November update

I still haven’t met my net worth goal of $100,000. The numbers went down this month because I spent a lot of money. I emptied out most of my vacation savings account booking a trip for part of next winter and I bought a new laptop. I budgeted for both of these, so I’m not upset about not meeting the goal, but it does hurt a bit to see my overall net worth go down for the first month since I bought my car. The investment losses certainly didn’t help, but what I can control is the spending and that was all budgeted for.

In October’s update, I commented on the fact that the dividends on the bond fund in my 401(k) have been going up slowly each month since June and contemplated whether the dividends for the fund in November would surpass $10 and they did! I like those small excitements :) I think that’s also partially why I’m so good at saving – somehow $0.50 of interest can still excite me, no matter how much money I have.

I am getting excited (yes, I’m crazy!) watching my 401(k) get closer and closer to being maxed out for the year! I only have about 30 days to wait for that to come true :) Sometimes I can change the Plan too often when I get anxious, so I am really proud of myself for making this goal a priority. It has been amazing to watch the balance year-to-date grow on the Vanguard website, even though I’ve seen investment losses most months this year.

Due to the laptop purchase, I didn’t put as much into my down payment savings fund as I had hoped this month, but it’s still moving along slowly. I’m pretty confident that I will reach the $27,000 goal that I had set for myself at the beginning of the year.

I am not a big eater, so being single, I think I actually save quite a bit on eating out and groceries. It’s difficult to compare the numbers exactly and do a good A/B analysis to determine a specific dollar amount that I save, but it’s definitely something and noticeable in my spending analysis, which is interesting. Other people have suggested that it’s cheaper when you’re not single, but I think that only would apply to housing expenses for me.

I’ve been wondering whether or not I would qualify for a mortgage when I wanted one based on my small credit history report, but I did in fact qualify for pretty good rates and at the purchase/loan amount that I’m looking at. I’m still in the process of looking for a particular place that I want to buy and live in.

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4 thoughts on “November update

  1. Watching your 401k reach its max is exciting, especially if the market is holding stable for year or increasing. I’ve only had a 401k one year of my life and I made sure to max it out, it was fun watching it go from $16k to $20k. It’s back at $17k something now, but I’m glad the money got in there when the market was not doing so well!

    • Yeah, definitely! I built up a good sized savings account while saving up for the car, while building my emergency fund, and while saving up for the condo. It was so much fun watching that go up :)

      Several months this year, my 401(k) has gone down about 50-100% of the amount that I put into it that month. It is cool to see though that no matter how much the market has gone down this year, overall, I’m still up a HUGE amount over last year.

  2. Hone don’t beat yourself up! You have done AMAZING in such a short amount of time!

    I am sure you qualify for a mortgage- many people apply for mortgages with a fraction of the amount of $ you have.

    Do they have something like the Home Buyers Plan in the US? Where you can withdraw from your 401K?

    • Thanks Young!! Don’t worry – I’m not beating myself up :) I realize it sounds like that in the post, but I’m really not actually beating myself up since I did plan on spending those funds.

      I have been pre-approved for a mortgage – I’ll talk about that a bit more when things calm down and I actually have the time to sit down and blog.

      You can take a loan out from your 401(k), but you owe interest and the loan repayments are taken directly out of your paycheck.. My 401(k) plan has the interest rate on loans set at 4.25% though, which is the same as the mortgage rate I’ve been offered :/ At that rate, it would probably be cheaper to just take on a higher mortgage.

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