All posts by 1MansMoney

I am a guy pushing 40 that is married to a beautiful woman in her 30's. If I can only have as much luck with our finances.
Net Worth

April 2020 Net Worth Update (+$52,140.57)

Overall

April was a HUGE improvement over last month for our net worth.  Our net worth increased $52,140.57 from last month to a total of $818,560.10 (see spreadsheet screenshot).  Such a blessing!

Retirement Accounts

Our retirement accounts are comprised of our 401(k)s, our Roth IRAs and our Traditional IRAs.  We contribute 8% to my wife’s 401(k).  My wife’s company matches up to 5% of her 401(K) contribution (100% vested when deposited) and chips in an additional 5% on top of the match in March (vests over 3 years). This month, we contributed $1,131.08 to her 401(k).  We contribute 11% to my 401(k) and my company matches up to 4% and deposits the match in March (100% vested when deposited).  This month, we contributed $973.41 to my 401(k).  The total balance of our retirement accounts increased $31,013.76 from last month to a total of $363,369.61.   

Brokerage Account

Currently, our brokerage account consists of a handful of stocks and some cryptocurrency (I prefer to track crypto in the “Brokerage Accounts” field rather than “Cash & Savings Accounts”).  The total current value is $29,474.38, up $9,882.37 from last month.  Wow!

Cash & Savings Account

Cash and savings accounts consists of a small sum of cash at home and our online savings accounts balance. It does not include our checking account balance that we use to pay our bills each month.  Our savings increased $3,462.91 this month to a total of $14,453.49.

College Savings Accounts

Our kids have 529 Plans through Vanguard.  This month, we contributed $0 to our son’s 529 Plan and it increased $4,556.73 from last month to a total balance of $28,602.22.  We contributed $50 to our daughter’s 529 Plan and it increased $2,617.83 from last month to a total balance of $17,329.07.

Home

We use the $528K purchase price that we paid in July 2016 for our home value.  Current comps in the area are ~$580K.  The current balance of our 15-year, 2.875% mortgage loan is $182,133.78.  We paid $300 extra towards our home mortgage principal this month.

Vehicles

My company provides me a vehicle and gas card.  My wife has a 2017 SUV with ~80,000 miles.  Her company gives her $300/month auto allowance and $0.53/mile reimbursement. The loan balance on my wife’s car is $28,567.67 at 2.79%. We paid $0 extra towards our auto loan principal this month.  We also have a ski boat with a loan balance of $47,333.11 at 5.24%. 

Credit Card Balance

All of our credit card debt is paid in full each month.

Income Statement

March 2020 Income Statement

In March, we had an awesome income month and a reasonable expense month considering the income (see spreadsheet screenshot).

Our total income in March was $29,578.19.  In addition to our regular paychecks, I received a monthly bonus of $1,811.88 gross ($994.65 net) and my wife received a bonus of $18,649.36 gross ($14,352.39 net).  My wife also received $646.57 in auto allowance / mileage reimbursements, $300 in gift credit cards and $46.99 in internet reimbursements.  We received a state tax refund of $4,822.  We also earned $11.19 in interest income from our savings accounts.

This month, our expenses totaled $21,293.93.  Because of the coronavirus, we stocked up on food and essentials this month.  Some big ticket items include $3,886 for groceries, $2,356 for household items and $762 in home maintenance.

Next month my wife should receive a discretionary bonus from her company.

Net Worth

March 2020 Net Worth Update (-38,837.58)

Overall

As expected, March was a rough month for our net worth.  Our net worth decreased $38,837.58 from last month to a total of $765,419.53 (see spreadsheet screenshot). 

Retirement Accounts

Our retirement accounts are comprised of our 401(k)s, our Roth IRAs and our Traditional IRAs.  We contribute 8% to my wife’s 401(k).  My wife’s company matches up to 5% of her 401(K) contribution (100% vested when deposited) and chips in an additional 5% on top of the match in March (vests over 3 years). This month, we contributed $1,938.55 to her 401(k) and her company deposited her annual match of $12,762.78.  We contribute 11% to my 401(k) and my company matches up to 4% and deposits the match in March (100% vested when deposited).  This month, we contributed $622.39 to my 401(k) and my company deposited my annual match of $3,175.09.  The total balance of our retirement accounts decreased $31,834.46 from last month to a total of $332,355.85.   

Brokerage Account

Currently, our brokerage account consists of a handful of stocks and cryptocurrency (I prefer to track crypto in the “Brokerage Accounts” field rather than “Cash & Savings Accounts”).  The total current value is $19,592.01, down $4,983.90 from last month.

