January 2022 Net Worth Update
January 2022 – Total Net Worth
As part of my FIRE blog I will be tracking my net worth on a monthly basis and compare it to where I want to be when I reach my FIRE number. I will also compare it to where it was sitting last month. A summary of my assets are as follows:
Explanation of each category:
Property
My second IP went up by $50,000 in value according to www.onthehouse.com.au which is the reason for the increase in this category. Through the money my first IP also was up $50,000 but it was only temporary and at the end of the month it was back to the original value.
Cash
Cash has also been relatively stable for the month
Shares
I said last month there would be a downturn around the corner and it was a lot closer than I expected! I have actually been lucky that the last couple of days have shown about $5,000.00 in recovery, so it has now ONLY gone down $9,000 instead of $14,000.00. Keep in mind that there was also about $7,000 deposited into shares this account, so it was really a pretty poor month in terms of shares – but it was going to happen eventually.
Superannuation
Similar to shares, my superannuation has gone down a fair bit which is unfortunate, but I am sure it will recover eventually.
Other
Minimal change
January 2022 Budget Summary
Income – TOTAL: $6,714.84
- Normal Income: $4,411.00
- IP Net Income: $2,303.84
- Other Income: $0
Expenses – TOTAL: $3,270.46
- Normal Expenses: $3,270.46
Savings Rate – +51.30%
I mentioned in my 2022 goals that I was going to measure my Savings Rate differently this year. I am not going to include my IP costs as part of my expenses, and instead I will count the IP net income as in income, and my expenses will only be my actual living expenses.
I also like to track my income and compare it to my passive income, including my gains for the month.
January Normal Income – $4,411.00
January Net IP Income – $2,303.84
January Net Shares Gain – -$16,068.80
January Passive Income – -$13,764.96
After a pretty average month with shares my passive income was significantly below my work income. The benefit is that at least there will be a bargain of shares to purchase this month, although unfortunately it will be a relatively low share purchase as I do not have as much spare cash around as normal.
Plan for February 2022
I thought it was all finished, but I had one more final issue with my US Taxes, but after talking to the IRS for around an hour on Saturday morning I think I am one step closer to having it all completed. Unfortunately, I have a bit extra to pay in my taxes for late fees which is frustrating Unfortunately I will not be making a share purchase this month as I will not have enough available to make it worthwhile.
Share Purchases – February 2022
I will have to postpone the share purchase until March 2022 unfortunately.
2022 Goal Tracking
A new addition to my monthly summaries is tracking against my goals to hopefully have some accountability to ensure I do get there.
- Invest $30,000.00 into my share portfolio by the end of 2022
Currently achieved $7,000 out of the $30,000 goal!
- Invest an additional $10,000 into superannuation by end of financial year
Currently $0 out of $10,000 of this goal!
- Finish 2022 with a savings rate of 50%
Current savings rate of 51.30%
- Read and Review 12 Financial Books in 2022
Currently have read and reviewed 2 books
- Read 20 non-financial books in 2022
Currently have read 0 books non-financial related