Net Worth Update (and FIRE NW)- September 2021

Last month our net worth hit 7 figures, and so I thought it was time to start tracking and sharing our FIRE net worth as well.

If you would like to see all net worth posts use this link here.

Firstly here’s a quick explanation of the difference between calculating your your total net worth and your FIRE net worth.

Calculating your total net worth is:

Total Net worth = Total Assets – Total Liabilities

Calculating your FIRE net worth is slightly different:

FIRE Net worth = FIRE Assets – FIRE Liabilities

FIRE assets are those that are invested, earning income and accessible to you now. These assets and liabilities don’t include your home, car, furniture, collectables, jewellery, and retirement accounts that you are unable to access until traditional retirement age (e.g. Superannuation for us Australians isn’t accessible until 60 years old).

Total Net worth September 2021 – $1,022,200 (up $2,200)

FIRE Net worth September 2021 – $287,865 (up $111,811)

Net Worth Calculator available here
Net Worth Calculator available here

Total Assets September 2021 – $1,499,791 (up $112,803)

Our assets increased substantially in September, and this was from a large purchase of ETF’s from funds we freed up as a result of our home refinance (we have started using debt recycling as part of our investment strategy to reach financial independence a little quicker than planned). We still have more to invest in the market, but are waiting to see how things go in October (which just so happens to be the most volatile months of the year). Obviously as a result of borrowing to invest we have also increased our liabilities so this increase to assets hasn’t resulted in the same increase to our total net worth.

So what did we do right?

In addition to the additional ETF’s we purchased via debt recycling we continued to invest our income into ETF’s. In September we invested a total of 5k (outside of super/retirement) via Pearler’s auto investment feature (we normally invest 2k a fortnight as per our investment strategy). We missed our goal of investing 6k as we had a few extra renovating expenses. We are still hoping to hit our super stretch goal of having 200k invested by the end of 2021 (we are 23k away from this goal, and we don’t count the debt recycling related ETF purchases towards this goal).

Our retirement funds continued to grow thanks to our generous employment benefits (My husband receives 17.5% employer superannuation contributions, and I receive 10% but also have deferred tax benefits for any super contributions that are made to my account).

So what did we change?

We started debt recycling. We have refinanced our home loan, and split our loan into two loans, and tapped into the equity of the house for the sole purpose of investing. This is not a strategy I feel educated enough to provide details on so I encourage you to seek out professional financial advice.

Total Liabilities September 2021 – $477,029 (increased $110,603)

Our liabilities increased this month as part of our debt recycling plans. Our interest rate is 1.99% and is a variable loan. We expect our liabilities to increase further in October as we continue to purchase more ETF’s via our investment loan to a total of 550k.

Total Net Worth Increase in 2021 (to date) = $262,542

Net Worth Calculator available here

End of 2021 Goal 1 million dollar net worth: Completed August 2021

How do I track our net worth?

I’ve tracked our net worth since mid 2019 and enjoy seeing it grow over time. I strongly believe that tracking can assist you on staying the course, because lets face it this getting wealthy business takes time (and it’s easy to feel like you’re not making progress and lose interest).

Being a bit of a spreadsheet nerd I track our net worth in a custom made spreadsheet which is available here for $5.50.

I also track it on a day to day basis on a free IOS app called ‘My Net Worth’ so I can see how I’m going over the month, and then I enter the details from the app into my spreadsheet.

How do you calculate net worth?

If you don’t want to download the free IOS app or use a spreadsheet you can calculate this manually.

  1. Writing down all of your assets and liabilities separately.
  2. Then add up all of your assets together to get a figure (write this down).
  3. Then add up all of your liabilities together to get a figure (write this down).
  4. Then take the sum of your assets and deduct the sum of your liabilities.
  5. This is your net worth.

Net Worth = (Sum of your Assets) – (Sum of your Liabilities)

Happy Calculating !!!!! If you don’t want to do the calculations yourself the Net worth Tracker I use is available in my Etsy shop for $5.50 (click on the image below for the link). I’ve also just updated it this month to calculate your FIRE net worth as well. If you’ve already purchased this get in touch with me with proof of purchase and I will send you the updated version.

