet). We also received $75 in credit card rewards, a $35 rebate for purchasing an energy efficient washer, and earned $1.37 in interest income from our online savings account.
We did a little more shopping in March for our new home and spent a total of $9,560.07. Our spending over the past three months has been shocking: $22,902.72 in January, $14,038.03 in February, and $9,560.04 in March. At least the trend is going in the right direction. Some of the larger one-time expenses in March included $667.63 for ADT security installation, $400 for a security door, and $275 to our tax accountant.
Next month my check will be a smidge larger thanks to a 1% raise that my company provided all employees. This is a good sign as we have not had any raises for 4 years. The only large, non-reoccurring expense planned in April is $850 for a security camera system installation.
April 2, 2012
March 2012 Net Worth Update (+1,646.26)
You will notice a correction to our mortgage balance in February. I mistakenly applied our March payment to our February figures. Even with our excessive spending in March, our Net Worth increased $1,646.26 from last month, to a total of $159,359.41 (click on spreadsheet below).
What Worked
We contributed a total of $1,434.26 our retirement accounts, and saw them increase $2,558.50 to $51,505.87 total. Our first mortgage payment went through reducing our mortgage debt by $589.21. Baby steps...
What Didn’t Work
As expected, our zero percent interest card (0% for 15 months) balance rose $7,065.02 to $8,541.35. This is not as much as the $3,000 that I forecast, but going the wrong direction nevertheless. I wish I could say this was going to go away soon, but realistically, we are months from having it paid off.
Next Month
April will be a fun month because my family is coming into town. It will be nice for them to see our new baby again and to get to show them our new house. Financially, it might not be as exciting as we continue to try and dig our way out of our 0% credit card debt.
March 1, 2012
February 2012 Income Statement
We had another very high spending month in February and an above average income month (click on spreadsheet below).
Our total income for February was $8,940.28. In addition to our regular paychecks, my wife earned a $868.27 gross ($723.70 net) quarterly bonus. We also received a $701.43 auto insurance refund, $200.41 rental insurance refund, and $225 in credit card rewards. We earned $0.65 in interest income from our online savings account. My wife’s February reimbursement from her company will arrive in March.
We spent a total of $13,038.03 in February; our fourth largest spending month since we began tracking in March 2007. Two large, non-recurring expenses include $6,497.54 for furniture and $3,744.40 for household items (for the new house).
I thought that we might have all of our major home items purchased in February, but we still need to have our security camera system install, a security door in the garage installed, and our ADT alarm system installed. We put a high value on security, so this money will be well spent. Sadly, our income will not keep pace with our spending in March, so we will be adding to our 0% credit card debt :(
February 27, 2012
February 2012 Net Worth Update (-1,556.74)
February was another month of heavy spending, resulting in a drop in our net worth of $1,556.74 from last month, to a total of $158,302.36 (click on spreadsheet below).
What Worked
We contributed a total of $1,434.26 our retirement accounts, and saw them increase $3,061.88 to $48,947.37 total. Our savings account also increased from $1,830.39 to $2,608.15. Our first mortgage payment went through reducing our mortgage debt by $589.21.
CORRECTION: Our first mortgage payment was for our March bill and should not have been included in our February numbers. I will correct the spreadsheet before posting our March Net Worth Update.
What Didn’t Work
In February, we did something we haven’t done in a LONG time: we went into credit card debt. We ended the month owing $7,065.02 to a zero percent interest card (0% for 15 months) to buy more furniture/house stuff. We have roughly $3,000 more in furniture/house stuff that we need to buy and then we’re done. I promise.
Next Month
March will get us one step closer to getting back on track, but we’ll still be spending more than saving.
February 2, 2012
December 2012 Income Statement
January was a CRAZY expense month and, thankfully, a very good largest income month (click on spreadsheet below).
Our total income for January was $13,358.37, our 4th largest income month ever. In addition to my two regular paychecks, my wife received $632.86 in Paid Family Leave (had a baby via C-section) and $2,586.22 in paychecks from her company. We also received a $2,050 rental deposit refund, $2,588.75 mortgage refund, $1,000 move in gift, $500 hospital refund, $254.24 in credit card rewards, $100 from selling items on craigslist, and a $20 sitter sittercity.com refund. After wiping out our savings for the down payment, we earned $0.02 in interest income from our meger online savings account.
