Category Archives: Networth

Sept Check-In: HOME STRETCH!!! $920k of $1M Goal

It looks like I will be coming very close to my $1M goal this year.

Current breakdown*:

Cash: $2,915
Debts: $0
Down Payment: $100,000
529: $27,354
Taxable Invest: $435,521
IRA (Roth): $60,930
IRA (Trad/401k): $254,101
Company Stock (after tax est): $40,500
(*does not include husband’s savings of $55k)

Expected Oct-Dec Income: $67,296
Expected Oct-Dec Expenses: $24,000
TOTAL EXPECTED SAVINGS: $43,296
TOTAL EXPECTED NETWORTH EOY: $964,617
TOTAL EOY GOAL: $1,000,000
DIFFERENCE: $35,383

So that $1M goal looks unlikely… but it could happen! I should get close.

Will this be my $1M year? One million is just the start.

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It’s crazy how one turn of good luck (or perhaps a series of turns) can make such a huge difference in your net worth. As you can see from the chart above, my net worth has been gaining steadily since 2007 — but suddenly in the last year it has jumped from $625k in Dec 2018 to $884k in July 2019. That’s kind of insane.

How did my networth increase $259k in 6 months?

Well, it’s mostly paper gains at this point — and given we’re likely headed to a recession, I see the blip up evening out over time. Still, $259k in 6 months — seems impossible, except I have the data to prove it actually happened.

Between the stock market doing well overall and my company stock doing even better, I’m achieving some major milestones faster than I ever though I would. My goal of reaching $1M by 40 now seems like it might be achieved THIS YEAR. It’s possible, depending on when a recession hits. I estimate by the end of the year, I should have another $100k in my various workplace stock plans, which, if the market doesn’t drop, gets me to $984k. That’s close enough that I could hit $1M by the end of 2019 or even before my 36th birthday.

If you add in my husband’s accounts, our overall networth looks even better. Currently, our total net worth (we do not own real estate so this is cash/stocks/bonds only) is 130k (his) + 884k (mine) = $1.01M!!!

So, while I don’t count my husband’s $ in my net worth, if I did, this actually IS the month we crossed the $1M threshold. I feel like I should celebrate or something. I wish my husband was as excited as I am.

It’s funny because when I was 21, I thought $1M was completely unachievable. I also haven’t increased my lifestyle that much. After all, I’m still living in a one bedroom apartment with my husband and 1 year old.

Once my own networth hits $1M, I think I might be willing to move into a larger space. I’d like to get to $1.5M (doable in the next 3 years) before I purchase property. This way if I own a home worth $1.8M, I know I have the $ to pay it off (mostly) if I had to… that’s what financial security is to me. I don’t mind debt, as long as I have the money to cover it available and the debt has very low interest rates. Or, maybe we’ll buy sooner. I think once I get pregnant with #2 it will speed up the process. For now, we like our apartment a lot, and it’s hard to think about moving. Maybe an extra room would give us more quality of life, but it probably would just become a storage room (however, I would like if my husband moved his office/gaming computer out of our bedroom!)

Anyway, I’m celebrating our $1M here because my husband doesn’t care and it’s a pretty big deal. I certainly don’t feel rich at all, but I feel like we’ve achieved the first major milestone to wealth. Wealth to me is not buying things you don’t need or designer crap, but it is being able to spend freely on your friends and family without worrying about running out of money now or in retirement. I think about $10M is the amount needed for true wealth based on what I could ever want to spend in life (assuming its invested and about $2M of it is in a home and another $1M or so is paying for my mother’s home and life, since I do want to pay her back for all my parents gave me in my life and hoping I can do this before she gets too old!)

Well, we’re a long way off from $10M, but I finally feel like we’re on our way.

Q1 P&L Report

Better late than never.

This post is a P&L report on my Q1 profit and “loss.” It does not include my husband’s income or spending. (We split household expenses 50/50.)

