PoP Income Statement – January 2016

Welcome to our January 2016 Income Statement!

A preview of our pantry cabinet. It's 7.5ft tall and ~6ft wide with LED strip lighting mounted inside!

A preview of our newly installed pantry cabinet. It’s 7.5ft tall and ~6ft wide with LED strip lighting mounted inside!

Mr. PoP and I put these income statements together for two reasons. First, we want to be transparent about our finances because we’re trying to be role models for other people who are trying to plant their own pennies (and end up with dollars someday!). Second, we do this to make sure we’re on track to meet our own long-term goals. If you’re not tracking your income statement and balance sheet, we highly recommend you start using a program like Mint to keep track of it all.

Though it didn’t feel like it at the time, January turned out to be our lowest spending month in over 2.5 years (since June 2013!).  What made our spending so low? Well, mostly the fact that we didn’t spend a ton on the kitchen this month. =P

Kitchen spending was officially negative $10 this month, between depositing cash that we made from selling a couple of items that came out of the kitchen (the old stove and fridge) and our first $80 refund from using the Price Protection benefit on our credit card, we offset (plus a little extra), the incidentals that we spent continuing our kitchen project. We’re not 100% done with kitchen spending, but the bulk of it is definitely in our rear-view mirror now, and that feels pretty good.

Shopping was also high, as Mr PoP bought two suits at the last minute to attend a conference for work, and also bought an iPod since he decided he didn’t want to risk bringing his new iPhone to the gym with him to work out. I bought myself a pair of goggles since mine have gone MIA and I needed to do some swimming workouts after hurting my foot. =P

Lastly, a fair amount of money also went into our rental duplex this month. We had a quick turnover of renters, with one set moving out on Jan 1st, and another set moving in on January 3rd, giving us 2 days to turn the place around. And during those two days I wished we didn’t have a rental property since it was too short of notice to hire any of the needed work out, so we were left to do it all ourselves.

One of the outgoing renters was borderline hoarder (or maybe a full-on hoarder if his roommate hadn’t tried to keep it under control), and we ended up needing to do a fair amount of clean up and repair since *too much stuff* increased the wear and tear on the unit. While I was dealing with the mess (I’ve tried to block the mental images of what I scrubbed from the walls) and painting, Mr PoP was repairing a leak the outgoing tenants only told us about when they were getting ready to leave. That meant he got to spend those two days tearing out part of the shower, replacing the rotted concrete board behind it, and retiling the shower wall. What a guy, right?

Mr PoP also bought a new weedwacker to help him better maintain the lawn and edging at the duplex, and so he can stop having to borrow his dad’s every week. It was pricey, but he promises to wack all the weeds (and all the rain we’ve had this winter means there are plenty of them to wack!), so hopefully it will be worth it.

The Bottom Line

  • Earnings before principal paydowns and savings allocations of $6,016.  

And the details…

Income

  • Wages and Salaries (after taxes, 401K deposits, HSA allocations, etc.): $7,957
  • Rental Income: $1,965 – weird month with security deposit from new tenants
  • Miscellaneous Income (rebates, reimbursements, etc.): $298
  • Total Income: $10,220

Expenditures

  • Groceries: $429
  • Eating Out: $251
  • Total Food: $680
  • Mortgage: $1,151
  • Home Maintenance and Repairs: $75
  • Kitchen Renovations: –$10 – yes, this is negative $10 since we had more $ coming in than going on with the kitchen this month!
  • Bills/Utilities for Primary Residence: $200 – high since we essentially had two full cell phone bills to pay since the swtich of Mr PoP to his company’s plan wasn’t straightforward coming off Ting, but that should be done now
  • Total Home: $ 1,416
  • Gas: $167
  • Auto Repairs / Maintenance: $0
  • Total Transportation: $167
  • General Shopping: $668
  • Pet Supplies / Care: $25 – big month for Kitty PoP, food & litter!
  • Total Shopping: $693
  • Gym / Fitness: $53
  • Medical Treatment/Visit: $131 – mostly because I hurt my foot =(
  • Media Subscriptions: $8
  • Media/Entertainment Non-Subscription: $22
  • Total Health/Fitness/Entertainment: $214
  • Travel: $95
  • Charity: $50
  • Total Miscellaneous: $145
  • Total “Personal Expenditures”: $3,315   
  • Investment Properties: $889
  • Total Investment Expenses: $889
Earnings Before Principal Paydowns / Savings Allocations (EBPPS)
  • EBPPS = $10,220 – $3,315 – $889 = $6,016

Principal Paydowns / Savings Allocations

  • Transfer to Holding Account for Sunny Restoration: $1,500
  • Transfer to Holding Account for 2016 Roth IRAs: $1,000
  • Transfer to Taxable Investment Account: $3,500
  • Total Principal Paydowns / Savings Allocations: $6,000
Net Income = EBPPS – (Principal Paydowns + Savings Allocations)
  • $6,016 – $6,000 = $16 = Net Income

How was your income and spending this month?

