Income Statement

May 2012 Income Statement

May was an excellent income month and a large expense month (click on spreadsheet below). 

Our total income for May was $11,571.83.  In addition to our regular paychecks, I received a third “extra” paycheck this month and my awesome wife earning a quarterly bonus of $2,325 gross ($1,937.89 net).   My wife also received $43 in company reimbursements, we received $75 in credit card rewards, and we earned $2.47 in interest income from our online savings account.  I want to take a moment to say that we feel very blessed.  This income allows us to pay our mortgage, save for retirement, live a comfortable lifestyle, etc. and it is only because of God.  We do not deserve it, but pray that we use it to His glory.

In May we spent a total of $9,282.48.  Leading the way was a whopping $1,470.47 in purchases for household items; I guess we’re not buying stuff for our new place J.  Some other large, infrequent expense include: $354.90 for clothing, $230 in extra nanny pay (overtime) and $185.44 for a hotel.
June should be another good income month, led by an “extra” third paycheck for my wife (after I just received 3 paychecks in May).  We will continue to use this “extra” money to pay down our 0% credit card debit.




Net Worth

May 2012 Net Worth Update (+1,636.22)

In May, our Net Worth increased $1,636.22 from last month, to a total of $163,358.76 (click on spreadsheet below). 

What Worked

We increased our savings account $1,550.47 to $5,140.41, thanks primarily to my wife earning a $2,325 gross ($1,937.89 net) quarterly bonus.  We also paid $1,250 off on our 0% credit card debt, which is now down to $7,191.35. I started a small vegetable garden in our backyard.  This is our first step toward growing some of our own food and hopefully saving money long-termJ.

What Didn’t Work
We contributed a total of $2,076.20 our retirement accounts, but saw them decrease $1,462.84 to $50,761.30 total.

Next Month
June may be another good month because my wife receives a third “extra” check.  This should allow us to pay another good chuck off of our 0% credit card debt.  Knocking down that credit card debt is our #1 financial goal right now.


Income Statement

April 2012 Income Statement

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Things are starting to settle down a bit.  April brought an average income month and, thankfully, decreased spending (click on spreadsheet below). 

Our total income for April was $7,591.52.  Our regular paychecks saw a bit of an increase this month in the form of a 1% raise for me ($704.60/year) and my wife changing her filing status to M2 ($200.15 net increase per check that began her 2nd check of the month).  We received $50 in credit card rewards, $43 tax refunds ($41 Fed & $2 State), a $50 gift to our baby’s 529 Plan, and earned $1.77 in interest income from our online savings account. 

Well, our downward trend of spending continues.  In March we spent a total of $7,284.95, higher than our budget of  $6,070.89, but far lower than what we’ve been spending the past 3 months: $22,902.72 in Jan., $14,038.03 in Feb., and $9,560.04 in Mar. 

May should be a good income month, led by an “extra” third paycheck for me.  This extra money should help get us back on track somewhat.  We’ve been putting off having our security camera system installed ($850), but we may get around to it in May.



Net Worth

April 2012 Net Worth Update (+2,363.13)

2 Comments
In April, our Net Worth increased $2,363.13 from last month, to a total of $161,722.54 (click on spreadsheet below). 
What Worked
We had a great visit with my family when they came into town.  My father passed away two weeks after the visit, so it was very nice to see him one last time.  His passing is a reminder to me that saving for retirement is important, but so is enjoying your life along the way. 
What Didn’t Work
We contributed a total of $1,434.26 our retirement accounts, but only saw them increase $781.27 to $52,224.14 total.
Next Month
May will hopefully be an opportunity to pay down some of our 0% credit card debt since I receive a third “extra” check.  We have until April 2013 for the 0% interest offer, but want to get it paid off as soon as possible.



Income Statement

February 2012 Income Statement

We continued our spending spree in March, albeit at a reduced rate. Our income was fairly typical (click on spreadsheet below).

Our total income for March was $7,484.97. In addition to our regular paychecks, my wife received $131.92 in reimbursements from her company (includes February internet & meal and March internet). We also received $75 in credit card rewards, a $35 rebate for purchasing an energy efficient washer, and earned $1.37 in interest income from our online savings account.

We did a little more shopping in March for our new home and spent a total of $9,560.07. Our spending over the past three months has been shocking: $22,902.72 in January, $14,038.03 in February, and $9,560.04 in March. At least the trend is going in the right direction. Some of the larger one-time expenses in March included $667.63 for ADT security installation, $400 for a security door, and $275 to our tax accountant.

Next month my check will be a smidge larger thanks to a 1% raise that my company provided all employees. This is a good sign as we have not had any raises for 4 years. The only large, non-reoccurring expense planned in April is $850 for a security camera system installation.

