Goals

Review of 2017 Financial Goals

Happy New Year!  We had an amazing 2017:  My wife and I both started great new jobs, we invested in quality family time, and our net worth skyrocketed.  Interestingly, we still only hit three of our five financial goals (details below).  I will be posting our 2018 financial goals shortly.

1) Pass our 2020 Net Worth Goal – SUCCESS
Going into 2017 with a net worth of $517,430, we were tracking ~3 years ahead of our net worth targets.  We had hoped to maintain this lead and end 2017 above our 2020 net worth goal of $575,800.  We were very blessed to end 2017 with a net worth of $641,732!  That puts us ~4 years ahead of our net worth targets (our 2021 goal is $645,800)!

2) Start tithing again – SUCCESS
We failed to make it to church very consistently but we did succeed in giving $200/month in 2017.  Now we have to fix our attendance…

3) Pay $5,000 extra towards mortgage principal – SUCCESS
We were able to pay $5,650 extra towards mortgage principal in 2017.  Our current mortgage balance is $234,182 on our 15-year mortgage (2.875%).  That puts us on track to pay it off 10-11 years after purchasing it in July 2016. 

4) Contribute $6,000 to 529 Plans ($3,000 for each child) – FAIL
We decided early in 2017 to abandon this goal so that we could purchase a boat to enjoy as a family.  We’ve been so financial focused that we quit having very much fun as a family.  The boat has been a fun, albeit expense, way to send time together and with friends.  That being said we were still able to contributed $700 to our son’s plan and $700 to our daughter’s plan. Our 6-year-old son’s 529 Plan has a balance of $21,642.82 and our 3-year-old daughter’s 529 Plan has a balance of $11,141.03.  

5) Building savings account balance to $20,000 – FAIL
We ended 2017 with $9,433.75 in savings. We got very close to the $20K goal in June with $17,309.22 in savings.  We had plenty of chances to exceed the $20K goal but we started pulling out more than we were putting in, including the following:

·        $12K down payment for SUV

·        $15K down payment for boat

·        $5K moved into brokerage and cryptocurrency accounts

Income Statement

December 2017 Income Statement

December was a terrific income month but also a high expense month (see spreadsheet screenshot).

Our total income in December was $18,756.57.  In addition to our regular paychecks, my wife received a quarterly bonus of 8,077.44 gross ($4,519.27 net). I received a monthly bonus of $2,222.41 gross ($1,254.10 net), and I received a 3rd “extra” paycheck. My wife received a $915.54 auto allowance / mileage reimbursement and I received a $450 auto allowance.  We earned $4.28 in interest income from our savings accounts.

This month, our expenses totaled $13,135.10, almost the same amount that we spent last month (and that is not good).  Big ticket items include $805 in doctor/dental bills, $562 in entertainment, and $640 in gifts.

Next month should be another good income month since I will receive a good quarterly bonus.

dec 2017 income statement

Net Worth

December 2017 Net Worth Update (+$10,203.97)

dec 2017 net worth

Overall

In December, our net worth increased $10,203.97 from last month to a total of $641,732.04 (see spreadsheet screenshot).

Retirement Accounts

Our retirement accounts are comprised of our 401(k)s, our Roth IRAs and our Traditional IRAs.  We contribute 5% to my wife’s 401(k).  My wife’s new company matches up to 5% of her 401(K) contribution and chips in an additional 5% on top of the match (both 100% vested when deposited in March).  This month, we contribution of $978.86 to her 401(k).  We contribute 5% 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 $370.74 to my 401(k).  The total balance of our retirement accounts increased $726.59 from last month to a total of $267,170.13.

Brokerage Account

Currently, our brokerage account consists of four stocks and some cryptocurrency (I prefer to track it in the “brokerage account” field rather than “Cash & Savings Accounts”.  The total current value is $11,664.96, up $6,794.49 from last month.

Cash & Savings Accounts

Cash and savings accounts consists of a small sum of cash at home and our online savings account balance. It does not include our checking account balance that we use to pay our bills each month.  Our cash and savings accounts increased $1,003.50 this month, bringing the total to $9,433.75.

College Savings Accounts

Our kids have 529 Plans through Vanguard.  This month, we contributed $0 to our son’s 529 Plan and it increased $390.37 from last month to a total balance of $21,642.82.  We contributed $0 to our daughter’s 529 Plan and it increased $201.34 from last month to a total balance of $11,141.03.

