Category Archives: Net Worth

April 2019 – Net Worth

Welcome to my net worth posts where I try to prove to myself and you that I wasn’t crazy for leaving work in the fall of 2017 to start my early retirement.   A few important notes:  we are mortgage free and our goal is have our income/investment gains exceed our spending by 102% on a 12 month rolling average (the extra 2% is a buffer for inflation).

Investments

Accounts

RRSP $112,750
LIRA $18,420
TFSA $96,040
Pension $129,480
Wife’s RRSP $97,830
Wife’s TFSA $87,760
Wife’s Taxable $44,670
High Interest Savings Account $33,580

Investment Net Worth $620,530 ($9640 increase over last month from investments)

Home Equity

Estimate $395,000

Income

To keep things simple I’m only going to track what income comes into our main ‘house’ chequing account.  I won’t be tracking my wife’s or my businesses income as those don’t really matter until the money moves over to the ‘house’ account.  Also I won’t track investment gains since that is covered above.

  • Wife’s Monthly Payment to House: $869
  • Child Tax: $340
  • Interest $32
  • Tim Brewery Job: $67
  • Total Income: $1308

Spending

Last Month $2432

Well I was hoping for a lower spending month but that didn’t happen.  Why? Well our bill came due to attend the outdoor NHL game this fall in Regina $512 for four tickets (which was a bucket list item so we don’t mind the cost at all). And my wife owed money for income tax $320 (actually her CPP contribution).

Results

Net Worth ~$1,015,530

This Month Investment Gains & Income/Spending Ratio = (9690+1308)/2432 = 4.52 (Target 1.02 or higher)

May 2018 to April 2019 Invest Gain & Income/Spending Ratio = (10480+15386)/36761 =0.70 (Target 1.02 or higher)

Commentary:

Well as I previously noted I got the new library job but I haven’t been paid yet, but I did work a shift at the brewery so that gave us a bit extra cash in April which again went towards me buying my own brewery equipment.  As an aside I realized why I partly love the new library job…my earliest shift doesn’t start until 9am which means I should never had to set an alarm to get up for it (I usually get up between 7am and 8am and very rarely sleep until 8:30am).

The other big change to this month was that just over $50,000 was shifted out of my pension into my RRSP.  I previously discussed why this was happening here but in short it was I decided to move my unlocked portion of my pension that  over to my RRSP to give us additional flexibility on accessing the money.  And of course the markets had a nice upsurge which helped push up our net worth to a new all time high.  And our year ratio has improved to 0.70 which while not meeting target is moving in the right direction.

The new book continues to move along but slower than I wanted.  The overall manuscript is now over 54,000 words (~216 pages) and the  first draft is done.  The editing has been moving very slowly this month as the interview and starting my new job sucked up some of time and more of my attention for the month.  But now that I’m setting into a new routine I should start making more progress in May.

Any questions?

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March 2019 – Net Worth

Welcome to my net worth posts where I try to prove to myself and you that I wasn’t crazy for leaving work in the fall of 2017 to start my early retirement.   A few important notes:  we are mortgage free and our goal is have our income/investment gains exceed our spending by 102% on a 12 month rolling average (the extra 2% is a buffer for inflation).

Investments

Accounts

RRSP $59,870
LIRA $18,010
TFSA $95,460
Pension $179,530
Wife’s RRSP $95,720
Wife’s TFSA $84,980
Wife’s Taxable $42,760
High Interest Savings Account $34,510

Investment Net Worth $610,840 ($2,960 increase over last month from investments)

Home Equity

Estimate $395,000

Income

To keep things simple I’m only going to track what income comes into our main ‘house’ chequing account.  I won’t be tracking my wife’s or my businesses income as those don’t really matter until the money moves over to the ‘house’ account.  Also I won’t track investment gains since that is covered above.

  • Wife’s Monthly Payment to House: $1100
  • Child Tax: $340
  • Interest $29
  • Tim Brewery Job: $102
  • Total Income: $1574

Spending

Last Month $2976

This looks worst than it is as this month included two major grocery runs and two withdrawals of spending cash.  So overall it will equal out next month when those won’t occur.  And we also spent $377 on house items, as my wife put in an order to IKEA for some business items so we added on some house wish list items as well (new rug for the living room, new chair for my son’s desk and a few other misc items).

