It’s time for my monthly net worth update!
|Asset||Total||Monthly Change||Percent Change|
|Wells Fargo (401)k||$20,407.75||+$948.46||+4.87%|
|Synchrony- High Yield Savings||$4,443.57||+$1,217.84||+37.75%|
I’m so close to hitting the $40,000 mark! I didn’t meet my savings goal for April due to some unexpected car costs this month, but I will definitely reach the $40,000 mark in May. I am setting aside $1,117 in May to put into my brokerage and high yield savings accounts- lower than my usual $1,500, also due to the car costs I mentioned.
Current status = 4.62% of my $850K goal saved.
Again, I do not include my car (or house, as I am renting) for two reasons: first, I intend to drive my car as long as I can safely hold on to it. Secondly, my main goal for tracking my net worth is to save up enough for early retirement (current goal- $850K, which I was able to bring down after lowering my expenses). For early retirement purposes, I only want to include assets that will continue to produce passive income.
A breakdown of the accounts I have and their progress this month:
Wells Fargo 401(k): +$948.46
This is my retirement account through my company. I contribute 6% of my income and take advantage of my company match, which is up to 6% as well. My Betterment brokerage account is my first priority, not my 401(k), because I don’t want to pay tax penalties for withdrawing money during early retirement. I use Smart401(k) to determine my allocations within the account and maximize returns. This increase is due to my normal contributions plus market increases.
Betterment (Brokerage): +$410.79
Betterment is my main account for my early retirement goal. I contributed $200 this month, and market increases accounted for the rest. While I’m focusing primarily on my sabbatical, I want to keep making regular contributions to Betterment as well. I’d love to have $15K in this account before scheduling my sabbatical so it will still grow while I don’t have a salary.
Synchrony (High Yield Savings): +$1,217.84
I use this as my Emergency Fund and as a place for short term savings. I’m working on replenishing my emergency fund to $15K as well as using this to save for a 6 month sabbatical from my full time job. On days when I’m struggling with my job, it’s nice to look at how much I have in this account already. I now have 29.62% of my goal saved!
Checking Account: -$46.47
A slight dip due to waiting on a reimbursement from work. It would be cool if I could keep this account exactly the same every month- technically, it should be possible, because my income is always equal to my expenses plus what I put it savings. But it doesn’t seem to work out that way in real life 🙂
Income and Expenses
Below is my updated Wall Chart for the month… you can see my income and expenses. The bottom line is income from my investment accounts- once this line crosses my expenses, I will have reached Financial Freedom! For more on Wall Charts, see my recommendations on building a better budget.
Do you track your net worth? Did you reach any milestones this month? Let me know in the comments!