Key Notes:

  • Maxed our 401k (so overall take home higher since $19k of it was pre-tax)
  • Includes one quarter of RSU vesting (on incredible, fairly life-altering vesting schedule for 3 years if I keep my job and my company keeps performing as well as it has.)
  • I also did not pay enough tax yet but my husband’s income is much lower so it might balance it all out. Making 2x last year at least so we will at least be safe harbor tax wise. Keeping a substantial amount in cash to pay taxes next April.
  • We have about $20k in my son’s 529 plan so have delayed monthly investing more in that, and considering skipping 529 going forward as its tax benefits in CA are not that great, and just keeping my investments in taxable accounts.

Q1 Profit Analysis

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Loss Analysis (Spending)

Notes

  • Household expenses generally split 50/50 – below notes my 50% of household spending + personal spending (i.e. 1/2 rent, food is not included here. Yes, we spend too much on food.)
  • I pay for any travel to visit my family out of my income
  • I pay $1200/month for “childcare” to my husband that he will put into a Solo 401k for his retirement (this includes that amount – since his father watches our son, I “pay” my husband 50% of what daycare would cost, plus $200 a month for doing my laundry… which hasn’t really happened yet. 🙂 )

Spending by Category

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Spending vs Saving

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Monthly P&L

  • Jan: +$29,215 (*includes annual bonus)
  • Feb: +$4,571
  • Mar: +$30,457 (*includes quarterly stock vesting)
  • Q1: +$64,243 

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As noted above, this does not include enough taxes being taken out, so my annual report will be more accurate. I am going to meet with my CPA because we now have the very nice to have problem of having no idea how much in taxes we will owe for the year, since it is all dependent on my quarterly stock vesting amounts. I can estimate but it’s really impossible to know what our stock will be doing in a week at this point, let alone December.

By tracking quarterly, I hope to achieve my goal of $1M in networth by 2020.

Networth Report ($833,655 Q1)

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Target networth rest of year:

Q2: $850,000
Q3: $875,000
Q4: $900,000
2020: $1M Year!!!

New Goal: $1.3M Networth by 2022 (age 38)

In 2008 or so, I had $29k in total net worth. Ten years later, my net worth closed out the year at $625k. Ten years ago I couldn’t fathom having more than $100k in a bank account. At age 24, I was just getting started in my career, making very little, and wondering how on earth to save money.

I started out ahead of many–a college degree with no loans. I’m not sure I’d be where I am today or even close to it if I had massive loans to pay back, because that would have not only cut into my savings, but also likely prevented me from taking some of the risks I’ve taken over the last 10 years that helped me save so aggressively. But, I do try to take a few moments to be grateful for what I have, and how much I’ve been able to save–despite not being able to afford the high cost of living in the Bay Area.

Today, I’m especially grateful that my current path has not only enabled me to hit my goal of saving $500,000 before giving birth to my first child, but also is looking to possibly support my second goal of saving $1M before my second–which was a long shot just years ago.

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The last few months have been especially fruitful, thanks to vesting stock–my first stock vesting period working for a public company–and selling it off immediately. I do not include any unvested stock in my networth calculations since if I lose my job that $ isn’t real. But it’s hard not to fantasize about it being real–even with it being not that much once taxes are taken out–it’s still a substantial amount and can be life-altering given my whole financial strategy is save as much as possible as fast as possible… not for FIRE, but for financial freedom (working PT, consulting, or pursing more risky opportunities, or those that don’t pay as well, in order to help others and/or just spend more time with my family.) And I won’t give up a decent lifestyle today to assume that I’ll have enough money for a frugal one “tomorrow” that doesn’t require working. I want to LIVE today but support a future where I’m not worried about money and can afford a decent lifestyle with a family.

I’m still uncertain what my “number” is. At last estimate it was about $4M-$6M, including a house worth about $1.8M. I still don’t think I’ll EVER get there, but as I set new financial goals for myself along the way, it helps to keep focused on these mini wins towards this major goal. Even if $4M is my “goal” that’s far off.

