The Long Overdue Net Worth Update June 2014
Once upon a time, there was a girl (err, woman), named Spenderella, who lived in a fairy tale land. This land was a beautiful one, where she lived in her own castle with a handsome prince, and made that castle beautiful through the fruits of her bank’s labour. She bought all on credit and was surrounded by beautiful things. The bills were paid each month, but just barely, money was shuffled here and there until there was no more. Suddenly one day, dark clouds hung ominously from the sky, life as Spenderella knew it was about it change, dramatically. The Evil Bankmother, Divorce & Debt loomed, waiting in the shadows for the unsuspecting Spenderella. All the years that Spenderella had lived in doubt and delusion about her money, were about to come back to haunt her.
Suddenly, the Evil Bankmother stepped out from the shadows: “You have lived in debt for most of your life; it is time that divorce and repaying maxed out credit come your way. You will be cast into a land of truth where you will see how much you owe and that you are worth nearly nothing. In delusion and denial you will live no more!”
Spenderella’s world crashed down, she was forced to live in a small room with family, and had to face the truth of all her money mistakes. Then one day when she thought all was lost, her fairy godmother came to her on a sparkling cotton candy cloud, “My child, you must keep track of your money, a budget is a must. I will give you the tools and knowledge to keep track of your money and it is my hope that you won’t spend frivolously anymore.”
So Spenderella started keeping track of her money and watching what she spent. She still had moments when a beautiful gown tempted her into spending too much of her money, and with no real goal she spent it happily.
A year later, her fairy godmother appeared again to her: “My child, you must start tracking your net worth or you’ll never know where you’re headed and how much you’ve achieved. You must track your net worth and make sure it grows exponentially. You must learn about investing and what money can do for you.”
And so begins Spenderella’s tracking of her net worth.
That’s my cute little fairy tale life up until now. It’s been a while since I’ve checked in on my net worth. After going through my blog further, I realized the first update was July 2013 and man, have I made progress. It was nice to see the positive change, mostly due in part to paying down my car and increasing my RRSP savings. I also included it in my 2013 Yearly Review which shows I’ve made progress of $3359 since January 28,2014.
*this is all my RRSP accounts combined, includes TFSAs, RRSPs and all the below listed TFSA EF, Car, Home, Vacation.
Emergency Fund Current $2211.59 Goal $4,000 by end of 2014
Car Fund Current $1045.64 Goal $30,000 by 2015, or $4400 by year-end *I do subtract from this as maintenance comes up. It’s not only a new car savings fund but also a car maintenance fund.
Vacation Fund Current $484.23 Goal $3,000 by end of 2014
Dream Home Current $296.23 Goal $30,000 by 2015 *this was a stretch goal if all plans went well and they haven’t.
Other items to note, I DO NOT own a home or condo so there’s no mortgage. And I have no assets….I do not consider my car an asset as they depreciate so quickly it’s not a worthwhile venture to consider it as such.
My spending is all over the place right now, on a good month I average $3500 and on a bad month (read: clothing spend) I can be at $5-7K, which is utterly ridiculous and fantastical. Spenderella is going to wake up and be living in a pumpkin if she keeps that up.
I only have two outstanding debts to speak of – car payments and a consumer line of credit.
Total Debt $39,160.00
Line of Credit $22,943.00
Considering I started out with $62,632.78 in total debt, I’ve made a lot of progress. Most of this progress has been made on my car and not my line of credit. I’ve still had the nasty habit of using my LOC to pay for things.
Net Worth $18,288
My net worth has steadily increased since October of 2013; this was the earliest I had all investments plugged into Quicken, I procrastinated on entering them. Last year I did a lot of jumping between financial programs to find what worked best for me. If I look back into 2013, my net worth has gone from around $5K to $18K. Yea me!
We’ll consider this my first official net worth update and I’ll be regularly tracking it on a monthly basis going forward.
Do you track your net worth? Are you like me and at 38 years of age are finally starting to keep track?