We spent a total of $22,902.72 in January; by far the most money we’ve spent in one month. We expected this to be the case and sold our recreational vehicle and other items to pay for a great deal of it. Some of the substantial outlays include $12,251.68 for furniture, $3,542.51 for household items (for the new house), $1,010 for our nanny (includes some weekend work), $694.31 for home repair/maintenance items, and $685 for 6 months of prepaid 20 year term insurance for wife and me.
The shopping will continue in February, as we have much more “stuff” to buy for our home. I expect that the spending will begin to settle down in March, and it needs to because we cannot sustain our current level of spending for long. Our income has been much higher than normal the past two months, but should return to its normal level in February.
Our total income for January was $13,358.37, our 4th largest income month ever. In addition to my two regular paychecks, my wife received $632.86 in Paid Family Leave (had a baby via C-section) and $2,586.22 in paychecks from her company. We also received a $2,050 rental deposit refund, $2,588.75 mortgage refund, $1,000 move in gift, $500 hospital refund, $254.24 in credit card rewards, $100 from selling items on craigslist, and a $20 sitter sittercity.com refund. After wiping out our savings for the down payment, we earned $0.02 in interest income from our meger online savings account.
We spent a total of $22,902.72 in January; by far the most money we’ve spent in one month. We expected this to be the case and sold our recreational vehicle and other items to pay for a great deal of it. Some of the substantial outlays include $12,251.68 for furniture, $3,542.51 for household items (for the new house), $1,010 for our nanny (includes some weekend work), $694.31 for home repair/maintenance items, and $685 for 6 months of prepaid 20 year term insurance for wife and me.
The shopping will continue in February, as we have much more “stuff” to buy for our home. I expect that the spending will begin to settle down in March, and it needs to because we cannot sustain our current level of spending for long. Our income has been much higher than normal the past two months, but should return to its normal level in February.
January 30, 2012
January 2012 Net Worth Update (-4,962.60)
Due to heavy, heavy spending in January, our net worth dropped $4,962.60 from last month, to a total of $159,859.10 (click on spreadsheet below).
What Worked
We have a another asset on our balance sheet - our new home! Moving is always exhausting, but we are finally getting settled in. Beyond the home, we contributed $220 to our son’s 529 Plan thanks to gifts from our parents and aunts. We contributed a total of $1,280.42 our retirement accounts, and saw them increase $3,940.79 to $45,885.49 total. My wife’s company contributed $1,256.63 in company match and profit sharing to her 401(k). I did not include them in the balance sheet because the vesting is 3 years and 6 years, respectively.
What Didn’t Work
Money flew out of our saving faster in January than any time before. Beyond the $97,800 down payment that we put on our new home, we also spent ~$15,000 on furniture and items for the house.
Next Month
It was fun splurging, but now we need to tone it back down. For the next couple of months, our expenses will continue to be higher than normal as we buy things for the house, but January was the BIG spending month.
What Worked
We have a another asset on our balance sheet - our new home! Moving is always exhausting, but we are finally getting settled in. Beyond the home, we contributed $220 to our son’s 529 Plan thanks to gifts from our parents and aunts. We contributed a total of $1,280.42 our retirement accounts, and saw them increase $3,940.79 to $45,885.49 total. My wife’s company contributed $1,256.63 in company match and profit sharing to her 401(k). I did not include them in the balance sheet because the vesting is 3 years and 6 years, respectively.
What Didn’t Work
Money flew out of our saving faster in January than any time before. Beyond the $97,800 down payment that we put on our new home, we also spent ~$15,000 on furniture and items for the house.
Next Month
It was fun splurging, but now we need to tone it back down. For the next couple of months, our expenses will continue to be higher than normal as we buy things for the house, but January was the BIG spending month.
January 13, 2012
Insurance
My wife did a great job getting insurance quotes from various companies and ended up saving us $1,113/year by switching from Farmers to Allstate. Here are the details:
$768 Farmer Auto
$664 Allstate Auto
$104 Savings
$1806 Farmer Home
$1043 Allstate Home
$763 Savings
$402 Farmer 20-Year Term
$284 Allstate 20-Year Term
$118 Savings
$528 Farmer 20-Year Term
$400 Allstate 20-Year Term
$128 Savings
Total savings per year: $1,113 - NICE WORK!!
