PoP Balance Sheet – November 2017

Welcome to our November 2017 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!


The S&P 500 (which climbed over 2% in November) was almost entirely responsible for our net worth growth this month, so thanks, S&P 500!

Here are the numbers for November:

  • Our total assets went up $29.8K
  • Our total liabilities went down by $1.5K
  • Net worth went up by $30.3K 
  • Total net worth as of the end of November is $1,556.4K, which represents a 2.05% increase for the month

For the details…



Brokerage Accounts

  • 401K accounts: $442.8 
  • Roth IRA accounts: $236.5
  • HSA account: $24.4
  • Taxable Brokerage Accounts: $274.4
  • Total Brokerage Accounts: $978.0 

Real Estate (based on current market comparable sales)

  • Primary Residence: $269.0
  • Investment Duplex: $175.0
  • Investment Residential Land: $160.0
  • Total Real Estate: $604.0 

Cars (based on “fire sale” pricing per Mr PoP’s research)

Cash Holdings

  • Checking Accounts: $26.3 – need to move some to taxable
  • Savings/Money Market Accounts: $11.0
  • Total Cash Holdings: $37.3

Total Assets: $1,649.3


Real Estate Loans

  • Primary Mortgage: $72.9
  • HELOC on Investment Duplex: $0.0 (re-advanceable)
  • Personal Loan – Used to Purchase $50K Duplex: $0.0
  • Total Real Estate Related Loans: $72.9

Car Loan

  • Loan on NSX: $20.0  – the interest rate is so low on this, almost all of the $727 payment went towards principal
  • Total Car Loans: $20.0

Revolving Credit

  • Credit Card Balance: $0.0 – paid off the day before the end of the month…
  • Total Revolving Credit: $0.0

Total Liabilities: $92.9 

Net Worth = Assets – Liabilities

Net Worth = $1,556.4, up 2.05% from October


How Close Are We Getting to FIRE?

New this year is a graph that Mr PoP and I are still trying to figure out how useful it is to us.

In this one, we’re tracking month-by-month, two lines.  The blue one is an approximation of FIRE income – it is the sum of the last twelve months of net real estate income plus 4% of the most recent brokerage account balances.   The yellow one is an approximation of our FIRE spending, for which I’m using the last twelve months of what I’m thinking of as our “recurring spend”.  By that I mean our spending, net of all the crazy shenanigans we’ve been up to the last couple of years with remodeling and “fun car” spending.  The main reason we’re netting these out, is that we definitely won’t be pulling the plug with any big line items like this hanging over us.


We’re still chewing on this visualization a little bit, because while it’s nice and succinct, it still omits some important information from our portfolio and spending patterns, specifically our empty lot (worth ~$160K) that instead of generating income is currently costing us ~$1,500/year, as well as the ever decreasing lifespan of our mortgage.  We also spend ~$9400/year on the principal and interest payment of our mortgage, so paying that off (and the value of the lot would pay it off and then some!) would decrease our outflow needs significantly, and even if we pay it off according to schedule it’ll be gone in 2026.

Do you take any future changes into account in your visualizations?


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.


These values fluctuate 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 154.0. 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

25.42/25 = COL Early Retirement Locale / 154.0

COL Early Retirement Locale = 156.57

… which gives us the city of Galway, Ireland!

Ireland!  Yay!  I’ve only ever been to Ireland once (and not Galway!), but I would absolutely love to go back, especially to a city that the New York Times “might be Ireland’s most charming city.
The weather this time of year, however may be a slight hiccup, though (Average December high temperature of 48 degrees F… brrrrr!).  Perhaps we could stick to wintering in our other alternative for the ERLI this month, good ol’ Fort Lauderdale, right nearby in sunny south Florida.  =)

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
  • May 2015 – Niteroi, Brazil
  • June 2015 – Nowhere!
  • July 2015 – Skopje, Macedonia
  • August 2015 – Recife, Brazil
  • September 2015 – Ankara, Turkey
  • October 2015 – Lisbon, Portugal / Santo Domingo, Dominican Republic
  • November 2015 – Debrecen, Hungary
  • December 2015 – Tbilisi, Georgia
  • January 2016 – San Antonio, Texas or Louisville, KY – readers pick!
  • February 2016 – Lisbon, Portugal
  • March 2016 – Brno, Czech Republic
  • April 2016 – Vitoria, Brazil
  • May 2016 – Santiago, Chile
  • June 2016 – Johannesburg, South Africa
  • July 2016 – Thessaloniki, Greece
  • August 2016 – Gurgaon, India
  • September 2016 – Grand Cayman, Cayman Islands
  • October 2016 – Las Vegas, Nevada
  • November 2016 – Oakland, California
  • December 2016 – Hartford, Connecticut
  • January 2017 – Montevideo, Uruguay
  • February 2017 – Noweheresville – or maybe we can just live in the car?
  • March 2017 – Stuttgart, Germany
  • April 2017 – Bologna, Italy
  • May 2017 – Brasilia, Brazil
  • June 2017 – Nairobi, Kenya
  • July 2017 – Liverpool, United Kingdom
  • August 2017 – Christchurch, New Zealand
  • September 2017 – Mexico City, Mexico
  • October 2017 – Frankfurt, Germany
  • November 2017 – Galway, Ireland


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

6 comments to PoP Balance Sheet – November 2017

  • I love that this month had you guys over 25 years :) November’s spending would have us at 16 years. As of October actually, our investments had grown six figures this year just from Ms. Market, which is pretty cool! That’s technically more than we’ve put in them, but we have some cash waiting to figure out whose brokerage account it’s going in (his, hers, or new joint).

    I can’t wait to see what you two do next year! Ireland would be cool – definitely on my travel list :)
    Leigh recently posted..Married Finances: One Year InMy Profile

    • 16 years is awesome – especially for your HCOL locale =) The market has been on a tear this year and I can’t for the life of me understand why, but I’m happy to see the gains for now, I suppose!

      2018 should be an interesting year for us… Hopefully we’ll start to have more firm plans come together within the first couple of months of the year.

  • Love to see the blue line steadily above the yellow one.

    And I didn’t realize you guys financed the car: savvy move at a low interest rate. I like seeing people using low interest debt to their advantage, in the right situations.

    We fall a bit behind you guys over time but it’s still good motivation for me to try harder next month. :)
    Done by Forty recently posted..PF Chat: Diversity in Personal FinanceMy Profile

    • Yeah, we went back and forth on the car. We bought it upfront with cash, but then our credit union offered us the stupid low rate of something like 1.75% (might even be 1.5% after the autodraft discount, I forget) on a 3 year note. It was too much to pass up and this year’s gains alone have made it well worth the decision to get that money back working in the market. But psychologically, I’m still not a fan of the $727 payment that gets autodrafted every month.

  • Eric B

    Did you put investing into high gear starting in 2013? I’ve been frugal for years but did not start investing until 2014.

    • Well, we got married in 2009, and bought 3 properties in 2009, 2010, and 2011. 2012 and a good chunk of 2013 were spent paying off two of those properties so we didn’t owe anything against them.