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Personal finance

My gosh you guys, I wrote a quick little post in December on how my 2018 went.

It’s time I do an actual full update and set some new goals! I didn’t update a whole lot through 2018 as I was much too busy being my workaholic self to bother with writing nonsense on the internet. πŸ˜‰ I did note that I went from about $130,000 networth in April 2018 to about $179,000 in December 2018. I took the time today to actually review the true stats;

I use YNAB to track all my expenses and accounts and it tells me that at the end of December 2017 I had a networth of $110,413.61. Now that all the marbles have been tallied and updated for 2018, my final stats are….

Holy cow! Isn’t that just incredible? I increased my networth by $71,726.43 through saving and investments. I’ve double-and even triple checked the numbers and all my accounts appear to be listed accurately. I’m pretty happy with how the year turned out.

I tracked by expenses as well, approximately $15,000 was spent on living.

I had a huge year for medical spending, I am thankful to live in Canada where doctors visits are covered.. but I spent quite a lot this year on orthodontics, the dentist and supplements and ND visits that are not covered. My other largest bill was food… I do not pay rent or a mortgage (as Toms house is PIF) but do cover more of the food bill,

Not including in my spending was travel spending;

  • 11 week RTW Oct-Dec cost $3,975.63 + approx $700 cash
  • One week in NYC August $331.58
  • January 3 week Philadelphia/Florida: $853.11
  • and various weekend totalling about 2 weeks away which I did not factor in, an approximate $750 orso was spent on that (my share)
    Total spent on 17 weeks of travel: $6,610.32  or $389/week. Not bad!

I also spent a rather large amount on my new-to-me baby-SUV, a 2014 Chevrolet Trax for which I paid $12,900 when all was said and done.

All in all, I spent a fortune on EVERYTHING in 2018, I also earned a fortune and saved A LOT.

Now, about those goals, what about 2019?

For 2019 my singular goal will be to keep increasing passive income and consequently my networth! I haven’t done any recent updates with regard to my current portfolio so that shall remain a mystery for now. I created a spreadsheet that tracks my current holdings and passive income, and shows my monthly number at one glance;

As you can see, at $273 a month or $3,276 a year I have quite a while to go before I’m anywhere near retiring off it. My magic number for my current financial situation is $239,000 invested, this generates a measly $700/month in income, of which it’s possible for me to live off.. but not enjoyably, most likely.

So for 2019 I’d like to increase my NW to $220,000, this is a $38,000 increase and its a conservative number compared to what I accomplished in 2018…. and at the end of 2019 I’d like that monthly passive income to come in at $385/month.

As in previous years, I’ll be tracking using my progress bars in the side bar —>

2 goals, 11 months to go, let’s do this. πŸ™‚

I can’t figure it out on my own! :p

Back in June 24, 2018 I wrote about planning for a sooner rather than later retirement. Like many PF bloggers I’ve moved from getting my financial life in order, to becoming debt-free, to choosing to become financially independent. From the beginning it’s always been by goal to become financially independent. The entire reason I began getting my finances in order is because of the ultimate reward I set of financial independence. 

To me financial independence means having enough money in the bank and passive income to sustain my basic monthly and annual expenses, to be able to walk away from any job at any moment if I choose, and to be able to pursue things like helping others, hobbies, and further learning as well as having my own family with no worries.

One of my contracts in 2017 was a total disaster, and a prime example of the reason I want to be FI. In my post about it I wasn’t overly negative, that was actually REALLY hard. My manager was a terrible match, I was bullied by a co-worker, and I should have walked away after a few months but decided to sit out the 7 month contract. 2018 led me to an amazing contract with amazing co-workers, and I was sad to leave in October when I took off to a) study, once again and b) travel around the world for 3 months with my SO. 

For those of you who have perhaps read this blog before you know that I not only have one job, I usually have multiple gigs on the go. My primary gig for a long time and when I started this blog was a small commercial cleaning company (1) operated by my family for over a decade, for which I am now solely responsible, it’s not big but it definitely keeps me occupied and I’ve hummed and hawed about leaving it behind but have been hoping to keep it going for just a little while longer to recoup some more ROI. Aside from that I’ve kept myself busy with a couple of government employment contracts in two different agencies (2), rentals of seasonal properties for others (YAY AIRBNB!) (3) and Sidehustle X (4) – a little company on the side that I’ve been working on for a couple of years with Tom.

