March 2017 – Net Worth

The following is an update of Tim’s plan to retire early.  Please note we are mortgage free.

Our ultimate goal between investments and the home equity is a net worth of around $1 million.  The investment part of that target is $582,000.



RRSP $58,330
LIRA $16,340
TFSA $84,740
Pension $158,220
Wife’s RRSP $86,420
Wife’s TFSA $79,170
Wife’s Taxable $51,380
High Interest Savings Account $26,200

Investment Net Worth $560,800 (increase of $10,880 over last month)

Home Equity

Estimate $395,000


Last Month $3434

The renovations continue.  This month was the new water heater for ~$1200.  The other odd bit was I took spending cash out at the start and end of the month making this month look worse than it really is.  It should balance out with lower spending month in April.

Trailing Last 12 Month Average $2707 (or $32,490 for the last 12 months)


PF Score: 29.4 {Target 31}

Net Worth ~$955,800


So for those of you keeping score our investments are now at 96% of our target amount of $582,000.  Oddly enough, I’m not that excited about it.  Why?

I’m focusing more on the little things.  Getting stuff done around the house like the water heater.  Cleaning up the yard now that the snow has melted.  Hanging out with family and friends.  I want to live my life rather than stare at numbers that will get where I want them to be without any effort on my part.  Also I have learned over the years that fixating on the numbers isn’t helpful.  The point of financial independence is to give you more time to live your life, not fixate at getting there.  You have to remind yourself about that at times.

Any questions?

March 2017 Investment Net Worth

(click to make bigger)

5 thoughts on “March 2017 – Net Worth”

  1. Hi Tim,

    I’m in a very similar situation to you. Approximately the same age/income/retirement networth. I just went over your retirement calculation posts from 2012 and your Nov 2016 posts. While I agree with your calculations I just have a couple comments:

    1. Personally I wouldn’t be comfortable relying on CCP and GST rebates for $12,000. It will probably work out but having 40% of your retirement income come from low income government payments seems risky. If the government ever changed their policy you might get burned. Using the 4% withdrawal rule you’d need and additional $300,000 to replace it.

    2. I just thought that because you are so young a 4.5% withdrawal rates seems aggressive.

    I know you can’t plan for every “what if” because otherwise you’d never retire but it seems like if you worked another year or 2 at your current job you’d be 100% secure in your retirement without having to have any contingency plans. (I apologize in advance because I’m sure you’ve heard that before….)

    Hopefully you’ll keep us updated after you pull the pin.

  2. I just need a point clarified please. You noted an increase in your net worth of $10,000+ since last month – is that all from investment growth or did you add more funds to the investment accounts? I ask because my investments don’t increase by $10,000 per month, so if you’re able to do that, please let me in on the secret!

  3. @Veronica – We added about half of that amount to the accounts as contributions. Hope the helps.

    @FI3000 – Good work. I had very similar thoughts as well with respect to the CCP and GST rebates. I know that is a risk, but I’m not depending on that money in the long term. So if the program continues after the 2019 Federal election I should be fine. Of course if it is removed it likely won’t be completely gone but reduced. So my option would be to pick up some work to bridge the shortfall, which I may have anyway just because I find a ‘fun’ job or my writing happens to turn a bit of a profit.

    Regarding the long term risk with a 4.5% withdrawal rate. I’ve studied it and I’m not that worried. If my memory is correct the at 4.5% withdrawal rate only failed three times in the record history of the stock market (based on the Trinity study results). I’m betting those won’t happen again in the near future (when the plan is more at risk – ie the first five years). Of course I also have backup plans to help offset that risk (downsize the house, earn some money from hobby work, or some inheritance received).

    Besides I’ve already fear tested this…the worst thing that happens is I have to go back to full time work for a while to build up the money again. It isn’t the end of the world if that comes to pass, so why freak out on reducing risk further.


  4. Good points. I know the majority of people (myself included) are guilty of falsely thinking that “retirement” is an irreversible permanent state of being when it’s actually something that could be transitioned into/out of if the need arose.

  5. Veronica, I have had a few monthly investment gains of at least $10k over the years, and that’s nice. What isn’t so nice are the months I have had investment losses of at least $10k. In a 7-month stretch from late 2015 into early 2016, I had 6 months of at least 1$10k and one month of more than +$10k. That was followed by 6 straight months of +$10k. Late 2008 and into early 2009 was another, similar, roller-coaster ride. That was in my early days of being an early retiree, it was rather nerve-wracking.

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