PoP Balance Sheet – April 2015

Welcome to our April 2015 Balance Sheet!

We use the structure of a monthly income statement and balance sheet in tandem to make sure we are keeping our expenses low and planting our pennies wisely. If you’re not already tracking your finances using these two methods, go to mint.com and get started today! If you have any questions about how we do this just post a comment and we’ll be sure to help!

April was pretty boring as we mostly just added a little to our 401Ks, held on to a little bit of cash leftover at the end of the month, and just rode the waves of Mr Market, which ended the month with a nice little boost.

So for the month of April:

  • Our total assets went up by $17.9
  • Our total liabilities went up by $1.2 
  • Net worth rose by $16.7K 
  • Total net worth as of the end of March is $887.2K, which represents a 1.92% increase this month.

And for the details…


Is it just me or has this graph gotten eerily smooth of late?


Stock Accounts

  • 401K accounts: $247.8
  • Roth IRA accounts: $164.7
  • HSA account: $10.9
  • Taxable Brokerage Accounts: $80.6
  • Total Stock Accounts: $507.0 – just modest growth, plus our normal 401K deposits

Real Estate (based on current market comparable sales)

  • Primary Residence $239
  • Investment Duplex: $130 – a little out of date, but we’ll update this once the new roof is on this place in May
  • Investment Residential Land: $80
  • Total Real Estate: $449.0 

Cars (values from Kelly Blue Book)

  • Car 2: $8.4
  • Total Cars: $8.4

Cash Holdings

  • Checking Accounts: $10.0
  • Savings/Money Market Accounts: $6.2
  • Total Cash Holdings: $16.2

Total Assets: $980.6   


Real Estate Loans

  • Primary Mortgage: $90.4
  • HELOC on Investment Duplex: $0.0 (re-advanceable)
  • Personal Loan – Used to Purchase $50K Duplex: $0.0
  • Total Real Estate Related Loans: $90.4

Revolving Credit

  • Credit Card Balance: $3.0
  • Total Revolving Credit: $3.0 – I put $2K on these right at the end of the month which is why they’re a little higher than usual.  No worries, they’ll be paid off before any interest accrues.

Total Liabilities: $93.4

Net Worth = Assets – Liabilities

Net Worth = $887.2, up 1.92% from March


Tracking Investable Asset Growth

This first graph shows the growth of our investable assets (net of any liabilities against them), and shows the distribution of the various equity classes we hold. Pretty self explanatory.



How Many Years Of Spending Do We Have Saved?

Here I’ve taken the total of our investable assets for each month and divided it by the expenses (excluding our investment property expenses) for that month. The idea being that this shows how many years we could live off of those assets at that rate and gives us a better idea of what lifestyle inflation (or intentional deflation) can do to the relative value of our savings.


It fluctuates in a much bigger range, because in high spending months (like February 2013 when we spent almost $7K paying off our car completely and February 2015 when we spent a bunch installing solar panels), the denominator is so much bigger. Because of that, it’s the overall trend we’re looking for.

Early Retirement Locale Index

Mr PoP wanted one more way to understand more viscerally how much we have in “investable assets”, so we’ve come up with what we’re calling our Early Retirement Locale Index. The basic idea is that we know how many years of savings we have at our disposal if we were to continue living in south Florida. (That’s the chart above.) But using the “magical” 25 years of savings necessary for early retirement, where would we have to move so that our current investable assets would cover 25x our COL adjusted current spending? (Note, this is purely for fun, we’re not intending to move. Don’t worry Mama & Papa PoP!) If you want to follow along, we’re using this Cost of Living Index from Expatistan, and using the average of the two big cities in south Florida on the list (Miami and Tampa) as our current COL index, which gets us 196. Our city isn’t on their full list, hence the average – but maybe yours is. Then we’re solving this equation:

Current Years Saved/ 25 = COL Early Retirement Locale / COL S. FL

9.28/25 = COL Early Retirement Locale / 196.0

COL Early Retirement Locale = 72.76

… which brings us to Bangalore, India!

This is now the second time that we ended up in Bangalore, and it’s a bit disappointing, since it didn’t seem to tickle our fancies all that much the first time we landed here with the ERLI in July 2014.  Ah well.  Here’s to next month bringing somewhere more appealing to us!

Here’s our journey through the ERLI so far…

  • January 2014 – Delhi, India
  • February 2014 – Quito, Ecuador
  • March 2014 – Kiev, Ukraine
  • April 2014 – Chiang Mai, Thailand
  • May 2014 – Madras/Chennai, India
  • June 2014 – Colombo, Sri Lanka
  • July 2014 – Bangalore, India
  • August 2014 – Yerevan, Armenia
  • September 2014 – Skopje, Macedonia
  • October 2014 – Brasov, Romania
  • November 2014 – Prague, Czech Republic
  • December 2014 – Mexico City, Mexico
  • January 2015 – Zadar, Croatia
  • February 2015 – Kiev, Ukraine
  • March 2015 – Cairo, Egypt
  • April 2015 – Bangalore, India


How was your balance sheet in April? Where would your savings land you today?

14 comments to PoP Balance Sheet – April 2015

  • I’d end up in Pune, India. At least I’m finally on the list?
    Taylor Lee @ Engineer Cents recently posted..April 2015 – Monthly Spending UpdateMy Profile

    • Yay for India! We’re kindof neighbors this month, then. =) I feel like being on the list is a huge accomplishment, especially in a high spend month like you had with all your closing costs on your new place.

  • You guys are killing it in the net worth department! I’m actually still in Prague, same as last month. And yes, that line looks very smooth lately!
    Leigh recently posted..Operation Bayes: RevealedMy Profile

  • Great job. Crazy how much you guys have increased your net worth since 5/12. April was okay, but May will be much better as a 3rd paycheck month.
    Fervent Finance recently posted..Financial Independence Day – September 2026My Profile

    • It is kindof crazy to look back at it all at once, but a good crazy! 1.5x pay sounds like a pretty good start to May!

  • Andy

    Do you guys allocate to index funds only. Not sure if you have a post about that?

    would be nice to compare your investment style even in percent allocations..in case u don’t want to give away ur secret.

    Either ways .. well done!

    • Most of our investments are index funds or broad based mutual funds in our 401Ks. We do own 4 shares of BRK.B, but that’s our only single stock at the moment. No big secret, we’re just pretty lazy about those investments and consider them pretty boring. =P

  • ktaylor

    Have you considered using trailing 6 or 12 months as the spend basis to come up with the “years of savings at monthly burn rate chart”? Seems like that is a more useful way of looking at it given changes in month to month spend skew the chart greatly, but doesn’t necessarily mean that your ability to live off your savings would actually be impacted to the same degree.

    • When we first started doing it, I thought about it… and looking forward our models are really about yearly spending. But for these purposes, it actually seems more useful to us to not do the trailing average. We can have a big spend month and see “oof! If we were to do this all the time we would have to work and save up a lot more!” or the opposite in a low spend month. Averaging that effect out wouldn’t give us nearly the same association of the increased/decreased spending and we might get too tempted to let spending creep up even more.

  • Brian

    I’ve been to Bangalore once, I don’t necessarily have to go back anytime soon…although I did have one of the best steaks of my life there at a restaurant owned by an expat. Best part about it was that it was free!

    Congrats on the gains in net worth. Seeing those numbers trend higher and higher every month is encouraging!

  • Wow, way to go! But yes, things evening out can be quite eery. Even ominous. Let’s hope we’re wrong, eh?
    Abigail @ipickuppennies recently posted..Why I don’t want an inheritanceMy Profile