Net Worth

March 2012 Net Worth Update (+1,646.26)

You will notice a correction to our mortgage balance in February. I mistakenly applied our March payment to our February figures. Even with our excessive spending in March, our Net Worth increased $1,646.26 from last month, to a total of $159,359.41 (click on spreadsheet below).
What Worked
We contributed a total of $1,434.26 our retirement accounts, and saw them increase $2,558.50 to $51,505.87 total. Our first mortgage payment went through reducing our mortgage debt by $589.21. Baby steps…
What Didn’t Work
As expected, our zero percent interest card (0% for 15 months) balance rose $7,065.02 to $8,541.35. This is not as much as the $3,000 that I forecast, but going the wrong direction nevertheless. I wish I could say this was going to go away soon, but realistically, we are months from having it paid off.
Next Month
April will be a fun month because my family is coming into town. It will be nice for them to see our new baby again and to get to show them our new house. Financially, it might not be as exciting as we continue to try and dig our way out of our 0% credit card debt.
Income Statement

February 2012 Income Statement

1 Comment
We had another very high spending month in February and an above average income month (click on spreadsheet below).
Our total income for February was $8,940.28. In addition to our regular paychecks, my wife earned a $868.27 gross ($723.70 net) quarterly bonus. We also received a $701.43 auto insurance refund, $200.41 rental insurance refund, and $225 in credit card rewards. We earned $0.65 in interest income from our online savings account. My wife’s February reimbursement from her company will arrive in March.
We spent a total of $13,038.03 in February; our fourth largest spending month since we began tracking in March 2007. Two large, non-recurring expenses include $6,497.54 for furniture and $3,744.40 for household items (for the new house).
I thought that we might have all of our major home items purchased in February, but we still need to have our security camera system install, a security door in the garage installed, and our ADT alarm system installed. We put a high value on security, so this money will be well spent. Sadly, our income will not keep pace with our spending in March, so we will be adding to our 0% credit card debt 🙁
Net Worth

February 2012 Net Worth Update (-1,556.74)

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February was another month of heavy spending, resulting in a drop in our net worth of $1,556.74 from last month, to a total of $158,302.36 (click on spreadsheet below).

What Worked

We contributed a total of $1,434.26 our retirement accounts, and saw them increase $3,061.88 to $48,947.37 total. Our savings account also increased from $1,830.39 to $2,608.15. Our first mortgage payment went through reducing our mortgage debt by $589.21.

CORRECTION: Our first mortgage payment was for our March bill and should not have been included in our February numbers. I will correct the spreadsheet before posting our March Net Worth Update.

What Didn’t Work

In February, we did something we haven’t done in a LONG time: we went into credit card debt. We ended the month owing $7,065.02 to a zero percent interest card (0% for 15 months) to buy more furniture/house stuff. We have roughly $3,000 more in furniture/house stuff that we need to buy and then we’re done. I promise.

Next Month

March will get us one step closer to getting back on track, but we’ll still be spending more than saving.

Income Statement

December 2012 Income Statement

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January was a CRAZY expense month and, thankfully, a very good largest income month (click on spreadsheet below).

Our total income for January was $13,358.37, our 4th largest income month ever. In addition to my two regular paychecks, my wife received $632.86 in Paid Family Leave (had a baby via C-section) and $2,586.22 in paychecks from her company. We also received a $2,050 rental deposit refund, $2,588.75 mortgage refund, $1,000 move in gift, $500 hospital refund, $254.24 in credit card rewards, $100 from selling items on craigslist, and a $20 sitter sittercity.com refund. After wiping out our savings for the down payment, we earned $0.02 in interest income from our meger online savings account.

We spent a total of $22,902.72 in January; by far the most money we’ve spent in one month. We expected this to be the case and sold our recreational vehicle and other items to pay for a great deal of it. Some of the substantial outlays include $12,251.68 for furniture, $3,542.51 for household items (for the new house), $1,010 for our nanny (includes some weekend work), $694.31 for home repair/maintenance items, and $685 for 6 months of prepaid 20 year term insurance for wife and me.

The shopping will continue in February, as we have much more “stuff” to buy for our home. I expect that the spending will begin to settle down in March, and it needs to because we cannot sustain our current level of spending for long. Our income has been much higher than normal the past two months, but should return to its normal level in February.

Net Worth

January 2012 Net Worth Update (-4,962.60)

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Due to heavy, heavy spending in January, our net worth dropped $4,962.60 from last month, to a total of $159,859.10 (click on spreadsheet below).

What Worked
We have a another asset on our balance sheet – our new home! Moving is always exhausting, but we are finally getting settled in. Beyond the home, we contributed $220 to our son’s 529 Plan thanks to gifts from our parents and aunts. We contributed a total of $1,280.42 our retirement accounts, and saw them increase $3,940.79 to $45,885.49 total. My wife’s company contributed $1,256.63 in company match and profit sharing to her 401(k). I did not include them in the balance sheet because the vesting is 3 years and 6 years, respectively.

What Didn’t Work
Money flew out of our saving faster in January than any time before. Beyond the $97,800 down payment that we put on our new home, we also spent ~$15,000 on furniture and items for the house.

Next Month
It was fun splurging, but now we need to tone it back down. For the next couple of months, our expenses will continue to be higher than normal as we buy things for the house, but January was the BIG spending month.

Our path to financial independence and retiring early.