I had said I wanted to hit $1M by 40. Right now, I’ve sped up that goal to 38 (I’m 35 and a half now.) Within the next 3 years, I’d like to get to that $1M mark. A lot will depend on the volatile markets — if we have a crash, there is no way I’ll get there. If they stay stable or keep growing, there’s a good chance…

  • April net worth: $847k
  • Remaining 2019 stock value after tax: ~$92k
  • 2020 stock value after tax: ~$123k

With saving my stock amounts, and with the markets staying stable, it’s quite possible I’ll get to $1M even earlier… by 37… which actually is my goal since I want my second kid by 37 and I would like to get to $1M before I give birth. I won’t feel any richer for it, but I think with $1M in the bank I’ll start feeling ok about taking a few more risks when it comes to buying a house. Ideally I’d have $1M in the bank (investments) plus enough for downpayment and closing fees in cash. Perhaps I can get there in 3 years. That requires saving $500k in 3 years, or $150k per year.

  • 2019 (35): $92k (stock) + $25k (interest) + $35k (income savings) = $152k
  • 2020 (36): $123k (stock) + $25k (interest) + $35k (income savings) – $50k (IVF) = $123k
  • 2021 (37): $123k (stock) + $25k (interest) + $35k (income savings) – $20k (preschool) = $153k

Total end of 2021: $1.275M. Not quite $1.3M, but close. Close enough where at that point I’d be willing to put $300k down on a $1.5M house and have $1M in the bank as a safety net.

Past 2021, my savings will go down again… my stock will be vested and it’s unlikely I will find another job where I make anywhere near this much. If I can keep this job until the end of 2021, I just realized… I’ll be really close to my goal–my new goal– $1.3M by the end of 2021.

BUT – big but here – is that to do that, we need to stay living in our 800 square foot one bedroom apartment rental for the next 3 years/until I have my second child. Maybe that’s crazy–but it won’t be that bad. If it means in 3 years we can buy a house and feel financially stable (ish) then it’s worth it, right?

A Widowed Mother Who Lost Her Wealth (And a Grieving Daughter Trying to Help)

My family was never wealthy, but for my entire life we’ve been more than comfortable–comfortable enough to not pay close attention to our spending. While we never took lavish vacations (unless paid for by points acquired through my father’s work), we didn’t budget. We should have.

As an adult with my own job and an understanding of the value of a dollar (and my motto – no matter how much you make, every cent counts), I’ve managed to build up a networth of over $650k, give or take, at age 35. I want to be proud of that. I want to enjoy this as some sort of accomplishment. But I can’t. I can’t because I feel incredibly guilty and lost when it comes to helping my mother out of the financial mess she is in right now.

Some may look at her situation and say it’s not that bad. I guess it isn’t, but it will be soon if she doesn’t plug up the holes in her sinking ship. Not all of the holes are her fault–but she’s just so delusional and has no ability to stop spending. It is impossible for me to advise her beyond subtle suggestion that she cease spending when my parents paid for my college education, a nice wedding, and an overall nice life. Part of me feels like I ought to help her out and provide the funds to plug up some of those holes. And–most of me knows that even if I were to give her my entire $650k, she’d still find a way to burn through it.

This is a long story… a very long story… and one that is keeping me up at 2am with a newborn who is sleeping so I really ought to be sleeping. I can’t sleep. I can’t do anything but let my mind spin on this giant dilemma, trying to find some sort of solution to the puzzle. There isn’t one that’s pretty or that my mother will agree to. But, after sitting back and letting my recently-deceased father make a mess of the finances in his last years of life (not that I had much say in that, but I could have maybe done something… more on that in a minute)… I feel like NOW I have the opportunity to stop this sinking ship before it reaches the bottom of the ocean.

The picture was looking rather unfortunate on the first go-round of budget vs income that I quickly ran after my father passed away this summer and my mother had to make some decisions about her social security survivor’s benefits (which are confusing as hell, yet to be fully understood, and the subject of another post I’ll write one day.)

