August 2006 Net Worth Update (+$18,689)

What a month! Investments faired well, I vested in my pension, and I made the most frivolous purchase of my lifetime as a sign of commitment to my fiancee. In the end I added $18,689 to my net worth ($1,261 excluding my vested pension adjustment).

Assets

Jul-06

Aug-06

Change

%

Cash & Savings

$ 27,067.54

$ 23,023.25

$ (4,044.29)

-14.9%

Taxable Brokerage Accts

$ 45,085

$ 49,046

$ 3,961.20

8.79%

Roth IRA

$ 25,492.22

$ 25,971.75

$ 479.53

1.88%

Pre-tax Retirement Accts

$ 84,665.71

$ 103,113.80

$ 18,448.09

21.79%

Stock Option

 

$ -

$ -

 

ESPP

$ 34,032.20

$ 37,579.40

$ 3,547.20

10.42%

House #1 - Rental

$ 160,000.00

$ 160,000.00

$ -

 

House #2 - Primary

$ 128,225.00

$ 128,225.00

$ -

 

Receivable (Payable)

$ 300.00

$ 300.00

$ -

 

Other Assets

 

$ -

$ -

 

Total Assets

$ 504,867.18

$ 527,258.91

$ 22,391.73

4.44%

Liabilities

 

 

$ -

 

Credit Card Balances

$ (27,954.08)

$ (31,656.46)

$ (3,702.38)

13.24%

House #1 Mortgages

$ (117,848.88)

$ (117,848.88)

$ -

0.00%

House #2 Mortgages

$ (103,900.21)

$ (103,900.21)

$ -

0.00%

Rental Deposits

$ (600.00)

$ (600.00)

$ -

0.00%

Additional Tax Liability

 

$ -

$ -

 

Other Liabilities

 

 

$ -

 

Total Liabilities

$ (250,303.17)

$ (254,005.55)

$ (3,702.38)

1.48%

Net Worth

$ 254,564.01

$ 273,253.36

$ 18,689.35

7.34%



Highlights for August
  • All credit card debt (except current month's purchases) is in the form of 0% APR balance transfers earning interest in my savings accounts.

  • I have modified the "401k" asset line item on my net worth statement to "Pre-tax Retirement Accounts" to include both my 401(k) and cash balance pension value.

  • I bought an engagement ring (part 1, part 2) which took a serious hit to my net worth, but was negated by my pension vesting.

  • I vested in my pension adding $17,406 to my pre-tax retirement accounts.

  • I experienced another strong month in my taxable brokerage accounts, mostly from a rise in my Pfizer and Merck investments.

  • I bought the last of the airline tickets for my temporary assignment; I hope for the rest of the year my monthly expenses will be more inline with the 1st half of the year.

  • I am now officially cash poor. I have purchased a new property and an engagement ring in the past couple of months and my focus for the rest of the year will be to retain as much cash as possible.

  • I have challenged myself by spending so much cash this year; if I can get through the next year (read wedding expenses) and build some cash to replace my emergency fund I will be very happy. I recognize that building my cash position for future opportunities will be a gigantic challenge. I plan to discuss this more in future posts.


Additional Stock Investments for August (Outside of 401k & ESPP):
$50 in Pfizer DRIP

Related in Net Worth Archive:

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Comments (4)


DATE: 2:12 PM
Probably the best thing about this past month is that I was able to make such a large purchase (engagement ring) and still increase my net worth ($1,261 excluding pension adjustment). I think that says alot.We always have one-time expenses that pop up. Pretty much every month there is some large one-time item to buy or unexpected expenses. I think what is a sign that things are headed in the right direction is being able to make a purchase like a engagement ring, and while its a set back, still make progress at the end of the month towards my goals.

DATE: 9:05 PM
Damn man your increase in assets is the same as my net worth. Good job man

DATE: 11:52 PM
Have you guys not heard, the property market in the US has fallen, the bubble has burst, if you were to sell the houses you own today, you would not even get the value you paid for them.check out : - this articleAnonymous Millionaire.

There are still hot real estate around

like Florida, Colorado and Atlanta check it out

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A personal finance weblog of my journey to reach my goal of $2 million + the value of my primary residence.
Current Net Worth: $1,574,185

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