If you would like to have articles like this delivered to your inbox subscribe below.

(We’re Millionaires) Net Worth Update – August 2021

We officially have a net worth of just over $1,000,000!!!!!!

Mid way through August we had our property officially revalued as part of our refinance. As a result our net worth was pushed into 7 figure territory. We’ve always been super conservative with the value of our property so it was nice to get a formal valuation. What was even better news is that the valuation was based on the property not having a laundry, and missing a bathroom and a toilet (we are in the middle of renovations so these rooms were completely gutted at the time of the visit). Once our Airbnb renovations are completed we will need to get another valuation done for taxation purposes, and we expect this value to increase with the renovations finished.

If you would like to see all net worth posts use this link here.

Net worth August 2021 – $1,020,562 (up $54,929)

Net Worth Calculator available here
Net Worth Calculator available here

Assets August 2021 – $1,386,988 (up $54,207)

Our asset increase in August was made up from the increase to our property value, our retirement funds (called superannuation here in Australia), and our ETF investments (with a tiny increase to Crypto too).

So what did we do right?

We upped our investing in August and invested 3k a fortnight via Pearler’s auto investment feature (we normally invest 2k a fortnight as per our investment strategy). We have temporarily upped our investing as we are so close to hitting our super stretch goal of 200k invested by the end of 2021.

Our retirement funds continued to grow thanks to our generous employment benefits (My husband receives 17.5% employer superannuation contributions, and I receive 10% but also have deferred tax benefits for any super contributions that are made to my account).

So what did we change?

As mentioned previously we increased our fortnightly investing amount to 3k to hit our super stretch goal of 200k in ETF’s by the end of 2021.

What assets do we include?

Often I see a lot of chatter around what should be counted towards your net worth. I don’t believe there are any hard or fast rules, and as you know I’m a huge believer in the saying ‘You do you and I will do me – it’s a no judgement zone here‘.

For us we like to keep things simple and don’t count our depreciating assets like cars and the boat (otherwise we’d be constantly changing the prices every month).

I also count our primary place of residence towards our net worth as we intend on selling it as part of our financial independence plan in 8 years time. Our property value is based on a formal bank valuation completed in August 2021.

Additionally we count our retirement accounts (called superannuation in Australia), taxable share/brokerage accounts, and our crypto (yep I know super controversial to add this one in but what the hell).

Liabilities August 2021 – $366,426 (decreased $722)

Our liabilities decreased this month which was great, but next month our liabilities will increase to around $550,000. At the time of writing this post we have been formally approved and are just waiting for our mortgage refinance to settle. These additional borrowed funds and new home loan structure will allow us to start debt recycling to purchase more ETF’s. As part of the refinance we managed to secure a much better interest rate (1.99%) than what we are currently on (2.67%) which is a bonus.

What liabilities do we include?

For liabilities we keep things simple and include anything and anyone we owe money to.

Total Net Worth Increase in 2021 (to date) = $260,342

Net Worth Calculator available here

End of 2021 Goal 1 million dollar net worth: $1,029,562 (Completed August 2021)

How do I track our net worth?

I’ve tracked our net worth since mid 2019 and enjoy seeing it grow over time. I strongly believe that tracking can assist you on staying the course, because lets face it this getting wealthy business takes time (and it’s easy to feel like you’re not making progress and lose interest).

Being a bit of a spreadsheet nerd I track our net worth in a custom made spreadsheet which is available here for $5.50.

I also track it on a day to day basis on a free IOS app called ‘My Net Worth’ so I can see how I’m going over the month, and then I enter the details from the app into my spreadsheet.

How do you calculate net worth?

If you don’t want to download the free IOS app or use a spreadsheet you can calculate this manually.

  1. Writing down all of your assets and liabilities separately.
  2. Then add up all of your assets together to get a figure (write this down).
  3. Then add up all of your liabilities together to get a figure (write this down).
  4. Then take the sum of your assets and deduct the sum of your liabilities.
  5. This is your net worth.