January 4, 2012
2012 Financial Goals
We were very happy with how we did on our 2011 financial goals. While it's unlikely the economy is going to dramatically improve anytime soon, that’s no reason not to shoot for the stars:) Here are our 2012 financial goals.
1) Increase net worth to $ 173,200
We are beginning 2012 with a great head start on our net worth goal, having passed our 2011 goal by $26,721.70. Based on my calculations, we should be able to reach our 2012 goal by September 2012.
2) Furnish our new home
We are moving from a 2 bed / 2 bath condo to a 5 bed / 3 bath house. As you can imagine, we are a bit short on furniture. Our wish list of items totals $25,000. Thanks to the $14,995 sale of our recreational 4x4, we can afford a good chuck of that wish list, however, there is another $10,000 worth of furnishings that we would like to get. I’m not sure we’ll be able to buy it all the first year, but we’ll give it a try.
3) Rebuild savings account balance to $15,000
We plan to use most of our $107,722.13 in savings ($52,696.37 + $51,000 pulled from retirement accounts) in savings for our down payment and to furnish our new home. So, we have set a goal of rebuilding our savings account balance to $15,000 by the end of the year. This will include emergency fund money and private adoption money.
4) Contribute $24,000 to retirement accounts
After cutting our retirement account balance in half for our home down payment, we intend to work hard to rebuild our retirement savings. We have averaged ~$15,000/year in contributions over the past 5 years. For 2012, our goal will be to contribute $24,000 to our retirement accounts. $18,569 of the $24,000 will be automatically deposited into our 401(k) accounts. The remaining $5,431 will be deposited into our Roth IRAs as we have the extra cash.
5) Increase son's 529 Plan to $6,000
We opened our baby boy’s 529 Plan with $3,000 in October 2011 and ended the year with $3,158.24 in the account. We hope to increase the balance, through contributions and market performance, to $6,000 by the end of 2012.
1) Increase net worth to $ 173,200
We are beginning 2012 with a great head start on our net worth goal, having passed our 2011 goal by $26,721.70. Based on my calculations, we should be able to reach our 2012 goal by September 2012.
2) Furnish our new home
We are moving from a 2 bed / 2 bath condo to a 5 bed / 3 bath house. As you can imagine, we are a bit short on furniture. Our wish list of items totals $25,000. Thanks to the $14,995 sale of our recreational 4x4, we can afford a good chuck of that wish list, however, there is another $10,000 worth of furnishings that we would like to get. I’m not sure we’ll be able to buy it all the first year, but we’ll give it a try.
3) Rebuild savings account balance to $15,000
We plan to use most of our $107,722.13 in savings ($52,696.37 + $51,000 pulled from retirement accounts) in savings for our down payment and to furnish our new home. So, we have set a goal of rebuilding our savings account balance to $15,000 by the end of the year. This will include emergency fund money and private adoption money.
4) Contribute $24,000 to retirement accounts
After cutting our retirement account balance in half for our home down payment, we intend to work hard to rebuild our retirement savings. We have averaged ~$15,000/year in contributions over the past 5 years. For 2012, our goal will be to contribute $24,000 to our retirement accounts. $18,569 of the $24,000 will be automatically deposited into our 401(k) accounts. The remaining $5,431 will be deposited into our Roth IRAs as we have the extra cash.
5) Increase son's 529 Plan to $6,000
We opened our baby boy’s 529 Plan with $3,000 in October 2011 and ended the year with $3,158.24 in the account. We hope to increase the balance, through contributions and market performance, to $6,000 by the end of 2012.
January 3, 2012
Review of 2011 Financial Goals:
Below are the 5 goals that we set for ourselves 12 months ago and the results of our efforts to achieve them. Reaching 4 of our 5 goals in this economy feels great. The game changer for us in 2011 was my wife’s new job. She already had a good paying job, but was recruited away in April and given a $20,000 higher annual salary and an opportunity to make larger bonuses each quarter. I am so proud of the success she has enjoyed in her career and feel that her new position was pivotal in reaching our goals this year. I’ll be posting our 2012 goals shortly.