I guess that’s all to say that despite me quitting a full-time contract AND leaving the country to travel AND enrolling in an online course through Athabasca… I haven’t QUITE managed to actually start working part-time, rather than full-time.  πŸ˜† 

This is probably the worst how-to ever written.

I’m making good progress to becoming financially independent, and in some ways I already am a lot more financially free than most people… I just wish I could figure out how to balance EVERYTHING. 

There are a million things that happened this year and I was so busy I had no time to write about it. The number #1 most coolest thing?

I made more money than I have ever before.Β For the past 8 orso years I have sat down at the end of the year and made a plan for my budget, set up major goals and estimated my income. For 2017 I expected my net income to be $24,352.44 for the year, which breaks down to $2,029.37/month (26 pays divided by 12). I always aim for the conservative side. :). While I haven’t yet tallied the totals of all my various jobs and income streams, I’m expecting to land somewhere around $60,000 gross for 2017!

I also intended to;

Save $5,377.68 in my RSPs

Save $1881.28 to my house savings

Save $7,209.16 for a vehicle.Β 

I had anticipated earning an extra $2,000 with my summer employment in 2017. In total I had planned to save $14,468.12…. I pretty much blew all that out of the water!

Since I scored a sweet full-time term job I was able to add quite a bit to my savings.

I usually keep track of my main savings goals in the side bar over there —->>>> and this year my savings finally made some big jumps, I used to update those bars at every dollar of progress but not so much anymore, πŸ˜€ too much work! At year end things looked like this;

2017 RSP contributions
Goal: $12,377.68
Total contributed for 2017: $16,808.33!
Total in %: 168%

2017 Extra income
Goal: $4,000
Actual: $23,000+ (net)
Total in %:Β 575%

2017 vehicle savings
Goal: $12,000
Total for 2017: $1,454.00
Total in %: 9.1%

2017 House saving
Goal: $1,881.28
Total for 2017: $5,000 (approximately)
Total in %: 265%

After adding in the investments I started in Lending Loop, in total I saved and invested approximately $26,262 during 2017. That’s a nice chunk more than the $14,468.12 I had budgeted for. πŸ™‚

You’ll notice I totally abandoned saving for a vehicle, there really isn’t a specific reason for that, the money that should have been directed to that probably landed in the savings categories where I overshot my goals as I anticipate getting another year out of my car. I’ll be revisiting that in my plan for 2018 though.

The number #2 coolest thing? As a result of all dem savings;

I hit a $100,000 net worth! I’ve been working towards this for SO SO SO SO long. Since I sold my house in the fall of 2016, with no more debt holding me down and much lower housing costs I was really able to focus all my efforts on contributing to my RSP’s, TFSA, Savings and investments, and crossed the first 100k! I’m so blessed to be so rich, because man, that is rich compared to much of the world.

My YNAB file recently got corrupted and I lost a few years of data, I do make regular backups but honestly… even with monthly backups restoring a budget file with hundreds of transactions missing and accounts that constantly change (heyyyy travel-hacking) I was too lazy to go through that process. I don’t import my account data from banks, I manually input every transaction I make and keep my budget file completely offline. (I have not adopted the new subscription version of YNAB, I had subscription anything and will use YNAB 4 until I die… or until it really stops functioning) I like it this way, anyway, it does mean that since I hadn’t really kept an eye on or blogged about my networth goals that I don’t really have an accurate picture of how my networth increased over 2017. I do know that my GOAL for the start of 2016 was to have a networth of 72,000 but that I abandoned that goal.

As of today my net worth is at $111,018.64. I found a post back in April, 2014 where I logged my networth at $55,000 so in 3 years and 9 months I’ve doubled that, and sold my house converting its value.

I’m still ruminating on exactly what I’ll plan for in 2018, stay tuned. πŸ™‚

What was your biggest accomplishment in 2017?