Net Worth = (Sum of your Assets) – (Sum of your Liabilities)

Happy Calculating !!!!! If you don’t want to do the calculations yourself the Net worth Tracker I use is available in my Etsy shop for $5.50 (click on the image below for the link).

If you would like to have articles like this delivered to your inbox subscribe below.

Net Worth Update – July 2021

At the start of the 2021 I would never believe that we would be so close to achieving a net worth of 1 million dollars. This year has been incredibly generous to us, and it has rewarded our consistency and hard work with positive growth month on month. That said it’s important to put this into perspective with last year in 2020 where that same consistency and hard work didn’t always result in positive growth. Whilst positive growth is great it’s not guaranteed even when you are consistent and put in the hard work. It’s during these “bad” months that you need to block out the negativity, keep up the hard work and consistency, and remind yourself that this is a marathon not a sprint. With the right attitude you can weather out the bad months, and set yourself up to be ready when those good months come back around.

If you would like to see all net worth posts use this link here.

Net worth July 2021 – $965,633 (up $3,906)

Net Worth Calculator available here
Net Worth Calculator available here

Assets July 2021 – $1,332,781 (up $12,399)

Our asset increase in July was made up from our retirement funds (called superannuation here in Australia), and our investments.

So what did we do right?

We consistently invested thanks to Pearler’s auto investment feature and invested $4000 this month (as per our investment strategy). We continue to invest at a rate of $2000 every two weeks so depending on the number of pay periods in the month this amount will fluctuate. In addition to our regular investment amounts July was also a distribution income month, and we reinvested $3,867.75 back into purchasing more ETF’s (if you want to read more about distribution reinvestment click here).

Our retirement funds also continued to grow thanks to our generous employment benefits (My husband receives 17.5% employer superannuation contributions, and I receive 10% but also have deferred tax benefits for any super contributions that are made to my account).

So what did we change?

We changed nothing this month and just let our investments do their thing. Our crypto portfolio continues to fluctuate crazy amounts, and I avoid looking at it except for the end of the month to do these updates. Please note that crypto makes up less than 0.6% of our net worth.

What assets do we include?

Often I see a lot of chatter around what should be counted towards your net worth. I don’t believe there are any hard or fast rules, and as you know I’m a huge believer in the saying ‘You do you and I will do me – it’s a no judgement zone here‘.

For us we like to keep things simple and don’t count our depreciating assets like cars and the boat (otherwise we’d be constantly changing the prices every month).

I also count our primary place of residence towards our net worth as we intend on selling it as part of our financial independence plan. We will be updating the value of our home in August as we are waiting on the results of a formal bank valuation.

Additionally we count our retirement accounts (called superannuation in Australia), taxable share/brokerage accounts, and our crypto (yep I know super controversial to add this one in but what the hell).

Liabilities July 2021 – $367,148 (increased $8,493)

As you can see our home loan increased this month after we withdrew even more money for our Airbnb renovations from our savings.

The good news to report in this area is that we have now withdrawn all the money we have set aside for renovations, and have placed these funds in a high interest account. We will use this account to continue paying our trades until the renovations are finished. Any leftover funds will go back into our redraw account to offset the mortgage after the refinance has been completed.

Next month our liabilities may increase if our refinance is approved. We have decided after much thought to start debt recycling, and do an equity transfer to move more of our assets into ETF’s rather than our primary place of living. I’ll keep you posted as to how this goes.

What liabilities do we include?

For liabilities we keep things simple and include anything and anyone we owe money to.

Total Net Worth Increase in 2021 (to date) = $205,413

Net Worth Calculator available here

End of 2021 Goal 1 million dollar net worth: $34,367 to go!!!!

How do I track our net worth?

I’ve tracked our net worth since mid 2019 and enjoy seeing it grow over time. I strongly believe that tracking can assist you on staying the course, because lets face it this getting wealthy business takes time (and it’s easy to feel like you’re not making progress and lose interest).

Being a bit of a spreadsheet nerd I track our net worth in a custom made spreadsheet which is available here for $5.50.

