October 2006 Net Worth Update (+$14,123)
The markets continued to pick up steam this month and helped put me in a position to shoot for a $100k net worth increase for 2006. October resulted in my 2nd highest monthly gain ever! I also raised cash from selling stock and now need to start thinking about my future investment strategies going forward.
| Assets | Sep-06 | Oct-06 | Change | % |
| Cash & Savings | $ 33,266.31 | $ 50,182.89 | $ 16,916.58 | 50.85% |
| Taxable Brokerage Accts | $ 49,819.31 | $ 52,002.71 | $ 2,183.40 | 4.38% |
| Roth IRA | $ 26,932.40 | $ 27,795.81 | $ 863.41 | 3.21% |
| Pre-tax Retirement Accts | $ 107,408.35 | $ 109,932.16 | $ 2,523.81 | 2.35% |
| Stock Option | $ - | $ - | $ - | |
| ESPP | $ 38,029.59 | $ 26,157.75 | $ (11,871.84) | -31.22% |
| 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 | $ 543,980.96 | $ 554,596.32 | $ 10,615.36 | 1.95% |
| Liabilities | | | $ - | |
| Credit Card Balances | $ (41,090.19) | $ (37,869.38) | $ 3,220.81 | -7.84% |
| House #1 Mortgages | $ (117,474.80) | $ (117,289.36) | $ 185.44 | -0.16% |
| House #2 Mortgages | $ (103,699.01) | $ (103,597.60) | $ 101.41 | -0.10% |
| Rental Deposits | $ (600.00) | $ (600.00) | $ - | 0.00% |
| Additional Tax Liability | $ - | $ - | $ - | |
| Other Liabilities | | | $ - | |
| Total Liabilities | $ (262,864.00) | $ (259,356.34) | $ 3,507.66 | -1.33% |
| Net Worth | $ 281,116.96 | $ 295,239.98 | $ 14,123.02 | 5.02% |
Highlights for October
- 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 easily surpassed my 2006 net worth goal and am now shooting for a $100k net worth increase in 2006.
- I redeemed US savings bonds to raise additional cash.
- I sold some stock in my ESPP and have gone from cash poor to cash flush.
- My fiancee and I started thinking about how we were going to merge our finances and took some small steps towards bridging the gap including a savings goal for our wedding.
- I also calculated the out of pocket monthly expenses I have incurred so far for my temporary work assignment.
- I also determined I had a 7.72% ROI on my rental property for the 1st year of renting it out.
Additional Stock Investments for October (Outside of 401k & ESPP):
$50 in Pfizer DRIP
$250 in Vanguard Roth IRA
Tags:
net worth,
Comments (13)
+$14,123?
You're my new hero. I'm going to follow you around and pick up all the loose change that fall out of your fat pockets.
Posted by Binary Dollar | November 1, 2006 11:24 AM
I must admit I am all smiles - its good to see such a healthy gain. Now if I can just make it more consistent.
The bulk of the gains are from having such a large investment in IBM. While I paid the price last year from holding the stock, I am reaping the benefits this year.
Posted by 2million | November 1, 2006 12:18 PM
Wow, congratulations on a fantastic month!! Don't you just love adding up the EOM numbers? Except on down months,then not so fun. BTW I just jumped back and read your post about the talk you and your fiancee had about goals and I think that's fantastic.
Don't worry too much about the delta between you two on expecations for the wedding; if you keep (calmly) discussing it with her....she'll get there.
Little by little, as you show her the benefits to paying attention to the balance sheet, she'll get there. (btw, have you started a balance sheet that incorporates her holdings as well? I converted my then-fiancee, now-husband, very very quickly when I showed him the balance sheet month by month incl. his assets and debts).
Posted by finance girl | November 1, 2006 12:45 PM
That's awesome! Congrats on having such an amazing month. When it comes to the value of your properties do you use the purchase price for the asset value or do you periodically make an educated guess based on other properties in the area/size range?
Posted by Matt | November 1, 2006 4:57 PM
The value listed for each property is the purchase price I paid for them.
Posted by 2million | November 1, 2006 10:24 PM
Finance Girl,
Good suggestions - I have been thinking of doing that, but our current physical situation has caused enough tension in our relationship.
When I settle back home I hope that we will have more time to start getting ont he same page and hopefully reviewing our monthly net worth statements.
Posted by 2million | November 1, 2006 10:28 PM
Way to go, 2Million --- that's a great gain to post this month!!! I also have a large portion of my assets invested in the stock market and it's nice to see that our diligent investing has been paying off.
Posted by N.W. | November 1, 2006 11:45 PM
Congrats! October has been good to you
Where did the extra 16,916.58 came from ?
Posted by moneymonk | November 2, 2006 2:44 PM
the bulk of the change in cash is the result of selling off some employer stock - see corresponding drop in espp line item
Posted by 2million | November 2, 2006 3:32 PM
2million: That's another solid month! Considering that you are not married yet, the number is more impressive.
Regarding the stock sells, I am not sure if the timing was right, but it did give you some cash cushion as I can see from your numbers that excluding the proceeds from selling the stocks and BT offers, your cash reserve is only about several thousands, which is kind of low. At 5+% APY, have some extra cash isn't a bad idea.
Posted by Sun | November 3, 2006 10:13 AM
Congrats. That's one healthy month. I am jealous...$14K a month !! :)
Posted by Golbguru | November 4, 2006 1:37 AM
Great month! How do you create the table for this page? Is it an excel export or do you just manually copy into a template you've setup? I'm looking at putting a net worth section on my site (http://www.successfulpersonalfinance.com).
Posted by Brendan | November 5, 2006 1:36 PM
I dont understand the phrase, financial freedom??
when is this??
thank you
Posted by Ennma | November 25, 2006 12:53 AM