As we did more digging, we uncovered that in 2014 there was $1M in an IRA. By 2017, only $400k remained. During that time, there was the purchase of a second home which cost, including renovations, about $100k (or maybe more because my parents seemed to always underestimate the cost of their renovations and not keep tab.) There was my wedding, which, at $50k, was a lovely affair and something that made my dying father beam with joy, but was an event that never should have happened given the financial situation my father either somehow didn’t understand or hid from me and the family. He said, over and over again, he had $50k set aside for my wedding and $50k for my sister’s. He said many things. I’ll never know if he was delusional due to the cancer drugs, unrelated mental illness, old age, or maybe just a serial liar–to not only us but himself.

When he was working he was bringing in good money, at least for a middle class household. Ironically the man who left his family without a stable retirement spent his life’s work as an actuary–planning pensions for companies and accessing risk of running out of money to fund those pensions. I try to find humor in this.

But then, and I guess I didn’t realize this since I was already away at college, he stopped working around age 55 due to his obesity and mobility issues, and then shortly after that began collecting disability. His work paid out nicely for a few years, and also offered a good pension, but the reality was (and where I was blind sighted is) that the amount coming in did not cover the amount spent. I don’t know the exact gap, but it was substantial, and ignored.

Although the wedding was a big expense and the second home purchase wasn’t for pennies,  what really did them in, based on my research into the last 10 years of spending, was their crazy high expenses. My mother, ever in denial, would say she doesn’t spend like rich people do, then come home with piles of clothes “on sale” from Chicos or some “non luxury” store, not to mention a pile of face creams on auto-purchase from QVC and who knows what else. Then, there was the dining out bills, and the $600-a-month house cleaning services (I’ve convinced her to drop that to 2x at $300 a month.)

I’m not one to judge how they spent their money — they had a right to spend it any way they wanted. And I understand my father, facing certain death, wanted to enjoy his limited wealth in his final years. It was just the perfect storm of financial chaos. Even his long term care policy, dutifully paid into for many years, likely costing over $20,000, ended up going unused because he refused to admit he was dying–or, perhaps because he realized that the policy didn’t actually cover enough to not require dipping further into the shrinking retirement savings left.

With this, I’m left to wonder if my father, as ill as he was, didn’t go to doctors outside of his cancer doctor because he hated going to the doctor–or, if part of this was because he couldn’t afford the treatment. In the end it wasn’t the cancer that killed him, but issues with his heart and blood pressure–perhaps related to his cancer treatments, but undoubtedly something he could have had treated better over his life and especially those final years… but he chose to only focus on his cancer. If his goal was to die of something other than cancer, then he succeeded. I’m pretty sure his goal was to live forever and he couldn’t think of the world any other way. I get that, no one wants to admit they’re dying–but when you are facing a terminal illness and are told you have 2 years to live (and then you manage to live more than 10) at the very least you can pick out a funeral plot and prepay for a burial, not leaving your wife to run around to cemeteries the day after you die to pay the highest possible amount for both of your graves (yes, this happened. Yes, I was out-of-my-mind with a one-week-old at this time, trying to provide advice.)

But now–now the biggest issue, and the one I find saddest–is that we’ve uncovered a horrible situation regarding taxes. Taxes unfiled and unpaid. All of the numbers I’ve been running to try to save her primary home in the northeast–which, while worth $500k, has a $200k home equity loan out on it, by the way–were thrown out the window. And I threw my hands in the air. I give up. This is looking bleak. Sure, she can cut all of her spending. She can stop the house cleaning services and limit work on the house to only vital fixes for a while… nothing cosmetic. But even then, she starts dipping into that small $400k IRA immediately–which shrinks to almost nothing after the taxes are paid, and she has nothing left to pay the home equity that comes due in 2020 and flips to principle and interest at 3x what she’s currently paying.