I also track it on a day to day basis on a free IOS app called ‘My Net Worth’ so I can see how I’m going over the month, and then I enter the details from the app into my spreadsheet.

How do you calculate net worth?

If you don’t want to download the free IOS app or use a spreadsheet you can calculate this manually.

  1. Writing down all of your assets and liabilities separately.
  2. Then add up all of your assets together to get a figure (write this down).
  3. Then add up all of your liabilities together to get a figure (write this down).
  4. Then take the sum of your assets and deduct the sum of your liabilities.
  5. This is your net worth.

Net Worth = (Sum of your Assets) – (Sum of your Liabilities)

Happy Calculating !!!!! If you don’t want to do the calculations yourself the Net worth Tracker I use is available in my Etsy shop for $5.50 (click on the image below for the link).

If you would like to have articles like this delivered to your inbox subscribe below.

Net Worth Update – June 2021

Happy End of Financial Year (in Australia anyway). I hope the 2020/2021 financial year has been good to you, and if it hasn’t I hope the new year is more kind. I don’t know about you but I love the end of financial year as it’s a bit like another chance to reset my new years resolutions, and get back on track. So this month we will take a look at how we’re going to date this year, and what our prediction is for the end of the year. If you would like to see all net worth posts use this link here.

I might sound like a broken record but ever since we automated our investing I’ve felt like our net worth posts are pretty uneventful. We pay our investments first, and live off the rest (simple right…). I get lots of questions around how we automated our investing and what our actual investment strategy is so feel free to read about it here.

I’ve tracked our net worth for the last 2 years (and counting) and enjoy seeing it grow over time. I strongly believe that tracking can assist you on staying the course, because lets face it this getting wealthy business takes time (and it’s easy to feel like you’re not making progress and lose interest).

Being a bit of a spreadsheet nerd I track our net worth in a custom made spreadsheet which is available here for $5.50.

I also track it on a day to day basis on a free IOS app called ‘My Net Worth’ so I can see how I’m going over the month, and then I enter the details from the app into my spreadsheet.

Net worth June 2021 – $961,727 (up $16,404)

Net Worth Calculator available here
Net Worth Calculator available here

Assets June 2021 – $1,320,382 (up $22,309)

Our asset increase in June was made up from our retirement funds (called superannuation here in Australia), our investments and a small increase in our home value.

So what did we do right?

We consistently invested thanks to Pearler’s auto investment feature and invested $4000 this month. We continue to invest at a rate of $2000 every two weeks so depending on the number of pay periods in the month (and any dividend payments) this amount will fluctuate.

Our retirement funds also continued to grow thanks to our generous employment benefits (My husband receives 17.5% employer superannuation contributions, and I have deferred tax benefits for any super contributions that are made to my account).

So what did we change?

Our crypto portfolio dropped this month, but we aren’t worried and keep our investments in this category very conservative in comparison to our other investments. Please note that crypto makes up less than 0.6% of our net worth.

What assets do we include?

Often I see a lot of chatter around what should be counted towards your net worth. I don’t believe there are any hard or fast rules, and as you know I’m a huge believer in the saying ‘You do you and I will do me – it’s a no judgement zone here‘.

For us we like to keep things simple and don’t count our depreciating assets like cars and the boat (otherwise we’d be constantly changing the prices every month).

I also count our primary place of residence towards our net worth as we intend on selling it as part of our financial independence plan.

Additionally we count our retirement accounts (called superannuation in Australia), taxable share/brokerage accounts, and our crypto (yep I know super controversial to add this one in but what the hell).

Liabilities June 2021 – $358,655 (It went up almost 6k)

As you can see our home loan increased this month after we withdrew money for our Airbnb renovations from our savings. We keep our savings in our redraw account to offset the interest we pay on our mortgage.

We will continue to take out money next month in July to pay our tiler, and may still need to dip into this in August (not sure yet). We are drawing out of our savings, and are in a privileged position to do this. That said we are now at a point that I’m concerned we don’t have enough savings so we will likely need to do some topping up in the second half of the year.

What liabilities do we include?

For liabilities we keep things simple and include anything and anyone we owe money to.

