With another month down it is time to take a look at my assets, my liabilities and see how I have done month over month and year to date. Last month I wrote,
…I am very excited to get the refinance done (hopefully this month) as I will be dropping PMI which has been a thorn in my side.
This month, the big project that needs to get done are my taxes. Everything is with the CPA and I am in annoyingly constant contact so that should be done this week. I should be getting an okay sized refund which will be used for furniture and debt.
The taxes got done which was nice to get off my plate, but the damned refinance is still up in the air. Very, very frustrating. I received news on the Friday before a 3 day weekend that there were additional problems. Specifically, my debt to income ratio was all out of whack because the underwriter didn’t know The Wife and I had 2 leased cars despite it being clearly on my credit report. Nonetheless, I am continuing to let them do their thing on the backend.
Feelings prior to Calculating: I have absolutely no idea where I am going to land this month. Usually, I have a feeling, but not this month. I think it is because we had a bunch of moving parts including tax refund coming through, the last of the backyard being finished (with grass and new fence), plus a ton of eating out.
Calculating my Net Worth
My Family’s Assets
I will be writing an introductory post about most of the assets below, and update them whenever it seems appropriate.
- Cash Equivalents – I finally got this number to a comfortable number! It represents about 2 months of my family’s bare minimum run rate. It is also is probably the largest, “oh shit” number I would need access to within a day or two.
- My Trading Account – This one account is both where I invest in my dividend growth companies and risky speculative option trades.
- My 401(k) – My 401(k) has some terrible investment options that have ridiculous fees, but since I am getting a match at work I fund it to that match.
- My Traditional IRA – Just some companies that have caught my attention at some point or another.
- The Wife’s Roth IRA – Again, some companies that have caught my attention at some point or another.
- The Wife’s SEP IRA – Brand new account. The Wife was talking to my father in law who told her that she should have a SEP IRA, and since she is funding it with business proceeds, I was not going to argue. Just going to be sending $100/week to the account. Plan is to just buy a broad based equity ETF (VOO) and a smaller position in a dividend-focused ETF (NOBL).
- Crypto Currency – A handful of years ago during the height of the first crypto-mania I decided to put a few dollars into BitCoin (literally it was just $1k).
It felt like immediately after I made the transfer BTC took a nosedive. At that point, I made the decision just to ignore the account – and it is just back to above even. Upon talking to a buddy about Bitcoin and actually signing into my account for the first time in months/possibly a year, I found out that CoinBase allowed for periodic investments, so I turned them on. I did just $50 a month, figured it was an amount that if the whole thing crashes I am not going to be too pissed, and if it takes off, then at least I’ll have a taste. - Life Insurance Cash Surrender Value – As described I own a number of permanent, cash value whole life insurance policies. Since the cash is accessible I include it in my net worth statement. This money is also accessible via a loan against the cash value. These values now have a loan against the cash.
- Physical Gold – A few years back I decided to start buying physical gold, I am hoping one day to be that crazy guy with a stack of gold I can swim through.
- My Rental Property – Every month I update a spreadsheet I keep for the minority owners of my rental property.
- My Main Residence – My Family’s home!
Currently, I do not include my investment clubs in my net worth.
My Family’s Debt
- Law School Debt – Overall this account is just not that large anymore, but at 3.5% fixed I just ignore it. I am hoping that President Biden kinda just eliminates it for me.
- Mortgage and Home Debt – I have a mortgage on each home and a home equity line of credit on the rental property.
- Revolving Credit Card Debt – Carry a small balance which I will probably get rid of this month or next month when the refinance goes through.
My Net Worth Change
- Month over month my net worth increased 1.33%
- Since starting AA my net worth has increased by approximately $116,000.
Not a bad month, I am always happy with a positive month! It is always interesting to see how correlated I am to the market! Only three of my assets do not have a direct tie to market forces, my cash surrender life insurance, my cash holdings, and and my real estate (I don’t price it out vs a zillow monthly).