What’s a Millennial Worth: January 2017

Why do I post my Net Worth?

Each month I release my net worth to reveal how I’m progressing¬†– or not ūüôĀ – for all to see. My hope is two fold¬†– 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!

January’s¬†Numbers: Net Worth $115,811.49¬†(Down $9,385.18)

New year, new goal! Last year my goal was to increase my net worth by $25,000. This year, I plan to stretch my goal a little further and increase my net worth by $35,000 to $160,000. I’m setting my goals higher, but not starting off on a good foot judging by this month’s report! However, a large portion of my expenses were due to work expenses – so while I’m down this month, I should see that return next month.

Income Breakdown: $14,083.63 (Up $6,642.78)

Salary: $5,449.13 up $1,062.93. If you remember, December was a slightly down because I took two weeks of vacation. January is higher due to that and a few weeks of overtime.

Rental: $850 up $450. Roommate lost his job this month. I felt bad for the guy and decided I could eat that. I have mixed feelings about this haha.

Other Income: $7,784.50. Other income encompasses categories that fluctuate each month. $6849.5¬†is from reimbursements – so not exactly an income, but it is reflected here. New year means resetting my 401k contributions! A new pay schedule meant we didn’t get paid until almost the end of the month.¬†It takes a few days for that to show up in my 401k account so you’ll see it next month.

Asset Breakdown: $237,312.05 (Down $9,609.98)

Unfortunately, this number isn’t what it seems. 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: $33,511.51. This $8,992.66 decrease is due to work expenses. A large job is ramping up so I expect to spend quite a bit next month as well.

I need to put this cash 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: $40,596.94. And increase of about $60 over last month. Without contributions made this month, this is definitely to do market changes. Nothing to get excited about but every little bit matters.

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: $5786.77 A $52.36 rise over last month Рonce again just minor market changes.

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: $18,416.83 down $730.23. I find it interesting to point out that both my 401k and IRA went up. They are in mutual funds. However this account is directly invested in a handful of stocks and therefore not diversified. A small lesson on how diversification can shield you.

Liabilities Breakdown: $121,500.56 (Decrease of $224.80)

Credit Card Balance: $80.57. This simply because I paid my card off early. The 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: $121,419.99. 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:

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!

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