Skip to main content

Net Worth Update for End of June

Net Worth

June has marked a serious improvement for net worth. Largely due to some unexpected income, It was possible to make a serious dent in a student loan. The remainder of this loan is sitting on a zero percent credit card for a few more months and large payments are now going to be directed at it in an attempt to pay it off before the end of the year. That may or may not be a reasonable goal, but I expect that it is.

http://www.networthiq.com/people/easychange

Business investments continue to do well. I'm satisfied with my paypal interest rate as well as the amount of savings that is now accumulated. I'm also happy with Prosper, of late. The total savings means that given a job loss that there is easily 6 months of expenses saved. This is a huge milestone in terms of emergency fund planning. Of course this will continue to go up and down, but knowing that there is a real cash cushion is something that everyone should be striving for in my opinion.

New Thinking

I'm rereading Rich Dad for the third time this year and I am struck by the simple notion that fear and greed are the emotions that trap us when it comes to our money. I find that this is absolutely true for me. Last year I felt afraid and had no control over my financial situation. Now, I feel empowered. I have educated myself and continue to do so. I am continuously working to realize my dreams -- and accumulating the wealth necessary for them.

This has resulted in watching the following Finance Metrics like a hawk:

1. Total Net Worth
2. Total Free Cash Flow (monthly - budgetting)
3. Savings Rate (savings to income ratio)
4. Retirement Projections (contributions and how much you plan to have when you retire - monthly income)
5. Goal Progress (debt reduction)

As a result of tracking all of these metrics, it becomes much easier to find holes in the financial situation. If you are not sure where your holes are in your budget, I'd ask if you are tracking these figures. I feel that tracking these over time gives me real data that tells me if I am moving down the correct path with personal finances AND if I am making enough progress.

The real issue for many is that they aren't moving fast enough and are doing nothing to pick up the pace. Time is a huge factor when you consider compound interest. Once I really understood that, it has made me ravenous in terms of finding additional income and other ways to accelerate my progress.

Net Worth News

In major news, Bill Gates is no longer the richest man in the world. He has been ousted by Carlos Slim. If you're curious who the richest people in tech are, check out the link:

http://mashable.com/2007/07/04/10-richest-people-in-tech/
Labels:

Comments

Post a Comment

Popular posts from this blog

Blogging WealthTrack: Christine Benz (Retire Early? Or not?)

 This morning I've watched an interesting video on Consuelo Mack: WealthTrack. Here, Consuelo's guest, a longtime contributor, Christine Benz, a personal finance expert from Morningstar joined Consuelo for a discussion on issues related to retirement, in particular in the current market environments. This conversation is even more interesting against the backdrop of The Great Resignation. I found Christine's advice to be particularly interesting on a couple of fronts. Her advice in dealing with talking about retirement in general, in particular for people who are in the process of thinking about retiring early gave me pause. She is considering the traditional advice of a 4 percent withdrawal rate to be dangerous and indeed, actually concerning. According to the recent research she cites, a 3% withdrawal rate is a better option. Even more than the four percent rule, I think that her comments on annuities are particularly interesting. While annuities have been given a bad nam
Post a Comment
Read more

More Money Into Ibonds

 At this point, it seems like a well-known strategy for handling inflation: ibonds. While there was not much press about this, it is in fact something that I did late last year in order to capitalize on the fact that this interest rate was bound for up to 10000 dollars as part of my allotment for 2021. Then now that we're in the new year, I have moved another 10000 into the account. All of this can be done easily at http://treasurydirect.gov if you're willing to give up the fact that the money is locked up, that the interest rates to be paid will be somewhat lower than you could earn in the market, and you're able to ensure that you're not needing the money for the near future.  For me personally, I find that this is a great way to lock up about 25% of my emergency (safe) money instead of putting it into a High Yield Savings account. This interest rate changes every six months, but even if it is much lower, I think that we're going to be in much better shape than if
Post a Comment
Read more

Credit Report Review

So, one of the things that I've started doing is trying to pull my credit reports at regular 4 month intervals so that I get a free one frequently to make sure that things are progressing as I'd like them to and also as a safeguard against identity theft. Of course, the part that I don't like is that these reports don't include a fico score - the key number when it comes to determining if you are going to be extended credit and at what interest rate. This time, I got the report from Equifax - I went to the end of the process and for 8 dollars more I could get my credit score. And the Equifax gave me a credit score of 742. This of course is not even close to the perfect score of 850 when it comes to fico score nirvana, but 742 is still a respectable fico score. Things to improve are basically lowering my balances on my credit cards and loans, which I already have a plan for. And also I noticed that the amount that I paid off on one of my loans is actually still being rep
4 comments
Read more