There was definitely some progress on the PoP balance sheet this month, and unlike last month where it was a lot of gains due to realizing the duplex’s increase in value, this month it was virtually all real gains through putting money into savings (stock and cash) as well as some pretty major paydowns on debt.
- Our total assets went up ~$5.4K as you saw on the Income Statement, about $1.5K of the cash gains here are transient since we’re likely to make a big purchase somewhat soon… but they are there for now.
- Our total liabilities dropped by ~$7.3K, thanks to another big lump sum pay down on the HELOC
- Net worth rose by about $12.7K this month
- Total net worth as of the end of November is $404.2K. That’s up almost $100K since May!
And for the details…
So this is the first time that I’ve taken the totals into a separate chart, since I thought the scale was getting thrown off by them. What do you guys think of the change?
Why do we look at our assets and liabilities split up this way? For us, it’s an easy way to look across all the different categories of assets and see which ones we have equity in, and how much equity. If the Assets bar is taller than the Liabilities bar, that’s equity in that asset class.
Assets
Stock Accounts
- 401K accounts: $82.3
- Roth IRA accounts: $91.2
- Non-Retirement Stock Accounts: $0.6
- Total Stock Accounts: $174.1
Real Estate (based on current market comparable sales)
- Primary Residence $170
- Investment Duplex: $97
- Investment Residential Land: $80
- Total Real Estate: $347
Cars (values from Kelly Blue Book)
- Car 1: $8.7
- Car 2: $11.6 – I update these about every six months, and noticed some tiny scratches on the bumper since the last update, so I downgraded the KBB condition from “very good” to “good”, hence the somewhat sizable jump downwards from October 2012
- Total Cars: $20.3
Cash Holdings
- Checking Accounts: $10.3
- Savings/Money Market Accounts: $25.5
- Total Cash Holdings: $35.8
Total Assets: $577.2
Liabilities
Real Estate Loans
- Primary Mortgage: $105.5
- HELOC on Investment Duplex: $8.0 – can you believe this balance was $38K in May?!? We could theoretically kill this thing in January, which would be pretty epic.
- Personal Loan – Used to Purchase $50K Duplex: $50.0
- Total Real Estate Related Loans: $163.5
Car Loans
- Car 1: $0.0
- Car 2: $7.4
- Total Car Loans: $7.2
Revolving Credit
- Credit Card Balance: $2.3
- Total Revolving Credit: $2.3
Awesome job! Good job tracking things so closely. That is something
i need to improve on.
Holly@ClubThrifty recently posted..My Favorite Christmas Memories
Thanks Holly -Mint does the heavy lifting when it comes to tracking everything!
Congratulations on your increased networth.
Call Me What You Want Even Cheap recently posted..Do You Have Title Insurance?
Thanks!
Congrats! DH and I just recently paid off vehicle #2 and are now completely debt free! Of course, we also rent due to being in the military, so we don’t have a mortgage. We are trying to determine if we should keep the cars (depreciating assets) as part of our net worth calculation or not. Thoughts?
If they’re still worth a fair amount, or if you’re thinking of selling them, I think it’s worth keeping them on the balanc sheet. But we have a third car that we don’t assign any value to, even though theoretically it’s worth *something*. In our minds, it’s value is only sentimental at this point. =)
Heck yeah…if its more than a couple hundred bucks, count it! Although, to be fair, I think its the only personal item that we have in our figures. I think we could sell the cat for something, but he’s not in there =)
Mr. Pop recently posted..PoP Balance Sheet – November 2012
We are not selling the cat, Mr. PoP. He is priceless. =)
Great job this month! Get rid of that car loan…its not tax deductible!
Jake recently posted..Net Worth Update (+3.1%)
That only matters if we have enough deductions to itemize… Which we don’t. So we pay down the highest rate first without regard to taxes deductions.
Holy cow indeed! That’s amazing! Good work!
Kathleen, Frugal Portland recently posted..Ten ways to save money grocery shopping
Thanks Kathleen!
Mr. Pop recently posted..PoP Balance Sheet – November 2012
Wow, +100k since May is amazing! Great job!
The First Million is the Hardest recently posted..November 2012 Portfolio & Goals Update
Thanks! Your blog title made me laugh-the first million really does seem like the hardest.
Mr. Pop recently posted..PoP Balance Sheet – November 2012
A million dollars here you come!
Financial Samurai recently posted..How Much Savings Should I Have Accumulated By Age?
Hey Sam, thanks the words of encouragement! We’re definitely gunning for a million plus, but I’m not sure where the growth will come from-we’ve had significant appreciation from 2 of our 3 real estate assets this year and I would be surprised if we see that trajectory continue. Would love to be wrong =)
Mr. Pop recently posted..PoP Balance Sheet – November 2012
I bet you love seeing those red lines go down almost as much as having the green ones increase. You’ll hit that million dollar mark before you know it.
Justin@TheFrugalPath recently posted..Tracking Expenses: A Budget’s Foundation
Definitely satisfying to see the red decreasing, that’s for sure!
That is some heavy increases in the green. Maybe I’ve missed it, but are you guys aiming for an early “retirement” I agree that Kitty Pop is priceless. Our dogs would already put our net worth over $1million, but I’d never sell and I doubt we’d find a buyer!
Kim@Eyesonthdollar recently posted..My Most Memorable Christmas
Kindof – we’d like to hit financial independence in the next 5-10 years. Then working wouldn’t be a priority.
Yeah, more on the independance side and not so much on Retirement. A solid financial foundation does a lot of good, regardless of what you want to do next.
yes . this is the best way to evaluate the assets and liability between each . by chart you can clear that how asset you have and mortgage is a liability , liability should be low for each asset . The “equity” in how much more it’s worth than what you owe. That is, the asset minus the liability. if asset is less than liability then equity is zero in that case. so you present the close difference between asset and liability .
Christopher @ This That and the MBA recently posted..Tips on Buying Your First Car
Where do you get the values for your real estate?
We calculate them manually using market comparable calculations.
Check out this series where I go through the market comp basics and the example of our primary residence – http://www.plantingourpennies.com/2012/07/09/determining-a-homes-value-part-1/
With our rental, we consider a little more in terms of its value in these posts: http://www.plantingourpennies.com/2012/11/12/our-50k-duplex-is-worth-97k-why-part-1/
Do those help?
Good for you! Wow, you’re killing it.. that mortgage went down big time since May. Keep at it. Mr.CBB
Canadian Budget Binder recently posted..The Grocery Game Challenge Dec 3- Dec 9, 2012 Festive Preparation
Yeah, the HELOC has been the primary focus of our attacks lately, so it’s nice to feel like there’s light at the end of the tunnel on it!
Congrats on the awesome feat. 400K in Networth is not easy, keep it up.
RichUncle EL recently posted..Debt Free Living
Wow, great work last month! I’m thoroughly impressed with that net worth figure…keep up the great work!
The Happy Homeowner recently posted..120 Holiday Gifts Under $20
I’m loving how you display all the graphs to show your finances. I’m a very visual person so this really works for me.
100K since May is awesome! I would have no idea about my net worth, it is really something I should start doing each month.
Glen @ Monster Piggy Bank recently posted..Using your Mortgage as your Emergency Fund
Totally with you – I love graphs, too!
We definitely recommend tracking your net worth, even if it’s not something you feel comfortable posting on your blog, just knowing it can be pretty motivating.