This page may contain affiliate links. Please read my disclosures for more info.
Heyyy! Happy Friday.
It’s also time to review our finances and share with you our monthly net worth report.
Sharing this net worth report helps us analyze where our trends are, what’s going well, and what needs improvement.
It’s a time to make sure we’re moving in an upward direction over time.
Heads up: This page may contain affiliate links. You can check out my disclosures for more details.
May 2018 Net Worth Report
In the one month after I published our first net worth report, our wealth has grown by $6,582.
With an annual income of $88,000, I am happy with this number!
What drove the increase? A few things helped us this month:
- We contributed 15% of our gross incomes to retirement accounts + the markets were up this month
- Nick’s employer paid him 3 paychecks this month, which we used to invest and pay down our mortgage
- We don’t owe consumer debt (auto, student, credit, personal or other) of any kind
Our net worth increased about 3.58%.
It varies often based on what Zillow says our home’s value is.
While I don’t think Zillow’s estimate is substantially different from what the market’s doing in our area, I don’t rely on it 100%.
Any home’s value is only worth what a ready and willing buyer will pay for it.
As long as our home makes up the majority of our worth, we will continue to see wide variations based on what the markets in our area are doing.
Knowing this also means working to get our other investments up when possible.
Our plan for now is to keep paying off the house. Once it’s paid off, we’ll focus aggressively on investments.
It’ll be a great feeling when our home is less than 25% of our net worth. 🙂
The graph above shows where our money is invested.
Am I a little nervous that so much of our assets are tied up in one home?
That said, there’s risk with any purchase and we’d need to pay the debt as long as we live in the home.
With homeowners insurance and a financial plan in place, we’re doing our best to minimize unnecessary risk.
With a bit of luck, I believe that we’ll be able to pay for this home and then transition to investing aggressively.
With a paid for home at 28, I feel comfortable with hopefully 50+ years of investing ahead of us.
Some wins during the month were
- Nick passed his engineering licensing exams, which makes him eligible for a raise later this year (hopefully)
- We spent more time than normal with friends we love dearly
- Nick and I bought and planted this beautiful water saver, low maintenance plant for our front yard to cover up an ugly electrical box
- We learned about more frugal made from scratch meals that met Terin’s food allergy needs
- My surgeon refunded us some money from my surgery, which went directly to debt
Some of the challenges this month were
- With two 8-hour trips to Denver, we used the debit card for convenience foods more than I would have liked this month. I’ve been on a Hippeas kick since they taste so good and are a rare allergy friendly food baby Terin can tolerate
- We paid for a few items (downtown parking, travel food, etc.) while in Denver that we didn’t originally factor into our budget
- Gas prices have gone up to $3 a gallon, making us want to optimize our trips as much as possible
Goals for June Net Worth
My goal for June is to be more mindful of the little purchases and try to plan ahead as much as possible.
I want to spend mindfully during road trips to keep us reaching our bigger goals.
I don’t expect to pay this much on our debt next month. We are paying for property taxes, a rental car in Alaska and other items.
If we’re lucky, we’ll get maybe $1,000 on the mortgage.
Nick will be working some overtime and a raise is in the works since he passed his engineering exams. I’m praying it goes well.
May was great, here’s to a better June!