July turned out to be a very challenging month both in terms of logistics and our finances. We moved the entire family to North Carolina, made several repairs on our house in Florida we are selling ($$), and are generally exhausted from trying to unpack and setup our new house. Needless to say this will be the one month of the year that we far exceeded our desired spending levels by a significant amount.
Currently our Net Worth is: $675,484 adding $10,825 to our total this month and a $72,530 increase since the start of the project. This month continues additional income due to teaching summer courses (~$2,700), but my wife did not bring in any income this month since she is still on her maternity leave. My true spending is a little deceptive since I recieved money for moving expenses that I tried not to include in all of my calculations, it just made it too messy and essentially they balanced out close to zero. Here is a look at the breakdown of our numbers:
ASSETS Prior Month July, 2016 % CHANGE
$75,513.30 $81,201.24 7%
Florida Retirement Plan
$27,966.97 $29,455.49 5.32%
Solo 401k Accounts $5,742.82 $5,885.32 2.48%
College Savings (ESA & 529)
Taxable Brokerage Account
Real Estate Assets $363,000 $367,000 1.1%
Primary Home Value
Here is how we did on our goals for July 2016:
Our goal is to save $60,000 (or more) this year and we are still on track to meet this goal. We saved $1,942.06 this month bring our yearly total to $34,905.20. The number might be a little higher once I calculate the amount remaining from the advance I got for moving expenses.
Spending this month was $6,807.45 far exceeding our $5,000 target. A significant amount of this was repairs and work done on the house we put on the market. The repairs and work we did pay for should have a good ROI once the house sells and would need to be completed anyway for certain loans buyers might use.
I thought we were doing well with this goal, but moving really opens your eyes to how much stuff you really have and how much of it is unnecessary. We are going to refocus our efforts on this once we get settled in.
I am starting my new job officially next week. I have set up my retirement benefits to the maximum amount I can save pre-tax, especially in my 457(b). I just hope I get paid enough after other deductions to get all $18,000 into the 457(b) in 2016 since it was not available to me at my prior job.
Hopefully I will start picking up the pace of my writing soon to share what is going on with our project and other material that I have been wanting to write for a while. The nice thing is that this blog is an outlet for me to share rather than an additional job so I don’t feel a lot of pressure to write everyday (or week) even though I would like to share more in the future.
The seventh month of our financial independence project is now complete and we are over half-way through the year. A lot has changed since I first started writing in December, but we are still focused on our FI plan, if not more so.