In short, the only real answer is to sell one of the properties, and sooner than either of us would like. I’ve told her clearly that the northeast home, while a place that holds all of my memories as a child, and one I’d love to keep, is a complete money suck and sadly I think it needs to go. She agrees, but wants years to clean it out (she’s a hoarder and my attempts to help her get rid of things on my last visit, outside of taking care of a 3 month old, did not make a lot of progress.) I selfishly want the house to stick around for a while too–although it won’t be the home for my “dream” visits with my family… holiday visits to grandma and grandma — long summer nights with my kid(s) playing in the backyard through the sprinklers, running after fireflies like I did as a child–I thought maybe a smidgen of this could exist.

I know a house is just home and a home is just a house. I’ve lived enough places since leaving that house now… gasp… 18 years ago. I mean, I knew, deep down, we couldn’t hold on to it forever. Mom would move out when dad died at some point. But either time went by too fast or I didn’t think it would be this soon. She clearly wants to stay there… but it’s not possible, especially not with the vacation home as well.

She could potentially sell the vacation home, which would pay off some of the home equity. But she doesn’t want to do that, and I think it wouldn’t be wise anyway–they invested quite a bit in renovating that property and, while it’s small, it is a good place for her to live in her “young” old age. Even though some of her friends still live in our development in the northeast, many are moving away, and few still go to the social gatherings she goes to–whereas the 55+ community with the vacation home is filled with active seniors, at least in the winter months. I’m worried about how she’ll like it there in the summer when it gets extremely hot with violent storms and most of the residents leave to the north–but maybe she’ll be ok. She seems to find people to talk to wherever she goes (or talk “at”, but to her there’s no difference and she’s pleased either way.) So, the financial planner in me says — get her out of the northeast home as fast as possible. Like, yesterday fast.

But she’s committed to not moving until at least 2020, and she still thinks she can make it there much longer. She keeps asking me how long she can stay and I try to explain to her that there’s no exact number because the question becomes how much she needs left in her IRA to grow to afford her lifestyle–AND what is going to happen to her later in life if she needs long term care (since my father cancelled her long term care policy years ago saying it was too expensive.)

Now, she does have an after-tax income of $60k+ per year once she gets full social security benefits. That’s pretty darned good. If she had one home, especially one home that doesn’t cost as much as one with a lot of property and an aging architecture, then maybe she’ll be fine. She can sell the house, pay off the home equity, take the remaining $250k or so to pay off the taxes (est $80k) and family loan ($30k), and then take the remaining $150k and, ideally, invest that somewhere safe, while slowly drawing down the IRA and minimizing tax damage in the future.

She could, alternately, sell the vacation condo and put that money into the northeast home, but the costs are just too high there and she’ll still run out of money. I think with the vacation home she can actually live on her income, even if she wants to travel to visit her grandson or spend some time in NY.

The problem is, the longer she stays in the NJ home, the harder it is to ensure her life when she moves is financially ok. What I don’t want to happen is that she burns through her IRA in a few years because of credit card bills and loans and having to pay this ridiculous amount of taxes that sadly are just so high because of penalties due to my father not filing (yes, getting to that in a minute)…

So the taxes… I really don’t know what happened. My father always, ALWAYS paid the right amount each year. He didn’t always file on time–but if you pay the right amount and don’t file the IRS doesn’t actually care. Somehow, whether on purpose or by massive mistake, he was short about $23k one year and $18k the next. The $42k in taxes owed is crappy, but the penalties on that because it was never fixed are what is extraordinarily sad. For that money, not only did he take too much out of the IRA in two years to cause such high taxes owed, but he ALSO then didn’t pay those taxes or file or anything. I want to ask him WHY? But I can’t. Because, you know, he died. And I’m still dealing with processing that and all these feelings I have around wanting to empathize with him for being such a sad, sick man but also then being angry and grateful and who knows what else–is why I can’t sleep.