Home

We use the $528K purchase price that we paid in July 2016 for our home value.  Current comps in the area are ~$530K.  The current balance of our 15-year, 2.85% mortgage loan is $234,182.34.  We paid $200 extra towards principal this month.

Vehicles

My wife’s 2017 SUV has 10,000 miles.  Her company gives her $300/month auto allowance and $0.53/mile reimbursement. The loan balance on my wife’s car is $46,412.02 at 2.79%. I have a 2012 sedan with 90K miles.  My company gives me a $450/month vehicle allowance and provides me with a gas card.  The loan balance on my car is $9,066.89 at 1.99%.  We also have a ski boat with a loan balance of $54,048.90 at 5.24%.

Credit Card Balance

We do not currently have a credit card balance that is not paid in full each month.

Goals

NET WORTH MILESTONE: $640,000

1 Comment

We just passed our net worth milestones of $640,000! We passed our previous net worth milestone of $630,000 last month.  What an awesome way to end the year!

Our net worth is currently $641,128.86.  Most of our growth this month has come from big gains in the cryptocurrencies that we own.  I will update our chart on the right at the end of the month.  We hope to hit our next net worth goal of $650,000 by next month.

Goals, Uncategorized

NET WORTH MILESTONE: $630,000

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We passed our net worth milestones of $630,000 last month and I didn’t realize it! We’ve been blessed with a new net worth milestone ($10K increments) each month this year. We passed our previous net worth milestone of $620,000 in October.

Our net worth is currently $632,159.81.  I will update our chart on the right at the end of the month.  We hope to hit our next net worth goal of $640,000 in December.

Income Statement

November 2017 Income Statement

November was a good income month but also a high expense month (see spreadsheet screenshot).

Our total income in November was $13,214.91.  In addition to our regular paychecks, I received a monthly and bonus of $1,708.34 gross ($964.01 net) and a $450 monthly auto allowance.  My wife received a $1,580.66 auto allowance / mileage reimbursement and a $44.99 internet reimbursement.  We earned $4.03 in interest income from our savings accounts.

This month, our expenses totaled $13,616.32.  Big ticket items include $509 in clothing, $466 in doctor and dental visits, and $342 in personal care.

Next month should be an awesome income month.  I will receive a 3rd “extra” paycheck, a good monthly bonus and my wife will receive her quarterly bonus.

Nov 2017 income statement

Net Worth

November 2017 Net Worth Update (+$3,478.31)

Nov 2017 Net Worth

Overall

In November, our net worth increased $3,478.31 from last month to a total of $631,528.07 (see spreadsheet screenshot).

Retirement Accounts

Our retirement accounts are comprised of our 401(k)s, our Roth IRAs and our Traditional IRAs.  We contribute 5% to my wife’s 401(k).  My wife’s new company matches up to 5% of her 401(K) contribution and chips in an additional 5% on top of the match (both 100% vested when deposited in March).  This month, we contribution of $575.00 to her 401(k).  We contribute 5% 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 $258.50 to my 401(k).  The total balance of our retirement accounts increased $7,031.64 from last month to a total of $266,443.54.

Brokerage Account

Currently, our brokerage account consists of four stocks and some cryptocurrency (I prefer to track it in the “brokerage account” field rather than “Cash & Savings Accounts”.  This month, we liquidated our position in Bitcoin for an 80% gain.  We will buy back in when it dips back down.  The total current value is $2,919.90, up $347.65 from last month $266,443.54.

Cash & Savings Accounts

Cash and savings accounts consists of a small sum of cash at home and our online savings account balance. It does not include our checking account balance that we use to pay our bills each month.  Our cash and savings accounts decreased $7,495.46 this month, bringing the total to $8,430.25.

College Savings Accounts

Our kids have 529 Plans through Vanguard.  This month, we contributed $100 to our son’s 529 Plan and it increased $732.24 from last month to a total balance of $21,252.45.  We contributed $150 to our daughter’s 529 Plan and it increased $434.42 from last month to a total balance of $11,407.77.

Home

We use the $528K purchase price that we paid in July 2016 for our home value.  Current comps in the area are ~$530K.  The current balance of our 15-year, 2.85% mortgage loan is $235,604.64.  We paid $200 extra towards principal this month.