1) Increase net worth to $138,100 SUCCESS
Thanks to a good head start on our 2011 net worth goal (we passed our 2010 goal by $9,600.07), this was relatively easy. In fact, we passed our 2011 net worth goal in April and by July our net worth was over $150,000. Shortly after, however, the stock market began to fluctuate wildly and our net worth took a dive, but we still finished the year with a net worth of $164,821.70, $26,721.70 over our goal of $138,100.
2) Increase savings account balance to $20,000 SUCCESS
We started 2011 with $9,215.82 in savings, but we pulled $3,000 out to pay off our student loan and another $3,000 out to open a 529 Plan for my son. That being said, we still CRUSHED this goal, ending the year with $107,722.13 in savings ($52,696.37 + $51,000 pulled from retirement accounts). The biggest boost to our savings came from selling our recreational 4x4 for $14,995. While it was nice to hit this goal, we will be depleting most of our savings account in the next 30 days to fund our 20% home down payment and to purchase furniture.
3) $100,000 total balance in retirement accounts FAIL
In July 2011, we had over $95,000 in our retirement accounts and it looked like we would surely reach this goal by the end of the year. However, with the market correction, our balance dropped to ~$92,000 by the early December 2011. It was at this time that we raided our retirement accounts ($21,000 loan from 401k and $30,000 withdrawal from Roth IRAs) to help fund our 20% ($97,800) home down payment. So, we ended 2011 with retirement account balances totaling $41,944.70. We contributed $14,280.72 total to our retirement accounts in 2011.
4) Decrease debt by $1,000 SUCCESS
We started 2011 with only $3,041.81 in student loan debt. I’m happy to report that we ended the year with no debt ($0.00)! It is such a great feeling to finally be completely DEBT FREE.
5) Start a family SUCCESS
Accomplishing this goal was the biggest blessing of all. After dealing with some fertility issues, my wife and I were shocked to find out that she was pregnant. In September, after a challenging labor, our healthy baby boy was born and we couldn’t be more happy.
1) Increase net worth to $138,100 SUCCESS
Thanks to a good head start on our 2011 net worth goal (we passed our 2010 goal by $9,600.07), this was relatively easy. In fact, we passed our 2011 net worth goal in April and by July our net worth was over $150,000. Shortly after, however, the stock market began to fluctuate wildly and our net worth took a dive, but we still finished the year with a net worth of $164,821.70, $26,721.70 over our goal of $138,100.
2) Increase savings account balance to $20,000 SUCCESS
We started 2011 with $9,215.82 in savings, but we pulled $3,000 out to pay off our student loan and another $3,000 out to open a 529 Plan for my son. That being said, we still CRUSHED this goal, ending the year with $107,722.13 in savings ($52,696.37 + $51,000 pulled from retirement accounts). The biggest boost to our savings came from selling our recreational 4x4 for $14,995. While it was nice to hit this goal, we will be depleting most of our savings account in the next 30 days to fund our 20% home down payment and to purchase furniture.
3) $100,000 total balance in retirement accounts FAIL
In July 2011, we had over $95,000 in our retirement accounts and it looked like we would surely reach this goal by the end of the year. However, with the market correction, our balance dropped to ~$92,000 by the early December 2011. It was at this time that we raided our retirement accounts ($21,000 loan from 401k and $30,000 withdrawal from Roth IRAs) to help fund our 20% ($97,800) home down payment. So, we ended 2011 with retirement account balances totaling $41,944.70. We contributed $14,280.72 total to our retirement accounts in 2011.
4) Decrease debt by $1,000 SUCCESS
We started 2011 with only $3,041.81 in student loan debt. I’m happy to report that we ended the year with no debt ($0.00)! It is such a great feeling to finally be completely DEBT FREE.
5) Start a family SUCCESS
Accomplishing this goal was the biggest blessing of all. After dealing with some fertility issues, my wife and I were shocked to find out that she was pregnant. In September, after a challenging labor, our healthy baby boy was born and we couldn’t be more happy.
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