Aloha, fellow Money Wizards!
No, I’m not in Hawaii. But it is Summer. And time for another net worth update!
If you’re new here, every month I share my progress in growing my investment portfolio to a point that will let me walk away from work by age 35. I’m currently 29 with a couple hundred thousand to go, so let’s see the latest!
Life Update: June 2019
June had some big shoes to fill. But to be fair, topping May’s wild ride of going on vacation, getting engaged, and even experiencing real life Grand Theft Auto might have been way too much to ask.
Instead, the month-over-month systematic downgrade in excitement, from National Park vacations to low-key cabin trips with friends, from dramatic proposals to much more mundane wedding planning details, and from victims of theft to… not victims of theft… was actually a welcome development!
So, what’s there to type about? Not a whole lot, and I’ll count that as a good thing!
On the wedding planning front, Lady Money Wizard and I think we finally found a wedding venue in the in the sub $800 range, which should be more than fancy enough to accommodate myself, Lady Money Wizard, and 50 of our closest friends.
Getting to that number was shockingly hard. As everyone who’s ever planned a wedding says, the number ads up quickly! And we had to make some tough calls to keep it intimate. (Sorry Aunt Petunia, if our paths haven’t crossed in eight years, you probably aren’t making the cut!)
We still plan on side hustling our way to cover the entire cost, so stay tuned for that.
Outside of those plannings, I settled into a pretty normal routine of going to work, relaxing at home, and doing it all over again. And the craziest part, I actually enjoyed it!
Is this a glimpse of the slow slide into married life? 😱
On a few occasions, we did break up the routine with some relaxed events at the house. One night, we decided to stay in and put an old cooking class’s recipe to the test, by rolling up a mega-batch of 50+ homemade egg rolls!
To my surprise, I had a blast impersonating an overworked cook, and the whole experience was an awesome reminder about how the “simple” things often bring even more entertainment than the elaborate ones.
Net Worth Update: June 2019
And the month to month spreadsheet:
Mostly all green! And maybe the craziest growth since I started the site!
I passed $300,000 for the second time. And while it’s kind of bitter-sweet to pass the same net worth milestone more than once, it’s definitely better than the alternative!
Cash: $7,148 (+$1,187)
Just more savings from my salary. As a write this though, I’m realizing I should at least be transferring some of this growing balance into a better cash investment.
Brokerage: $145,223 ($8,775)
The big news here is that after the S&P 500 fell nearly 7% in May, the ‘ole invincible stock market came surging back in June.
Of course, I don’t actually think this stock market is invincible, and I’m still waiting on the same market correction I’ve been wondering about since… 2015? Oh well, bad things usually happen to people who try to outsmart the market, so here we are.
Despite all the volatility, my brokerage allocation remains mostly unchanged:
- 69% Vanguard Large Cap Index Funds (65% is the VTSAX fund and 35% is Vanguard’s VUG and VTV etfs.)
- 14% Individual Stocks back from the when I was young and dumb and thought I could beat the market
- 10% Vanguard Federal Money Market Fund
- 7% Bond Index Funds (2/3 in Vanguard’s VBTLX fund and 1/3 in Vanguard’s BSV etf)
This allocation certainly isn’t perfect, but it’s not bad, either. On my to-do list before the end of the year is to really think about what sort of portfolio I want for the long haul. With the crazy market rallies, all time highs, and less than six years until “retirement,” I’ve got a some decisions to make.
401(k): $123,920 ($9,905)
My usual $1,000 of paycheck contributions and employer matching, plus the big stock market rebound.
My 401k allocation is roughly 40% large cap index funds and 60% small cap and international stock index funds. Apparently, the latter had a pretty good month.
Roth IRA: $36,827 (+$1,722)
Inside my Roth, I converted $2,000 from Vanguard’s Federal Money Market Index to Vanguard’s REIT Index fund.
I now have just $1,000 left to be converted from the $6,000 I maxed out earlier this year. I’ll make the final move in July, at which point, the Roth will be back to 100% invested in Vanguard’s REIT Index.
One cool note about the Roth this month – quarterly dividends! I scored a $330 check… just for having money? Investing is a beautiful thing.
Rent Payable: $781 (+$2)
Hopefully I’m not jinxing anything, but it’s been a nice and cool summer here in Minnesota. So, we haven’t had to run the AC much at all.
For newer readers, this cost represents my half of the mortgage, utilities, and anticipated home maintenance. We allot 2% of the home’s value to expected maintenance each year, or $300 per month, which lets us pay for any miscellaneous house expenses, stress free.
Credit Cards Payable: $2,877 ($800)
This question comes up a lot, so I thought I should address it. This number represents my monthly credit card statements, which I pay off in full every single month.
Credit card interest is a huge wealth killer. If you’re paying it, time to adjust everything and start investing your money in the correct order.
That said, as usual, I had some reimbursable work expenses on here which inflate the total credit card amount, so let’s look at the detailed monthly spending report.
Total June Spending: $2,099
Despite the homemade eggroll events, this was a little higher than usual, most likely because of the lack of travel.
Highlights included a taco night / margarita night at a friend’s house, a wedding, and a night on the town with an out of town friend. Town-ception.
House Expenses: $94
One thing they don’t tell you when you buy a fridge with a water dispenser… those replacements are insanely expensive! All $94 this month was devoted to a couple year’s supply of refrigerator water and air filters.
A re-up on medicine for The Cash Cat.
Everyone’s got that one splurge they’re not ashamed of. For me, that’s always been high-end sunglasses.
I’m a sucker for scenery, and for me, Maui Jim’s sunglasses are so next level they legitimately make the world a more beautiful place. Not to mention, they put all the pretend high-end sunglasses (cough… Ray-Ban!) to shame.
With summer rolling around, I thought it was finally time to replace my last pair, which are probably still flying around at 30,000 feet on the airplane I left them on two years ago.
I’ve been on a book reading rampage lately (6 books finished in the last two months!) so I placed a $30 Amazon order to replenish the reading list.
This category also included $115 to get Lady Money Wizard’s engagement ring resized to perfection, plus a gift to a friend who finally finished a lengthy post-grad program.
How was your June?
I look forward to hearing about your summer in the comments!
PS – If you haven’t jumped on the bandwagon yet, I’m still obsessed with Personal Capital. Personal Capital will automatically track your spending, double check your portfolio allocation, and add up your entire net worth in one place.