Vehicles

My wife’s 2017 SUV has 10,000 miles.  Her company gives her $300/month auto allowance and $0.53/mile reimbursement. The loan balance on my wife’s car is $470,13.11 at 2.79%. I have a 2012 sedan with 90K miles.  My company gives me a $450/month vehicle allowance and provides me with a gas card.  The loan balance on my car is $9,258.82 at 1.99%.  We also have a ski boat with a loan balance of $54,298.93 at 5.24%.

Credit Card Balance

We do not currently have a credit card balance that is not paid in full each month.

Income Statement

October 2017 Income Statement

October was a very strong income month but also a high expense month (see spreadsheet screenshot).

Our total income in October was $14,380.05.  In addition to our regular paychecks, I received a monthly and quarterly bonus of $3,958.33 gross ($2.233.69 net) and a $450 monthly auto allowance.  My wife my wife received a $1,475.81 auto allowance / mileage reimbursement and a $44.99 internet reimbursement.  We earned $4.34 in interest income from our savings accounts.

This month, our expenses totaled $12,561.13.  Big ticket items include $2099 in boat items (anchor, life vests, etc), $1,825 in household items, and $454 in clothing.

Next month should return to a regular income and expense month.

oct 2017 income statement

Net Worth

October 2017 Net Worth Update (+$24,372.42)

oct 2017 net worth

Overall

In October, our net worth increased $24,372.42 from last month to a total of $628,049.76 (see spreadsheet screenshot).  We passed our $610K  and $620K net worth milestones this month.

Retirement Accounts

Our retirement accounts are comprised of our 401(k)s, our Roth IRAs and our Traditional IRAs.  We contribute 5% to my wife’s 401(k).  My wife’s new company matches up to 5% of her 401(K) contribution and chips in an additional 5% on top of the match (both 100% vested when deposited in March).  This month, we contribution of $575.00 to her 401(k).  We contribute 5% 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 $371 to my 401(k).  The total balance of our retirement accounts increased $6,148.22 from last month to a total of $259,411.90.

Brokerage Account

Currently, our brokerage account consists of three stocks and some BTC, ETH & LTC cryptocurrency (I prefer to track it in the “brokerage account” field rather than “Cash & Savings Accounts”.  The total current value is $2,919.90, up $347.65 from last month.

Cash & Savings Accounts

Cash and savings accounts consists of a small sum of cash at home and our online savings account balance. It does not include our checking account balance that we use to pay our bills each month.  Our cash and savings accounts increased $4.34 this month, bringing the total to $15,925.71.

College Savings Accounts

Our kids have 529 Plans through Vanguard.  This month, we contributed $0 to our son’s 529 Plan and it increased $416.65 from last month to a total balance of $20,520.21.  We contributed $0 to our daughter’s 529 Plan and it increased $253.21 from last month to a total balance of $10,505.27.

Home

We use the $528K purchase price that we paid in July 2016 for our home value.  Current comps in the area are ~$530K.  The current balance of our 15-year, 2.85% mortgage loan is $237,023.54.  We paid $200 extra towards principal this month.

Vehicles

My wife’s 2017 SUV has 10,000 miles.  Her company gives her $300/month auto allowance and $0.53/mile reimbursement. The loan balance on my wife’s car is $47,616.55 at 2.79%. I have a 2012 sedan with 90K miles.  My company gives me a $450/month vehicle allowance and provides me with a gas card.  The loan balance on my car is $9,450.50 at 1.99%.  We bought a $71,101 ski boat this month, putting $15K down.  The loan balance on the boat is $54,301.40 at 5.24%.  We already made some great family memories on the boat.  Love it!

Credit Card Balance

We do not currently have a credit card balance that is not paid in full each month.

Goals

NET WORTH MILESTONE: $620,000

1 Comment

We just passed our net worth milestones of $610,000 and $620,000! We passed our previous net worth milestone of $600,000 last month.  This year has been such a blessing!

Our net worth is currently $624,654.61.  Most of our growth this month came from a large quarterly bonus my wife received that we used to buy a boat with a $15K down payment.  I will update our chart on the right at the end of the month.  We hope to hit our next net worth goal of $630,000 by next month.

Our path to financial independence and retiring early.