I’m now looking at any tax relief available to my mother, but it seems unlikely she will get any help from the IRS. Innocent Spouse theoretically applies to her–my father was abusive to her for years and refused to let her partake in household finances, even when she offered, and later, begged–especially regarding the taxes. He would yell at her and occasionally become violent. There are even police records of this (though not in the years the taxes are owed.) But “innocent spouse,” as far as I can tell, is for partners who lied on their returns. Well, he didn’t file a return, so there’s not much innocent spouse we can claim…

Now there is an abatement of penalty clause where, if you were in good standing the 3 years before the year you failed to file, you can get the penalties waived for that one year. But you only get to do this once. Not only was my father failing to file year after year (always having paid the full amount on time except apparently in 2011 when he had a small payment plan), it’s impossible to know if he already requested this one time penalty abatement. There are no records. He did all of his own taxes. My mother is perplexed–after going through all the of the papers… she says to me, it doesn’t make sense–where are all the taxes? The papers from the IRS?

My theory is he, either strategically or in a rage or in a fit of paranoia, threw them all out one day. Maybe he just straight up lost his mind and got rid of a box of important things by accident. Maybe he realized he did that and was so ashamed he just gave up on ever doing the taxes. Who knows.

One thing is for sure – he refused help–even from his few close friends and his family. And, for a man who said he wanted to leave his family with wealth and ensure his wife was financially ok for the rest of her life (which never made sense to me given how emotionally abusive to her on a daily basis) he sure made quite the mess. He just couldn’t admit he was struggling. He had way too much pride. And, in his final years, he didn’t want to accept his mortality. He told my mother she was overspending, but then he’d overspend himself. He once asked my mother how much my aunt and uncle gave me for my wedding — $500. He immediately wrote out a check to their daughter for $600! It wasn’t about generosity with him, though he’d like you to think it was. It was always about showing off how generous he was.

Even during the year of my wedding–I offered to pay for more of the wedding up front, even if he wanted to pay, so he wouldn’t have to withdraw so much out of his IRA that year. I knew the taxes would be high. No, he said. He was offended by the suggestion. He had the money and he wanted to spend it. Yes, I have guilt for spending it, but I didn’t know how bad things looked. Last I heard there was still $1M in the bank and a home that was paid off. I failed to dig in too much–but as blind as I was with eyes shut to the downfall of the great American dream, my mother seemed to have clawed her eyes out in order to be incapable of looking.

So now what? I have my own life to sort out here. I’m doing well, but have a long way to go. My first batch of RSUs vest in a few weeks… and with that I should have a $50k bonus after tax (should the stock market not completely disintegrate before Christmas) and I could say, you know what, mom, you guys paid for my college and wedding, and now I’m gifting you $50k (or, $15k in 2018 and $15k in 2019 and so on.) But what good would that really do? She needs to understand the value of money. I think I’m starting to get through to her a little bit. I paid for dinner the other night and she actually said thank you. It’s not that I want her to have to thank me – it’s that I want her to realize the value of a dollar. It may be too late to fix this mess… but maybe it isn’t. Maybe I can gift her a happy next however many years she has… for as narcissistic and childish as my mother is, I still think she’s been beaten down by an emotionally abusive mother then an emotionally and physically abusive husband, and she deserves the right to happiness in her old age. She has to throw out the clutter and really be wiling to simplify… and that would be good for all of us.

I just don’t know if I can convince her of this in time, and also let go from my crazy ideas to “save” my childhood home by either purchasing it or providing enough money in gift form to pay off the home equity or… plenty of bad ideas that not only wouldn’t help stop the bleeding, but also could financially ruin me as well. So I hope we can all make the right decisions and fast enough to stabilize and move on from this challenging period of our lives.

June Networth Check-In: $612,000

I haven’t written on here in a while, so I thought I should check in on my networth goals for the year. Things are looking strong for the year thus far, with $612k in networth hit June 1. The goal for the year is somewhere between $650k-$700k, but I’d really like to hit my stretch goal of $700k by Jan 1.