Total Net Worth Increase in 2021 (to date) = $201,507

As you can see from the graph below our assets have grown and our liabilities have grown (not in a good way).

Net Worth Calculator available here

Overall this has meant a net worth increase of just over 200k in 6 months. I’m gobsmacked by this amount, and I’m hopeful that we may reach our 1 million dollar net worth target by the end of 2021.

But who knows…….

How do you calculate net worth?

If you don’t want to download the free IOS app or use a spreadsheet you can calculate this manually.

  1. Writing down all of your assets and liabilities separately.
  2. Then add up all of your assets together to get a figure (write this down).
  3. Then add up all of your liabilities together to get a figure (write this down).
  4. Then take the sum of your assets and deduct the sum of your liabilities.
  5. This is your net worth.

Net Worth = (Sum of your Assets) – (Sum of your Liabilities)

Happy Calculating !!!!! If you don’t want to do the calculations yourself the Net worth Tracker I use is available in my Etsy shop for $5.50 (click on the image below for the link).

If you would like to have articles like this delivered to your inbox subscribe below.

Net Worth Update – May 2021

Goodbye May and welcome to the last month of the financial year (for us Australians) !!! As you know we like to be open and honest with our journey to financial independence so we share our monthly net worth. If you would like to see all net worth posts use this link here.

I’m not sure about you, but May was a pretty uneventful month for us. I would go so far as to call it boring from a financial point of view. May felt like we were just rinsing and repeating April. We automated our investing in April (Feel free to read more about how we automated our investing here), and so we just kind of sat back and let everything do it’s thing according to our investment strategy (You can read all about our investment strategy here).

I’ve tracked our net worth for the last 2 years and enjoy seeing it grow over time. I strongly believe that tracking can assist you on staying the course, because lets face it this getting wealthy business takes time (and it’s easy to feel like you’re not making progress and lose interest).

Being a bit of a spreadsheet nerd I track our net worth in a custom made spreadsheet which is available here for $5.50.

I also track it on a day to day basis on a free IOS app called ‘My Net Worth’ so I can see how I’m going over the month, and then I enter the details from the app into my spreadsheet.

Net worth – $945,323 (up $10,014)

Net Worth Calculator available here
Net Worth Calculator available here

Assets – $1,298,073 (up $9,708)

Another good month here. Our asset increase was made up from our retirement funds (called superannuation here in Australia), and our brokerage.

So what did we do right?

We consistently invested thanks to Pearler’s auto investment feature and invested $4000 this month (If you would like to read more the Pearler Investment Platform use the link here). Our retirement funds also continued to grow thanks to our generous employment benefits (My husband receives 17.5% employer superannuation contributions, and I have deferred tax benefits for any super contributions that are made to my account).

So what did we change?

Changes this month included consolidating my superannuation from my 3 month contract role in the first quarter of 2021. We also made the decision this month to sell out our Spaceship (made a loss), and transfer it to crypto (so we’ll see how that goes….). Please note that Crypto makes up less than 0.1% of our net worth.

What assets do we include?

Often I see a lot of chatter around what should be counted towards your net worth. I don’t believe there are any hard or fast rules, and as you know I’m a huge believer in the saying ‘You do you and I will do me – its a no judgement zone here‘.

For us we like to keep things simple and don’t count our depreciating assets like cars and the boat (otherwise we’d be constantly changing the prices every month).

I also count our primary place of residence towards our net worth as we intend on selling it as part of our financial independence plan.

Additionally we count our retirement accounts (called superannuation in Australia), taxable share/brokerage accounts, and our crypto (yep I know super controversial to add this one in but what the hell).

Liabilities – $353,056 (down $306)

As you can see our home loan decreased this month after we withdrew for renovations last month. We didn’t pay any extra above the minimum as we are still spending any spare dollars over our investing on renovations. I don’t see the situation changing soon, and we actually will likely need to dip into this again in the coming months.

What liabilities do we include?

For liabilities we keep things simple and include anything and anyone we owe money to.

How do you calculate net worth?

