April 29, 2019May 4, 2019 FOGA

Net Worth Update #3- April 2019

Net Worth

Hello FOGA Readers! Welcome to Net Worth Update #3- April Edition. 🙂 We are still in recovery from our “fantastic” month of March, but we are getting by.

For anyone who is not aware, your net worth is your total assets minus your total liabilities. Also known as everything you own of value minus everything you owe.

I put our specific income into this, but I am sure you will be able to tell the good months from the bad ones. I get paid twice a month if I have closings. If I don’t, I do not get paid. It tends to make things interesting around here.

Mr. FOGA has regular bi-weekly paychecks, so that keeps us afloat on my bad months (sometimes anyway).

Of course, there is not always going to be a lot of change with some of the sections here (like our house), but it will be helpful to see the fluctuations overall.

So without further ado, let’s get into Net Worth Update #3!

Assets

Home- $254,000

The usual stuff: I don’t consider our home to be an investment. We live here, and that’s all. However, it does it have a value, so I’ve added that as part of our net worth. Not to mention, since we have to include the mortgage, we might as well note the value of the home. Otherwise, our net worth is incredibly negative, and that’s no fun.

We are in the process of refinancing our mortgage currently. Since we are going from an FHA loan to a Conventional loan, we had to do the full refinance and get an appraisal. The appraised value of our home was $254,000. Considering we bought it for $242,500 two years ago, that’s not a bad increase. Of course, it is a decrease in this update, but now we have a more accurate number.

Investments- $71,769

I made it a goal to increase my 401K from 9% to 15% in April. Spoiler: I did do that, but it did not affect my last paycheck. We’ll see how it goes in May.

We put $500 in each of our IRAs this month as well. It was nice to do that. Haven’t put any money in the IRAs since January.

The IULs always go up since they are designed that way. We always make at least 1% on these. The downside is we have a cap on how much we can earn in interest. It’s a trade-off, but that’s why we put the minimum in those accounts. I used to put much more into mine which is why there’s such a difference between mine and Mr. FOGTA’s. I stopped over funding to be able to put more in the IRAs. We can also make one time payments.

Emergency Fund- $21,707

Ally has been doing well. We have earned over $100 so far this year in interest in this account. 🙂

The goal is to get this account to $50,000 by the end of the year. That would be a total of one year’s worth of expenses. We’ve just passed $21,700 this month (added $100 this month), so only about $28,300 to go. That’s not a lot right??? Lol

I wanted to keep it separate for a few reasons. First, as I mentioned earlier, Ally earns more interest. Second, it’s out of sight, so it’s out of mind. Finally, it takes a while to access (three business days), so we’re not going to use it in a pinch.

Savings- $2750

Here is where we keep the rest of our savings. This savings account is essentially an immediate emergency fund. If something comes up, we have easy access to some money, but not ALL the money. This is also the funds we use for projects around the house and vacations. It came in handy during all the fun in March and the early fall out in April.

We got some cash back rewards from our main credit card, and we were able to put some money into this as well. It’s still lower than last month, but I think we are finally at our turning point with all the craziness that happened.

Total Assets- $350,227

Liabilities

Mortgage- $224,778

The mortgage hasn’t moved. Since we had it paid to May, when we decided to refinance, they told us not to pay anything. So, the number didn’t move this month. Next month, it will go up since we added some of the closing costs to the new mortgage, but we knocked off nearly two years off the mortgage, and we’re a conventional loan. I will go into this on a later post.

We do have the plan to pay this off, but we have set a set dollar amount to pay towards the mortgage every year. This way we can invest and pay down the mortgage, because I really, REALLY hate debt. 😀

Credit Card- $508.99

Sigh…..So, I did mention that March sucked right? Well, I didn’t want to lower the savings account anymore with a vacation coming up. So, we have a balance on this card. It will get paid off next month, but it does exist past the end of the month, so here it is.

We will eliminate it quickly.

Total Liabilities- $225,287

Net Worth

All I can say is yay it went up!!! I honestly was expecting a negative month. We got to deal with fall out of some of March at the beginning of April, so it made things interesting. Thankfully, we are finally out of the tunnel and into the light. Starting in mid-May, I will have fairly consistent paychecks. We will able to get some stuff done.

We are looking forward to watching this number go up as we get closer and closer to Financial Independence. 🙂

In Summation

So that was Net Worth Update #3. Next one will be at the end of May/beginning of June. Looking forward to regular paychecks (while we’re on vacation at that). 😀

Do you have a net worth update? If so, I would love to read it. Please put a link in the comments below.

If you like reading Net Worth Updates, check out these posts from Our Table 4 Two and New Millennial Investor as well. 🙂

Otherwise, what did you think? Good? Bad? Any thoughts? Please share below.

Until Next Time!

-Ms. FOGA