Cash & Savings Account

Cash and savings accounts consists of a small sum of cash at home and our online savings accounts balance. It does not include our checking account balance that we use to pay our bills each month.  Our savings increased $476.63 this month to a total of $10,990.58.

College Savings Accounts

Our kids have 529 Plans through Vanguard.  This month, we contributed $750 to our son’s 529 Plan and it decreased $4,003.14 from last month to a total balance of $24,045.49.  We contributed $750 to our daughter’s 529 Plan and it decreased $1,891.23 from last month to a total balance of $14,711.24.

Home

We use the $528K purchase price that we paid in July 2016 for our home value.  Current comps in the area are ~$580K.  The current balance of our 15-year, 2.875% mortgage loan is $183,780.24.  We paid $2,100 extra towards our home mortgage principal this month.

Vehicles

My company provides me a vehicle and gas card.  My wife has a 2017 SUV with ~80,000 miles.  Her company gives her $300/month auto allowance and $0.53/mile reimbursement. The loan balance on my wife’s car is $29,218.01 at 2.79%. We paid $100 extra towards our auto loan principal this month.  We also have a ski boat with a loan balance of $47,606.57 at 5.24%. 

Credit Card Balance

All of our credit card debt is paid in full each month.

Income Statement

February 2020 Income Statement

In February, we had a good income month and a good (relatively low) expense month (see spreadsheet screenshot).

Our total income in February was $14,424.37.  In addition to our regular paychecks, I received a monthly bonus of $2,075 gross ($1,139.08 net) and my wife received an award bonus of $3,383 gross ($2,000 net).  My wife also received $509.50 in auto allowance / mileage reimbursements and $46.99 in internet reimbursements.  We also earned $15.44 in interest income from our savings accounts.

This month, our expenses totaled $14,131.27.  Some big ticket items include $1,014.08 in auto insurance, $340 in car servicing (brakes) and $396 in prescriptions.

Next month my wife should receive a $10K-$20K bonus from her company.

Net Worth

February 2020 Net Worth Update (-42,828.74)

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Overall

February was a tough month for our net worth.  At one point during the month, we passed our net worth milestones of $850K.  By the end of February, our net worth had plummeted.  Our net worth decreased $42,828.74 from last month to a total of $804,257.11 (see spreadsheet screenshot). 

Retirement Accounts

Our retirement accounts are comprised of our 401(k)s, our Roth IRAs and our Traditional IRAs.  We contribute 7% to my wife’s 401(k).  My wife’s company matches up to 5% of her 401(K) contribution (100% vested when deposited) and chips in an additional 5% on top of the match in March (vests over 3 years). This month, we contributed $847.84 to her 401(k).  We contribute 11% to my 401(k) and my company matches up to 4% and deposits the match in March (100% vested when deposited).  This month, we contributed $651.33 to my 401(k).  The total balance of our retirement accounts decreased $34,963.77 from last month to a total of $364.190.31.   

Brokerage Account

Currently, our brokerage account consists of a handful of stocks and cryptocurrency (I prefer to track crypto in the “Brokerage Accounts” field rather than “Cash & Savings Accounts”).  The total current value is $24,57591, up $513.58 from last month.

Cash & Savings Account

Cash and savings accounts consists of a small sum of cash at home and our online savings accounts balance. It does not include our checking account balance that we use to pay our bills each month.  We had to dip into our savings again so it decreased $4,520.00 this month to a total of $10,513.95.

College Savings Accounts

Our kids have 529 Plans through Vanguard.  This month, we contributed $0 to our son’s 529 Plan and it decreased $3,451.07 from last month to a total balance of $28,048.63.  We contributed $0 to our daughter’s 529 Plan and it decreased $2,045.84 from last month to a total balance of $16,602.47.

Home

We use the $528K purchase price that we paid in July 2016 for our home value.  Current comps in the area are ~$580K.  The current balance of our 15-year, 2.875% mortgage loan is $187.218.47.  We paid $300 extra towards our home mortgage principal this month.

Vehicles

My company provides me a vehicle and gas card.  My wife has a 2017 SUV with ~75,000 miles.  Her company gives her $300/month auto allowance and $0.53/mile reimbursement. The loan balance on my wife’s car is $29,960.18 at 2.79%. We paid $100 extra towards our auto loan principal this month.  We also have a ski boat with a loan balance of $47,797.71 at 5.24%. 

Credit Card Balance

All of our credit card debt is paid in full each month.

