June 2015 net worth update (+0.3%)

31-Dec-2014 31-May-2015 30-Jun-2015 MoM YTD
cash $12,300 $7,100 $10,400 +$3,000 -$2,200
savings $47,800 $56,900 $49,600 -$7,300 +$1,800
investments $164,500 $197,900 $203,100 +$5,200
+2.6%
+$38,600
+23.5%
mortgage $143,000 $139,300 $138,600 +$700
+0.5%
+$4,400
+3.1%
net worth $531,600 $572,600 $574,200 +$1,600
+0.3%
+$42,600
+8.0%
taxable assets – debts $70,600 $53,500 $58,400 -$4,900
-9.2%
+$12,200
+17.3%
$ until FI $811,300 $806,000 $849,300 +$43,300
+5.4%
+$38,000
+4.7%

This month, I finished maxing out my pre-tax 401(k)! My employer will continue to contribute the match amount each paycheck throughout the rest of the year (~$300/month). I’ve started the after-tax 401(k) and will finish that in mid-September. My savings rate was really low this month (12%) because I had to borrow about 2x the normal amount from my savings account to keep my checking account appropriately flush for July.

The (taxable assets – debts) figure keeps going in the “wrong” direction because I’ve been living off of savings in order to max out my pre-tax and after-tax 401(k). That will start going in the “right” direction again once the 401(k)s are done in the fall.

Also, woo for my investments surpassing $200,000 this month!

Expenses: I spent $4,645 in June including the mortgage or $3,617 without it. Some of my controllable expenses broke down as follows:

  • $519 clothing – I returned that skirt I bought last month and bought a different one. I also bought a pair of running shoes, some pajama shorts, a summer robe, and a pair of denim crops.
  • $83 Entertainment/Social [average so far this year: $150, average last year: $211] – this was all eating out with friends. I didn’t buy any books this month – I went through several library books though!
  • $12 Eating out by myself [average so far this year: $5, average last year: $18]
  • $60 Work lunches [average so far this year: $63, average last year: $147] – I started bringing my lunch partway through the month :)
  • Check for a friend’s wedding, plus two wedding cards
  • Some extra condo dues
  • $20 Eyebrows
  • $30 Toiletries [average so far this year: $46, average last year: $33] – cream, refillable travel bottle, and nail polish remover
  • $1,500 Shopping – as part of our 2015 furniture rearranging project, I bought a new desk. The old one will be disposed of. My five-year old Kindle also finally died and I bought a new one (good timing since they just came out with new ones!) and a case for it. The Kindle saves me so much money since it makes it much easier to have a gazillion library books on me. I also bought some paint and painting supplies!
  • $28 Fuel [$111 so far this year, $70 at this time last year]
  • $10 Travel – some food while traveling

I’ve been spending a lot on clothing this year. My goal for July is to buy no clothing. No clothing in July! My other goal is to bring my lunch 15 of 20 days. I have to pay the annual insurance bill in July, but I should still manage to spend less than in June.

In June, I hung out with at least one friend per week. With how busy our trip was with hanging out with people and the condo projects we have planned for July (painting, furniture assembly/disassembly, and some deep cleaning), I’m not going to keep that goal for July.

Savings: $49,600 (down $7,300)

These funds are spread across a checking account that gets free ATM fees anywhere in the world, my current employer’s health savings account, a health savings account at my credit union, a bit of a buffer in my credit union checking account, and general and grad school savings accounts at Ally.

This is down since I didn’t get much of a paycheck in June and used funds from savings to replenish my checking account for June, plus the furnishings spending between May and June that was not really in the budget.

I transferred my old employer’s HSA to my credit union in June, which turned out to be a really dumb move because they charged a closeout fee that equated to 5% of my balance! I should have just spent it down, like my original plan was until the online login got ridiculously annoying, oops.

I also finally got a bonus for a new savings account I opened up near the end of last year and then happily moved all of my savings back to Ally and divided it into labeled accounts again, which was a pretty magical feeling! I missed having labeled savings accounts like I did when I had less money, but the fact of the matter is that until I decided on grad school, I had no real short-term goals to make labeled savings accounts make any sense.

This is getting dangerously low – only about $12.5k of this is my emergency fund. The rest is my HSA and my grad school savings account. In July/August, I won’t take any money out of it and then in September I’ll get a paycheck again, so I should be fine. And if there are any real emergencies that would empty this account, then I’ll take the money out of my grad school savings account anyway.

Investments: $203,100 (up $5,200 or +2.6%)

This includes my pre-tax 401(k), employer 401(k) matching, my after-tax 401(k), my Roth IRA, and my taxable investments including stock index funds, Series I Savings Bonds, and ESPP cash/shares.

The change here comes from:

  1. Finishing maxing out the pre-tax 401(k)
  2. Starting on the after-tax 401(k)
  3. Employer matching contributions (almost double what I got at my last job!)
  4. A quarter of ESPP contributions that finally bought the stock :)
  5. About $3,000 in stock market losses

I’ve been really enjoying seeing this growing so quickly over the last few months with contributing so much to the 401(k)! I can’t wait to finish paying off the mortgage and watch the taxable account grow by leaps and bounds like my 401(k) has been lately.

Mortgage: $138,600 (down $700 or -0.5%)

Some statistics here:

  • 2.5%: the interest rate on my 5/1 ARM
  • January 2018: when the interest rate on my mortgage is set to reset, possibly to 7.5%
  • 28.3%: portion of my regular payment went to interest (originally was 59%; down 0.1 percentage points)
  • 61.2%: amount of equity in my condo, assuming purchase price (up 0.2 percentage points)
  • 51.5%: amount of the mortgage I’ve paid down (up 0.2 percentage points)

I’m just letting the regular, automatic payment go for now, until my cash savings is at the level I want and my 401(k) is fully maxed out.

TOTAL: $574,200 (up $1,600 or +0.3%)

I ended 2014 with a net worth of $531,600, so I’ve seen a change of +$42,600 or +8.0% so far this year. I’m going to set the y-axis on this graph to $650,000 so we can see how my net worth grows towards that throughout the year.

June 2015 Net Worth Graph

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7 thoughts on “June 2015 net worth update (+0.3%)

  1. Great month. I’d like to see a post on your ESPP plan (what you’re willing to divulge). What I’ve seen is there is such disparity from the quality of plans offered by employers, and one of my friends just asked for my advice on his. His discount was so huge that it was almost a no-brainer to max it out. Lucky guy.

    • Hmmm the problem about writing a whole post on it is that I’m not sure exactly what i want to divulge. I don’t want to divulge the discount or the contribution amount, so then I’m not really sure what the value is in a whole post! My plan allows me to sell whenever (which I did within a day of the purchase happening) and the discount is reasonable, that the advice to me was to max it out and sell right away to diversify. It’s also helpful for cash flow purposes while I’m lump sum contributing to my 401(k) – the ESPP sale in early July will cover my August spending and most of my September spending.

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