Okay, I’m done being at work but I’m still on vacation until near the end of October, so in preparation of the next phase of my life (aka: early retirement) I’m making some changes to these net worth posts. So please be patient as I work out the changes over the next few months. In that end, the focus of these posts will now shift from increasing our net worth to balancing our income & investment gains versus our spending.
The following is an update of Tim’s early retirement. Please note we are mortgage free and our goal is have our income/investment gains exceed our spending on a 12 month rolling average but I’m just starting to track this as of this month.
Wife’s RRSP $87,540
Wife’s TFSA $78,950
Wife’s Taxable $52,180
High Interest Savings Account $45,470
Investment Net Worth $595,030 ($11,010 increase over last month from $6252 contributions, and investment gains $4758 )
To keep things simple I’m only going to track what income comes into our main ‘house’ chequing account. I won’t be tracking my wife’s or my businesses income as those don’t really matter until the money moves over to the ‘house’ account. Also I won’t track investment gains since that is covered above.
- Tim’s Vacation Income: $6560
- Wife’s Monthly Payment to House: $500
- Child Tax: $310
- Reimbursement of Expenses (Tim Work): $290
- Total Income: $7660
Last Month $2363
We renewed three passports for $377 but otherwise had a good month.
As I mentioned last in previous updates I’m breaking out the renovations separate from the rest of our spending this year.
Trailing Last 12 Month Renovations $9509
Trailing Last 12 Month Average Everything Else $2942 (or $35,305 for the last 12 months)
Net Worth ~$990,030
Investment Gains & Income/Spending Ratio = (4758+7760)/$2363 =5.3 (Target 1 or higher)
While the markets finally had a decent month after being rather stagnate over the summer so that was a nice boost to the investment gains. As I mentioned above I’m on vacation right now so we have continued to increase our savings until the end of October when I’m officially done work.
(click to make bigger)