Income Statement

January 2020 Income Statement

In January, we had a good income month and but also a high expense month (see spreadsheet screenshot).

Our total income in January was $14,652.22.  In addition to our regular paychecks, I received a monthly and quarterly bonus $5,100 gross ($2,799.70 net) and my wife received a discretionary bonus of $1,000 gross ($533.69 net).  My wife also received $1,072.85 in auto allowance / mileage reimbursements, $600 in gym reimbursements and $46.99 in internet reimbursements.  We also earned $19.32 in interest income from our savings accounts.

This month, our expenses totaled $16,369.68, meaning we spent more than we earned.  Never a good thing.  Big ticket items include $1,326 in gym memberships, $685 in life insurance and $648 in vacation

Next month is a bit of a question mark.  We have been in the process of a home insurance claim and could possibly receive a decent chunk of money for repairs.

Net Worth

January 2020 Net Worth Update (+17,380.49)

Overall
January was an amazing start to 2020! We were blessed to pass our net worth milestones of $830K and $840K this month. Our net worth increased $17,380.49 from last month to a total of $847,085.85 (see spreadsheet screenshot).


Retirement Accounts
Our retirement accounts are comprised of our 401(k)s, our Roth IRAs and our Traditional IRAs. We contribute 7% to my wife’s 401(k). My wife’s company matches up to 5% of her 401(K) contribution (100% vested when deposited) and chips in an additional 5% on top of the match in March (vests over 3 years). This month, we contributed $847.84 to her 401(k). We contribute 11% to my 401(k) and my company matches up to 4% and deposits the match in March (100% vested when deposited). This month, we contributed $984.88 to my 401(k). The total balance of our retirement accounts increased $12,897.13 from last month to a total of $399,154.08.


Brokerage Account
Currently, our brokerage account consists of a handful of stocks and cryptocurrency (I prefer to track crypto in the “Brokerage Accounts” field rather than “Cash & Savings Accounts”). The total current value is $24,062.33, up $6,393.77 from last month.


Cash & Savings Account
Cash and savings accounts consists of a small sum of cash at home and our online savings accounts balance. It does not include our checking account balance that we use to pay our bills each month. We had to dip into our savings so it decreased $4,990.59 this month to a total of $15,033.95.


College Savings Accounts
Our kids have 529 Plans through Vanguard. This month, we contributed $100 to our son’s 529 Plan and it increased $940.09 from last month to a total balance of $31,499.70. We contributed $100 to our daughter’s 529 Plan and it increased $597.92 from last month to a total balance of $18,648.31.


Home
We use the $528K purchase price that we paid in July 2016 for our home value. Current comps in the area are ~$580K. The current balance of our 15-year, 2.875% mortgage loan is $188,852.78. We paid $300 extra towards our home mortgage principal this month.


Vehicles
My company provides me a vehicle and gas card. My wife has a 2017 SUV with ~70,000 miles. Her company gives her $300/month auto allowance and $0.53/mile reimbursement. The loan balance on my wife’s car is $30,675.13 at 2.79%. We paid $100 extra towards our auto loan principal this month. We also have a ski boat with a loan balance of $48,069.66 at 5.24%.

Credit Card Balance
All of our credit card debt is paid in full each month.

Goals

2020 FINANCIAL GOALS

Happy New Year! Somehow I forgot to post our 2020 financial goals earlier this month. 2019 was an amazing year and we hope to conquer some exciting financial goals in 2020. Here they are:


1) Pass our 2024 Net Worth Goal
We ended 2019 with a net worth of $829,705, over 4 years ahead of our 2019 net worth goal. We would like to maintain this lead and end 2020 with a net worth over $891,500 (our 2024 net worth goal).

2) Increase total retirement savings to $475K
We ended 2019 with $386K in retirement savings. We are shooting to increase that to $475K by the end of 2020. Much of our success will depend on the market and “extra” contributions from our bonuses.

3)Create a family trust or will
We missed this one in 2019 and are going to try again to create a family trust in 2020.


4) Contribute $3,000 to 529 Plans ($1,500 for each child)
We hope to contribute $1,500 to each of our kid’s 529 Plans. Our son is currently 8-years-old with a 529 Plan balance of $30,559 and our daughter is 5-years-old with a 529 Plan balance of $18,050. We would like to continue to grow these accounts while they are relatively young.

5) Building savings account balance to $25,000
In 2019, we did a good job increasing our savings to $20,000. We hope to build on this progress by getting our savings to $25,000 in 2020. We ended 2019 with $20,024 in savings.