Posted by Tim Stobbs on December 30, 2011
Ugh, where has my year gone. These last few months have just flown by on me. Anyway here is my year end net worth update.
Wife’s RRSP $27,900
Wife’s Investment Account $11,800
Wife’s TFSA $10,500
My Investment Account $6,000
High Interest Savings Account $2,100
Net Worth $473,500 (+$14,500 or +3.2%) [+ 23.5% YTD ]
Investment Net Worth $149,400 (+$9,800 or +7.0%) [+17.7% YTD]
Mortgage is down by $40,600 or 104% of my goal for 2011.
The stock markets continued to be nervous over sovereign debt levels and have keep returns low for the second half of 2011, which would be a problem for most people’s net worth, but not mine. So what the hell happened? Simple, as you can see by my mortgage goal for the year I focused on debt reduction mainly which boosted my net worth for the year nicely regardless of the stock markets. Of the $90,000 increase of my net worth just about half of that was from paying down my mortgage.
Overall I’m more than happy with 2011 results, which is good since my goal for 2012 is to finish paying off my mortgage which is slightly above what I managed to pull off in 2011. As a stretch goal for 2012 I would also like to finish paying off my line of credit (HELOC) which I had previously used to put some money into investments earlier in the year when the market was down.
It’s interesting to note that after several years of concentrated effort my wife’s RRSP finally exceeds my RRSP. We realized a while back that to split income in our early retirement years we would need to do this, so it’s nice to see that threshold reached. In case you weren’t aware, income splitting only applies on pension income (not RRSP under 65), and since you often can’t take your pension early you need to have some spousal RRSPs to split income.
Happy New Year to you all!