What’s a Millennial Worth: May 2016

Hey guys, I’m finally getting back around to updating my Net Worth! I’ve been keeping records but I was struggling for a way to present in a more readable format. Previously, I felt like I was just giving you guys a data dump. Heck, I didn’t even like looking at it!  So let me know what you think of the changes and feel free to give me some input for future changes.

Why do I post my Net Worth?

It’s simple really – I want you guys to hold me accountable to my goals. I also want to give somewhat of a blueprint for others to follow. Obviously everyone’s situation is different, but it doesn’t hurt to learn from my mistakes!

Each month I’ll give you a breakdown of my Income, Assets, Liabilities, and ultimate Net Worth. Use this information as you please – as long as it’s legal!

May’s Numbers: Net Worth $116,843.06 (Down $1,345.18)

May. My first down month since I began recording my Net Worth. All-in-all, a decrease in pay as I get back to normal and a 30% drop in my stocks killed my winning streak. However, this drop was offset by lower expenses during the month as well.

You’ll notice the progress bar shows I’ve almost completed my goal for 2016. That’s largely in part do to the extra income from relo, as well as the lowered expenses during this time. I gained nearly $20,000 in net worth in the first three months. Let’s see how the rest of the year goes!

Income Breakdown: $9,121.47 (Down $9,229.21)

Salary: $4,041.56 down $1,443.27. Once again, my salary is coming back down to normal levels since I lost my relocation package (I’ve looked everywhere and have yet to find it. Ha!). I expect this to be my new standard income rate.

Rental: $850. Nothing new here. I rent my two spare bedrooms out to two buddies, so this should be a normalized income.

Other Income: $4,229.91. Other income encompasses categories that fluctuate each month. $905.92 is from reimbursements – so not exactly an income, but it is reflected here. Also included in this amount is $3,323.69 worth of 401k contributions.

Asset Breakdown: $240,758.21 (Down $240,758.21)

I have to calm myself every time I see this number. Unfortunately I have a rather large mortgage note that eats up the majority of my assets. Maybe one day it will be a legitimate number.

Cash: $50,553.46. I know. I know. I need to put this to work! Unfortunately I’ve seen the ugly side of the stock market and I have to say, I’m a little afraid. I’m really looking to buy some additional property, but as of now I have yet to find something that sparks my interest.(Spoiler Alert: I found one!)

401k Contribution: $34,839.17. My contribution at this point is 20%. It’s going into standard mutual funds offered by my employer package. This amount also includes a 5% employer match on the first 10%.

IRA: $0. Coming soon! I’m holding off until year end to make a lump contribution – once again I’m afraid to invest too much in the stock market :/

Primary Mortgage: $139,000. This is what the house was appraised for when I bought it in 2014. I’m using this because I also feel it’s a good estimate of what I could ask.

Securities: $16,365.58. This was the major downfall this month. Down 30% at $6,742.09. Being a purely stock account, I expect wide swings as the market shifts. It’s also invested in individual stocks, not a mutual fund like VTSAX. I don’t want to disclose what I’m invested in because I’m definitely not in a position to give advice (trust me, I’m from the future -writing this in February of 2017).

Liabilities Breakdown: $123,915.15 (Decrease of $833.84)

Credit Card Balance: $932.55. This amount doesn’t meant too much. It’s paid in full every month, so even though each month report will show a balance, none of it is interest.

Primary Mortgage: $122,982.60. I have yet to make an extra principle payment on this – even though I know I should. This will drop each month based on the principle in each monthly payment.

Net Worth Composition:

Most accounts rose as a percentage of the Net Worth over last month. This is attributed to the 5% composition drop in Investment.

Once again, I realize it’s not the most financially savvy idea to have so much of my net worth sitting in a bank checking account. But for now, that’s where it will sit until I can buy enough mason jars to hold all of it. Jk. Jk. Following the cash, my next biggest investment is my 401k. It will continue to play a major roll for a while thanks to it’s tax benefits.

So that’s it. How are you guys doing on your Net Worth tracking. Let me know how things are going on your end and any improvements I can make to help you understand what’s happening with my finances. After all, I want this to help you as much as it helps me!

By the way, some of you may recognize the Month over Month comparison chart. I borrowed the layout from GenYFinanceGuy (with his permission of course!). It seemed like a much cleaner way to present the data from what I was previously doing.

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