It is now June 2016 and I just finished updating our spreadsheets and budgets for May. This is one of the few times that I actually have thought about our Financial Independence project in a few weeks. I am not sure if that is a good or bad thing, sometimes I feel like I obsess over the numbers and process to the detriment of focusing on now. At the same time I don’t want to stop being hyper aware of the choices I make and the impact they have on our financial freedom. The reality is that this past month has been incredibly busy as we anticipate a new child in a few days, and some significant changes I am going to talk about in another post shortly (hint: new job, new location).
Currently our Net Worth is: $653,194 adding $8,574 to our total this month and a $50,240 increase since the start of the project. This month our income was significantly higher due to some extra summer work. Some of the money this month is being held for spending next month since my wife will not be working much over the next several weeks. I did not include this amount in my expenses or savings numbers. The savings rate for this month was 40% which is under our target but still keeps above 50% for the year. Here are our numbers broken down:
ASSETS Prior Month May 31st, 2016 % CHANGE
$644,620 $653,194 1.31%
Florida Retirement Plan
$27,353.38 $27,842.41 1.76%
Solo 401k Accounts $5,567.85 $5,636.71 1.24%
College Savings (ESA & 529)
Taxable Brokerage Account
Real Estate Assets $359,500 $359,500 0%
Primary Home Value
Here is how we did on our goals for May 2016:
Our goal is to save $60,000 (or more) this year and we are still on track to meet this goal. We saved $4,442.06 this month bring our yearly total to $31,021.08. Technically we have additional money we did not spend, but rather than counting it as savings, it has been designated and budgeted over the next two months while my wife recovered from child birth.
Our spending goal for the year is to spend $5,000 or less each month and we easily went over that by $802.77 .Overages were mostly associated with a sick cat, a few items needed for the new baby, and some home repairs. Luckily most of these are one time expenses, and I am still trying to get to an average of $5,000 month during 2016.
No significant progress made in this area, and has instead we have been focused on prepping for the new baby. Since we are now planning to move in a couple of months, the decluttering process will probably coincide with packing up everything we want to take with us to our new location. This might actually help the process since we will need to empty the house one way or another.
For a couple of posts I have been hinting at some changes for me in this area. I have a lot to say about this and plan a separate post to talk about taking a new job, and why I decided to make this move. This will have some impact on our FI trajectory, so I have a lot to say about this. I worry if I start talking about it buried this far down in the post it might never be read (if anyone reads the blog at all…). I actually wonder how many people take a look at my update number and never read the content…. of course I wonder similar things regarding feedback I write to my university students on their work or if they just look at the grade and move on…
I still plan to keep blogging as much as I can with the new baby, moving, new job, etc if nothing else than to simply keep me focused on our FI project. I have to admit that outside of my monthly updates I have had a hard time finding time to write on the blog with all of the other writing I am doing. I have about 20 topics and ideas I want to talk about, but just never get a chance to write these days. Hopefully that will change soon!
The fifth month of our financial independence project is now complete, and we have a lot of changes coming our way. Regardless of whether you blog and share your Net Worth on the Rockstar Finance Net Worth Tracker, I encourage everyone to keep track and know your number… awareness is the first step!