If you don’t want to download the free IOS app or use a spreadsheet you can calculate this manually.

  1. Writing down all of your assets and liabilities separately.
  2. Then add up all of your assets together to get a figure (write this down).
  3. Then add up all of your liabilities together to get a figure (write this down).
  4. Then take the sum of your assets and deduct the sum of your liabilities.
  5. This is your net worth.

Net Worth = (Sum of your Assets) – (Sum of your Liabilities)

Happy Calculating !!!!! If you don’t want to do the calculations yourself the Net worth Tracker I use is available in my Etsy shop for $5.50 (click on the image below for the link).

If you would like to have articles like this delivered to your inbox subscribe below.

Net worth Update – April 2021

Goodbye April and Hello May!!!! As you know we like to be open and honest with our journey to financial independence so we thought it was about time to share our net worth progress each month.

I’m a huge fan of the Aussie Firebug who has a successful blog and podcast of the same name. He has tracked and posted his net worth with a blog post every month since July 2015. I’ve only been following him for the last 2 years, but all of his net worth posts are available here for you to look at (its quite inspiring). His posts start with a net worth of 161k and at the time of writing this post it was 887k (March 2021)

I’ve tracked my own net worth for the last 2 years and enjoy seeing it grow over time. Being a Microsoft Excel lover I track it in in a custom made spreadsheet which is available here. I also track it on a day to day basis on a free IOS app called ‘My Net Worth’ so I can see how I’m going over the month, and then enter the details from the app into my spreadsheet.

Net worth – $935,309 (up $21,275)

Net Worth Calculator available here
Net Worth Calculator available here

Assets – $1,288,365 (up $25,054)

It was a really good month for us with house prices growing steadily in our area over the last few months. We are very conservative with our house price and base it on actual sales of comparable houses in our local area not just realestate.com.au’s track my house feature (we also allow a -10% buffer).

Other contributing factors to our net worth this month are consistently investing thanks to Pearler’s auto investment feature (read more about Pearler here). This month was particularly good as we had a dividend pay-out which was reinvested into purchasing more shares.

Our superannuation continues to grow at a good pace thanks to my husband and I both receiving additional superannuation benefits above standard benefits. My husband receives 17.5% employer superannuation contributions, and I have deferred tax benefits for any super contributions that are made to my account.

Our micro investing accounts and crypto account also continue to slowly grow over time.

What assets do we include?

Often I see a lot of chatter around what should be counted towards your net worth. I don’t believe there are any hard or fast rules, and as you know I’m a huge believer in the saying ‘You do you and I will do me – its a no judgement zone here‘.

For us we like to keep things simple and don’t count our depreciating assets like cars and the boat (otherwise we’d be constantly changing the prices every month).

I also count our primary place of residence towards our net worth as we intend on selling it as part of our financial independence plan.

Additionally we count our retirement accounts (called superannuation in Australia), taxable share/brokerage accounts, and our crypto (yep I know super controversial to add this one in but what the hell).

Liabilities – $353,056 (up $3779)

Net Worth Calculator available here

As you can see our home loan increased this month and this is no mistake. We made a withdraw from our redraw account today in preparation to pay for the $4000 bill for renovations next week. Our redraw contains our Emergency Fund and renovation funds. We plan to slowing replenishing our renovation funds over the next few months by making additional payments to our mortgage.

What liabilities do we include?

For liabilities we keep things simple and include anything and anyone we owe money to.

How do you calculate net worth?

If you don’t want to download the free IOS app or use a spreadsheet you can calculate this manually.

  1. Writing down all of your assets and liabilities separately.
  2. Then add up all of your assets together to get a figure (write this down).
  3. Then add up all of your liabilities together to get a figure (write this down).
  4. Then take the sum of your assets and deduct the sum of your liabilities.
  5. This is your net worth.

Net Worth = (Sum of your Assets) – (Sum of your Liabilities)

Happy Calculating !!!!! If you don’t want to do the calculations yourself the Net worth Tracker I use is available in my Etsy shop for $5.50 (click on the image below for the link).

If you would like to have articles like this delivered to your inbox subscribe below.