Wow guys, it’s fall. When did that happen? I mean, I know summer was busy and everything but, wow. Fortunately this labour day weekend was great. I spent a lot of time hanging around the house and just enjoying the warm weather. I also ran twice and tested out a new bike rack that we bought from our local bike shop. It works great and has provided us a way to get away from the usual same-old scenery of our local countryside.
Anyway, on to the net worth update. This net worth update is going to be pretty good, I saw some decent gains in my various savings accounts this month, which is good because this is probably the highest my net worth is going to be for awhile. I’m doing some serious vacation spending this month when I go to New Orleans for several days. Then in December I’m dropping even more cash on a trip to Paris. So, this might be the high water mark for my net worth for awhile.
Before we get into it though, let’s take a trip down memory lane and see how I was doing in years past:
This time last year I was seriously closing in on being debt free. I’d already paid off my student loans, and I only had $2,594 left owing on my car. My net worth was $5,381. Most of this was from my small emergency fund and some left over wedding money.
This time two years ago was looking significantly less rosy. I still had $26,186 in debt and I had a negative net worth of $12,908. Not a pretty picture. I remember that August 2012 had been a particularly spendy month, and I was looking forward to tackling my debt in the fall. I’m glad I persevered!
Here’s today’s situation:
I’m only a few months away from my one year anniversary of debt freedom, and I can’t wait to celebrate 12 months of being completely free of debt.
Net Worth: $24,500 (+5%)
Dang! So close to the $25,000 mark! Compared to last month’s 19% gain, this 5% seems a little on the small side. But still, it’s better than nothing and I’m pretty happy with some of the goals I accomplished this month. My freelancing income wasn’t as good in August as it was in July, and my husband wasn’t able to make any extra contributions either. That means I basically only saved what was budgeted for, or about 38% of our joint income. Here is the state of my various savings accounts:
RRSP: $4,986: (+11%)
I made my regular contributions to my RRSP this month: $500. For the briefest of moments it was above the $5,000 mark, then my investment lost some value and it came in at just under $5,000. Although I feel like a little piece of me dies every time my investment loses money, I’m still happy with the performance of my RRSP. I’m also only $1,000 away from my goal of a $6,000 investment into retirement, which is exciting for me because I’ve never saved long term like this before, and I’m happy to know that I have the discipline to do so. For those of you who are interested, I’m invested in the Tangerine Balanced Growth Portfolio and you can read my rationale for picking that here.
Emergency Fund: $10,018
I didn’t have to touch my emergency fund in August, for which I’m very thankful. I’ve got it sitting in a TFSA savings account making very little interest. I know that’s probably crazy for a lot of you, but that’s what I need for peace of mind. Maybe if in a year, I haven’t used it once, I’ll look at investing a portion of it. But for now, this is the right choice for me.
Travel Fund: $5,700 (+36%)
My travel fund is fully funded! Woot! I saved my regularly budgeted $625 into this account, plus I threw a bunch of freelance money into it as well. I’m really happy that I’ve got this completed before our trip to New Orleans, and that I don’t have to worry about it anymore.
If you’ve done the math you know that the contents of these accounts doesn’t add up to my entire net worth. I also have some blog tax money saved, my husband has some savings, and we have savings for things like rent and the pets. Altogether I’ve gone from having $26,000 in debt two years ago to almost $25,000 in savings, not bad work for two years!
How was your August? Did you save a lot, pay down a lot of debt, or spend money on travelling? I want to know!