12 comments to PoP Income Statement – January 2016

  • That looks likes a balanced lifestyle to me PoPs. We are also getting tons of rain up here in Tampa. I was actually pressure washing mildew off the north side of the house yesterday afternoon. It’s great to see continuous progress on your side of things. Our January spending was higher than normal, because of house updates/repairs. I quit my job and plan on putting the house up for sale…..so we needed to spend about $2k on house updates. I’m not done yet, but $2k will be sufficient. Enjoy the El Nino winter guys!
    -Bryan
    Income Surfer recently posted..I’m Outta Here…My Profile

    • admin

      Wow – good luck getting the house ready to list. Is your area as seasonal with sales as ours is? Around here, you really want to try and get a house sold between November and April, since sales are a lot slower outside of season.

      And this weather is ridiculous. The fog this morning was really thick in some areas!

      • Yes, 40 or 50% of my client’s sales have been between January and Easter. Snowbird season. There is also a mini season in July….before the school starts I believe. Our goal is the second week in March
        Income Surfer recently posted..Mini Hedge Fund?!My Profile

  • Love the lighting strip. Are you planning to keep the pantry sans doors?

    Our kitchen is officially finished (except a backsplash due to the fact that we don’t want to buy a tile saw until we will also use it for the bathrooms since we’re running out of storage space for tools).

  • I’m thinking of investing in a weed whacker too. But not more than the $30 electric model on Amazon. It would just live at the apartment house’s shed since we have no grass at our own house.

    My two most recent suits came from a Korean company on eBay! I think the two-piece suit was $65, and the three-piece suit cost $100. I’m normally a medium, but their Korean XL (or is it XXL…) fit me perfectly. Plus they accidentally sent me two identical suits once, and I sold one of them back on eBay for $40. Score.

    I hope none of our tenants turn out to be hoarders. Neither of them seem like the type, but I guess there’s no way to know unless you screen for that by calling prior landlords, which I didn’t do. Although one couple has only lived with their parents.
    Norm recently posted..My Experience Using Cozy for LandlordsMy Profile

    • admin

      Those are some cheap suits! Are they nice?

      We didn’t really anticipate the hoarder, he was a new roommate for a tenant we already had and that guy was tidy!

      • The $60 is polyester, the $100 is cotton and a three piece. Both look good because of the fit. I don’t know how durable they are, but for how often I need to wear a suit (basically wedding and funerals) they should last just fine. You can tell they’re not expensive, especially the polyester one, but I’d rather have the money in my pocket
        Norm recently posted..My Experience Using Cozy for LandlordsMy Profile

  • The pantry is looking quite exciting! :) I love ours. And such frugality this month! I had a pretty frugal month too. It’s always fun when the stars align and no big expenses fall into a month.
    Leigh recently posted..January 2016 update (+0.5%)My Profile

  • I confess that I saw the picture of the LED strip lighting and skipped down to comment and ask “how did you do it??” we are wanting to the same with under-cabinet lighting but have come up against cost constraints if we hire someone or lack of expertise to do it ourselves.

    I think our issue is that we want to hardwire in the lighting instead of plugging it in. Did you just have a plug in one installed?

    I’m going to go read the rest of this now. Thanks!

    • For the lights, we built a switched plug into the wall that can be accessed from inside the cabinet. Then we used a plug-in rope/tape hybrid light system. So it’s switched at the wall, but a simple plug-in inside the unit (no need to hard wire), which is nice.

      The lights I ended up getting were these: http://www.affordablequalitylighting.com/indoor-lighting/under-counter-under-cabinet-lighting/led-strip-tape-light/120v-led-tape-rope-hybrid-lighting-system-120-tl60/

      In that big unit, there are actually two strips, one 13 feet long in the bottom, and the other ~20 feet long in the top, which are joined together at the back with a 6 ft jumper cable. After shipping it was a little over $100 total for all the parts. But linking them means one switch turns on/off the lights in both the top and bottom of the big pantry unit.

      We haven’t yet decided what we’re going to do for under-cabinet lights quite yet. We’ve got one more outlet built in near the upper cabinets that is attached to a switch which would enable us to do something similar for main stretch of cabinets. But I’m also considering wireless (battery operated) LEDs for task lighting as needed (something like this? http://www.amazon.com/Megabrite-Wireless-Motion-Sensor-Undercabinet/dp/B0079M7ASM) and reserving that switch for some accent lighting mounted in our crown moulding. Verdict is still out. I’d be curious to see what you decide to go with!