Results

Net Worth ~$1,005,840

This Month Investment Gains & Income/Spending Ratio = (2960+1574)/2976 = 1.53 (Target 1.02 or higher)

April 2018 to March 2019 Invest Gain & Income/Spending Ratio = (142+19155)/36652 =0.53 (Target 1.02 or higher)

Commentary:

I helped out at the local brewery again for the day which gave me a bit more cash which I added to my pile for buying all grain brewing equipment.  I’ve been saving part of my spending cash up for the last six months towards this and I’m almost ready to start ordering parts for it all.

Well this month had a nice steady gains from the bond markets mainly.  So overall it is nice to see that the 12 month ratio, while being below target, is slowly heading upwards to our target over the last few months.  Our spending was a bit higher as noted above but main of those items were one off type purchases.  For example, the new chair we brought replaces the one that I bought over a decade ago.

The new book continues to move along.  The overall manuscript is now over 50,000 words (~200 pages) and I’m closing in on finishing the first draft (I would guess I’m around 95% complete).  I’m increasingly writing less new content and just cleaning up references and adding to sections the needed some expansion.  My goal for April is to finish the first draft and switch to full on editing the manuscript which will mean the word count will start to go down as I remove repeated information and clean up the text to be easier to read.  Then after I get to a reasonable draft I’ll pass along the manuscript to some beta readers hopefully in May for some big concept feedback (what works, what doesn’t work and ideas on how to improve it).  I won’t be asking for any copy editing (grammar, spelling, etc) as I intend to contract that out.

Any questions?

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Feb 2019 – Net Worth

Welcome to my net worth posts where I try to prove to myself and you that I wasn’t crazy for leaving work in the fall of 2017 to start my early retirement.   A few important notes:  we are mortgage free and our goal is have our income/investment gains exceed our spending by 102% on a 12 month rolling average (the extra 2% is a buffer for inflation).

Investments

Accounts

RRSP $58,720
LIRA $17,770
TFSA $95,330
Pension $176,160
Wife’s RRSP $93,950
Wife’s TFSA $86,050
Wife’s Taxable $43,410
High Interest Savings Account $36,490

Investment Net Worth $607,880 ($13,250 increase over last month from investments)

Home Equity

Estimate $395,000

Income

To keep things simple I’m only going to track what income comes into our main ‘house’ chequing account.  I won’t be tracking my wife’s or my businesses income as those don’t really matter until the money moves over to the ‘house’ account.  Also I won’t track investment gains since that is covered above.

  • Wife’s Monthly Payment to House: $550
  • Child Tax: $340
  • Interest $38
  • Tim Odd Job: $125
  • Total Income: $1053

Spending

Last Month $1608

A very quiet month for spending.  Basically we just paid the bills, bought gas and groceries and the usual day to day stuff.

Results

Net Worth ~$1,002,880

This Month Investment Gains & Income/Spending Ratio = (13250+1053)/1608 = 8.9 (Target 1.02 or higher)

March 2018 to Feb 2019 Invest Gain & Income/Spending Ratio = (-6518+18473)/35324 =0.33 (Target 1.02 or higher)

Commentary:

Well this month had a few oddities.  First up a friend needed help with a quick job one afternoon so I helped and got paid $125 for 4 or 5 hours of work.  Not too bad for a last minute thing.

The second more fun oddity was the markets kept bouncing back from the low in December 2018.   We have gain over $30k in the last two months which turned around our numbers nicely.  Our ratio of investments and income to spending is now back to positive at 0.33 for the last 12 months which while behind target our target of 1.02 is not bad.  More importantly, when I tracked our investment gains since I retired we are now back to being $8k higher than I started after being negative for the last few months.

Then finally this month I’ve made significant progress on the new book.  I wrote about 10,000 words this month which equals around 40 pages of text.  I’ve finally got a good routine with my writing and I’m hoping to finish the first draft roughly by the end of next month.  The bad news while a first draft is good I still have to hire an editor, get the layout done, get  cover designed, get the ISBNs registered, and everything else to get the book published.  So you likely won’t see the book until this fall at the earliest.  Once things are progressing on that front I’ll let you all know the planned publication date and where you can get a copy of the book.

Any questions?

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