October Net Worth Update
We continue to march forward on our net worth journey. The last couple months were pretty average, although average has been very positive. If we are averaging a little over a $10K increase per month, that equates to over $120K per year which is pretty fantastic. When I’m doing rough estimates in my head, I use the $10K per month figure to estimate how many years away we are from checking out of the workplace. While we’ve had months lower than that, and months higher than that, it usually comes out to about that average.
The main areas of NW appreciation are due to investment account contributions and company matching and also real estate appreciation. We are in the Pacific Northwest which is seeing crazy real estate values, once again. I’m starting to think this is turning in to San Francisco. While I’m booking the increases in our real estate, I’m doing so very cautiously. Earlier in our careers when I was tracking our net worth, I focused on the overall NW number which included real estate. Now I find myself looking at just the investment accounts, because a) I don’t trust what real estate is going to do and b) You have to live somewhere! All that being said, when thinking about our future, I usually count the equity in our main home as part of our retirement funds since we expect to move to our much smaller second home that is paid for when we retire.
Anyway, the march continues. I spend a lot of time on the FinancialIndependence subreddit over at Reddit looking for new ideas and to hear about other people’s stories. Other than that, it’s been a pretty boring march towards financial independence, which is pretty normal for this stage of the game. When we were younger, it was all about learning the fundamentals and putting them in to action. As we’ve progressed, it really comes down to self discipline and staying the course.