Net Worth Update – June 2017
Geez! Time flies when you’re saving money! I just realized it’s been too long since I’ve updated the blog. In the last 3 months we’ve continued to see our net worth increase. The key areas we’ve seen increases are in our 401k’s and our home values. I recently booked some of the increase we’ve seen in our escalating real estate market. The real estate market in the Pacific Northwest is going bonkers. It feels exactly like the market of 2008 where every month saw big increases in our home values. We’ve now surpassed the peak of 2008 by almost 10%. It sure does make you wonder if it will all come crashing down again. I’m hoping that it keeps going up for the foreseeable future simply because we will likely be selling our house in about 4 years and every bit it increases or at least levels off helps our retirement “after tax” account. Since we own our vacation house with no mortgage, we’re planning to move out there so we’ll have all the equity of this house to use towards our early retirement.
Anyway, the new net worth number is $1,447,765. To many people that likely seems like a pretty big number. The reality is that it’s not enough to carry us through the next 40+ years of an early retirement so we’ll continue our march toward financial independence. Once we have about $2M in invested assets, we’ll think long and hard about pulling the trigger. I’m continuing to watch the health care situation in the US. It’s certainly not trending toward being helpful for early retirees. It’s hard to believe that the politicians will really make health care crazy expensive for older citizens that haven’t hit the medicare age of 65. If we are faced with $20,000+ health care premiums in our 50’s and early 60’s, we might have to work longer than we want to. The other option we are still exploring is moving to the UK when we retire since both my wife and daughter are British citizens. If we moved there, we’d likely pay more in taxes, but I think it would still be cheaper than paying all the taxes we do in the US, plus healthcare costs. Time will tell.
Edit: Holy moly! I just realized that from July 2016 to June 2017 we’ve averaged a monthly net worth increase of $20,416 and we still have the rest of June to go. Wow!