Posted by Tim Stobbs on December 31, 2008
Mmm, I’m having a good vacation. Can you tell by the lack of posts lately? Anyways I’m back with my net worth update for the end of 2008.
Wife’s RRSP $6700
Wife’s Investment Account $5200
My Investment Account $7800
High Interest Savings Account $1200
Therefore my net worth now stands at $219,600 for the end of October 2008. That is an increase of $600 or 0.3% from my last update. So overall my net worth increased by 2.1% in 2008. Mean while my investing net worth dropped 4%.
What?!?! After all that mess I still managed to squeeze out an increase on my net worth this year! YA! Now that’s a nice New Year’s present to myself. Actually looking at the numbers in a bit more detail I’ve noticed the free fall in my house and investments seems to be slowing. Now the cash going in equals the cash value I’m losing so I’m basically just holding my head at the same level for now.
In general 2008 did teach me several things. These are my top lessons from the year:
- Don’t depend on anything in your net worth staying the same. Remember net worth is a snap shot, but don’t get overly attached to any number as they will shift over time. Sometimes by a lot!
- I suck at picking stocks. Really I’m looking at the detailed numbers and it’s become fairly obvious that I’m not any good. So I’ll be limiting my self at this in the future.
- Sticking to an investing plan is required. You must have an investing plan and stick to it. In a free fall market it’s the only thing that will keep your head on straight.
- Take the long view. Ok 2008 didn’t look so good overall, but I should keep in mind my net worth at the end of 2006 was $80,200. I’m still up 174% from there.
- Remember to live your life. Personal finance and early retirement are a nice hobby of mine, but I do have a lot more life out there than that. So remember to spend time with your loved ones and be thankful for what matters most (hint: it isn’t your net worth).
Graphs will be updated later (I’m having software issues this morning).