Another month has passed and its time for another net worth update. My first (and only) net worth update can be found here. If you haven’t read it, I’d definitely recommend it. It details how I’ve added 250K to my net worth in 5 years. Want to know how I did it?
A magic net worth pill!
Ok you knew that was a lie. Like anything worth having it took discipline and focus over an extended amount of time. Its funny how people think that success, wealth (however you define it) or any hard thing can happen over night. I used to think it with blogging. Now I know I’ve got to be in it for the long haul otherwise I’ll give up before anything worthwhile can happen.
This month’s net worth shot up. Its weird seeing numbers like this month’s because my net worth just keep shooting up. Let me be clear, its been a long road. Also, its important to keep in mind that net worth doesn’t actually mean anything. The only actual value here would be the cash I have on hand. Everything else I just use as an indicator to ensure I’m taking the right steps to move in a positive direction.
Here it is!
A couple thoughts from my standpoint:
- My cash position continues to grow. This makes me feel good and gets me to a point where I’m about to start deciding what I want to do with some of it. To be clear that cash includes my checking, short term savings, and emergency fund. In all actuality there isn’t at ton to work with there but it is enough to pay off some student loans in full if I chose to.
- Retirement carried the way this month. I’ve come to realize that the only control I have over this number is the monthly savings I contribute. Everything else will just go up over time, but will certainly have some ups and downs over time. Its all about building that money monster and letting the monster eventually earn more than me.
- My cars continue to depreciate in value. If you don’t recall I merely have them set up to depreciate a half percent a month forever. Kelley blue book takes too long to look up each month so its not worth while to me. Plus, the number seems reasonable.
- Student loans are now under 14K! I remember when these were at 55k. Its been a long road and, because my rates are variables, the rates continue to climb. I’m considering paying off a big chunk of these but do like having cash sit around.
Its still cool to think that in the summer of 2011 I was in the negatives net worth wise. Since then I’ve created so much wealth in every facet of life. I actually think financially is the area in which I’ve created the least amount of wealth.
Its been a fun 7 years. I hope the next 7 bring even more wealth in all areas of life. I wonder what my net worth will be in 7 years. I’d think its within reason to think I could have a net worth in the 2 comma club (aka a million dollars) in about 15 or so years. That would mean I would need to be in the 500k range. A HALF MILLION DOLLARS!
Anything worth having is going to take a ridiculous amount of time with extreme focus and excruciating discipline.
Get that in your head. It took me till I was almost 30 to figure that. If you figure it out sooner you’ve got an advantage over me.