The main event in June was the purchase of my condo, which moved some money from savings to the condo value and added some significant debt to my net worth. Other than that, things were pretty normal actually and it was a pretty good month overall! :)
Cash: $8,500 (up $600)
June was a bit of a high spending month at $4,200 with moving expenses starting and some of the costs with closing on the condo, but cash is up a bit because I put less in savings to cover the increased expenses (moving) in July.
Savings: $29,700 (down $64,500 or -69%)
- Reserves: $24,200 (+$100)
- Down payment: $5,500 (-$64,600)
- Vehicle replacement: empty (-$4,000)
Reserves includes my auto insurance deductible ($1,000), renter’s insurance deductible ($500), and health insurance deductible ($950), as well as 6 months expenses at $3,600 per month and the interest accumulated.
I consolidated the vehicle replacement fund into the down payment fund. The money for the down payment then left that account, but I put some savings from my June paycheck back into there. I’m going to accumulate cash savings in there until I’ve moved into the condo and I’m done buying some small things that I want like a BBQ.
Investments: $55,000 (up $3,600 or +7.0%)
This includes my Roth and Traditional 401(k), my Roth IRA, and my taxable investments. I also include the employer matching in my 401(k) since I don’t plan on leaving my employer until the 401(k) matching has vested. Obviously if I did lose the matching, that would be reflected in my net worth in the month that I left my employer.
This month saw my automatic 401(k) contribution, putting me at 5/12 of the way towards maxing out my 401(k) account for the 2012 year.
It looks like the markets are up from where they were on May 31st, which accounts for a good portion of this increase. Plus, my 401(k) alone is now worth over $30,000!
- Mortgage loan: $286,000 (new)
The loan is a 5/1 ARM mortgage at 3.000%. You might think I’m crazy for taking out a 5/1 ARM, but the way that I look at it is that it’s the best rate I can get and I will either pay it off in 5 years with the money that would have gone to cash savings had I not bought a place or I will move shortly after that.
My first regular mortgage payment will be made August 1st.
TOTAL: $165,200 (up $5,700 or +3.6%)
I started 2012 out with a net worth of $132,500, so I’ve seen a change of $32,700 or +24.7% so far this year. This month, I’ve set the y-axis on my net worth graph to go up to $200,000 and I’ll keep the scale the same for the rest of the year.
Half-way through the year: I’ve been comparing my net worth to where it was at the end of 2011 and things have been going pretty well.
- My net worth is up about half of what I expect it to be for the year, which is good since we’re 6 months in.
- Cash is down about $2,000, but I am accounting that to the fact I had quite a bit of money in a vacation savings account that I spent as I took vacations early in the year.
- Savings is down quite a bit because of buying the condo, but I expect it to stay much closer to the level it is at now.
- Investments are up $18,200. As of December 31st, they were valued at $36,800 and now they’re at $55,000. That is composed of some small investment gains, just over $10,000 plus employer matching into my 401(k), and I’ve been building my taxable account back up after borrowing from it for the first attempt at buying a condo.
- I finally own a condo!
- After the July RSU vest, invest the funds in my taxable account into Vanguard Total International Stock Index Fund Admiral Shares and re-balance my portfolio accordingly.
- Finish maxing out my 401(k) and investing 20% of my gross income.
- Put cash savings into my down payment savings account until September 1st, at which time I will start making mortgage pre-payments. That date is to give me some time to settle in and then I can make a nice lump sum payment.
- Reduce the mortgage balance from the initial balance of $286,000 to a maximum balance of $263,769.89 by the end of the year.
- Get the limit raised on my primary credit card to $5,000. I’m going to try for this in mid-November, after I’ve made several mortgage payments.
- Play with my spreadsheets at most once per week, when I enter my receipts and reconcile my accounts. Instead,
- Go out and actually date. Meeting new people can be fun and is actually far more fun than updating my net worth, surprisingly.