This seems somewhat doable if the stock market continues to perform as well as it has for the first half of the year. I’m likely going to see about $50k-$55k from stock before the end of the year as long as I keep my job, which leaves less than $40k to make up to get to that $700k goal. Of course, maternity leave is not going to help me achieve this at all, but that is what it is.

I’m still very confused as to how maternity leave will impact me financially. I have some idea on this, but there are so many nuances to the rules it will only make sense after the fact. I know that for my disability leave I get a percentage of my pay for six weeks, but it’s pre-tax, so maybe it will be somewhat close to my total salary. I also know I won’t be eligible to contribute to my ESPP when I’m on leave, which is crappy but makes sense since I’m not actually earning income during that time.

At this point, to minimize the hit on my financial goals for the year, I’m planning to work up until my due date and then to take the 12 weeks off that are semi paid and deal with the losses from those weeks which hopefully won’t be too bad. I can take another 6 weeks protected unpaid, but I’ll prob save those weeks until 2019 and decide if I want to take them then, since if I manage to keep my job all 2019 I’ll be in a higher tax bracket then and the loss of income will be less noticeable, maybe. Still, may decide not to take that time since it’s unpaid and I can’t contribute to the ESPP again then.

Really, my #1 focus is on keeping my job as long as possible. With my stock (which is RSU not options) at this point my networth is really ~ $892k+, but I’m not counting the stock that isn’t in my back account yet since I don’t actually get it until I get it. But, seeing $892k as my approximate networth feels good and makes me think that $1M goal before kid #2 is achievable. After all, I’m $112k over my goal of $500k before kid #1. So grateful for saving throughout my 20s and focusing on savings. Once I get to $1M, I’ll feel a lot better about my life stability.

April Networth Check-In: $575k

For a bit of a belated April networth checkin, I’m happy to report my networth is ticking upwards slowly, despite the stock market doing eh.

Given the larger gains of past months, it still feels flat, but at least it’s up. I started 2018 out with $544k in networth, and am now at $575.6k–so I’m up $31.6k of my $100k goal for the year, leaving $7.6k growth per month to hit that goal (or 5% growth for the rest of the year including saving additions and gains.)

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The plan is for about $40k-$50k of that to come from after-tax stock vesting before the end of the year. If I don’t keep my job until then for any reason, then I don’t think I will be hitting the $650k goal for the year. But, with that extra $50k, it should be doable for me to save $25k for the next nine months, even with my maternity leave. Continue reading

My Legitimate Path to $1 Million Dollars

My $1M networth goal is far away, yet also, it appears, achievable. “All I need to do” is keep my job. That’s it. It helps a lot if my company continues performing strongly, but I don’t need to get a raise in the next four years. I just need to remain employed at the same exact rate. Based on my calculations, if I do just that, the following is a reasonable outcome:

Year AGE Networth Increase
2017 33 $423,000
2018 34 $565,000 33.57%
2019 35 $685,374 21.31%
2020 36 $813,785 18.74%
2021 37 $945,160 13.63%
2022 38 $1,097,934 16.16%

Continue reading

March Networth: $573k

How did it get to be March 1 already? Oh, right, February was a short month. Amazing what a difference a few days make.

My networth in March was relatively flat – and down a little bit – but that was expected given I ended up having two weekend trips which cost more than planned (and were worth it, pre baby and the no-travel time of my life.) I wanted to be at about $576k by this month, so I’m down $3k. I’m supposed to be at $589k by April 1… which, unless stocks bolt up in the next few weeks, is highly unlikely. Continue reading

Taxable Portfolio Update: $267,538

As my portfolio increases, I’ve stopped paying enough attention to how it’s actually performing. My current taxable portfolio ($267.5k) is detailed below. I have about the same amount in my retirement portfolio, which I’ll cover in another post.

Note, a few stocks are listed twice because I’ve purchased them in two different accounts.  My taxable stock accounts include FolioFirst (formerly Loyal3), Robinhood, Sharebuilder and Vanguard. Continue reading