Welcome to our November Net Worth Update!
This has been a great month with some exciting changes. I am happy to report our Net Worth grew $356 in the month of October, and I would like to explain what happened to help contribute to this change. First of all, on the fateful night of 10/4/2016 I jammed all of our numbers together, assets and liabilities in to very rough estimates. For 11/1/2016 I have actually researched each number.
You may have noticed I’ve changed the look of the Statement of Net Worth so that we can now see the current amount, previous months amount, and the amount of change. Also we have some “fire” editing to show which assets have decreased in value and which liabilities have increased.
I get our home’s value from zillow.com, and for some unknown reason our home decreased in value over $1,400! There’s nothing I can really do to control that except for work on my home to try to inch the value up over time. A house recently sold a couple doors down for us that was in really poor shape, so I may see this number fall even more in the coming months.
For the HHR, I get the value from Kelly Blue Book (kbb.com) and select the year, make, model, mileage, and mark it as good condition. Last month I went through all of the questions and was told the car was in good condition, so I’ll be going with that from now on, and then I select the tab for a private sale. We are up $191! I didn’t expect that. I thought it would fall by bits and pieces as it ages.
I have the real 401(k) amounts now. My husband had no idea what his log in information was! We were going to update his elections to a Target Date Mutual Fund because he had never made a selection (I can’t preach too much there; I just learned to make my own selections after reading 99 Minute Millionaire by Scott Alan Turner) but his company automatically put him in his Target Date Fund so that was cool! Now we are working with real numbers!
Our checking account always looks sad and will typically be less than $100 because this account is a holding place for our spending money that’s how much we usually have allotted for any given week.
Our regular savings account is equally sad when you guys see the balance because we have just paid every bill in one big chunk after saving up for the entire month.
Our Christmas savings is now in our regular savings account waiting for presents to be bought. We are thinking about upping our contributions to these “club” accounts (Christmas and Vacation) from $5 a week to $20 a week, but that’s still in the talks. These automatic contributions come from our spending money.
Our mortgage went down just a little bit thanks to interest. There is an exciting update here as well! Our mortgage payment is actually going down $30 because of an escrow recalculation, but we are still going to keep sending what we have always sent. Doing this will shave 5 years off the mortgage and save up $12,000 in interest over time!
You may notice the HHR loan says $0.00! That’s right! We paid it off with a 0% balance transfer to my Capital One account for 12 months. Speaking of Capital One, I failed to include this account on my very first Statement of Net Worth because I figured if I pay it off every month it’s not a “real” liability. Well, now it’s going to be carrying the balance of the HHR and I have a goal of transferring the personal loan to it around April 2017 if I can score another credit limit increase (my score is 3 for 3 currently. I’d say odds are in our favor). So, now I send $275 ($3,259/12 months rounded up to the nearest $25) to pay that off within 12 months. Yay!
The CP Visa should really be a lot better. We send this debt $100/wk and seem to use it up as soon as we pay it. Hopefully next month is better, but I’m not sure with the holidays coming up…
Rent-a-Center has been paid off. Another 0% interest success story. The chest freezer is all mine!
Navient. Ugh. This is the main reason why doing these reports are so good for me. I get to actually see how much this debt grows when I don’t have to pay anything on it at all. My payments have recently been increased from $0 to $100 starting this month actually, so it will still grow if I don’t give it more money, but at least not by as much as it has been. I really dreaded logging in to Navient and getting the new balance but I’m really glad that I did. It’s really not as bad as I thought it would be. Someday I will go Gazelle Intense on this loan!
Great Lakes is my husband’s student loan and this one only grew because I estimated his balance last month and I have the true balance now.
Vermuelen’s and Home Depot are coming down as expected, but I plan to use Home Depot again in the near future for either interior door replacement (our bedroom doors are very old solid monstrosities and the door handles keep coming apart; my mother in law was stuck in the restroom for a while when she came to visit over the summer), or replacing the bathroom vanity which only has a floating sink at the moment (my son could use a supported sink because he cannot stand, and the added storage space would be great). I expect the charge to be less than $500 no matter which option we go with.We are still in talks of which of these 2 options will add the most value to our lives. Do you have an opinion?
The Capital One has of course increased $3,188 because it has absorbed the liability of the HHR.
And there we have our new Net Worth Negative amount of: $(66,969)!
Some exciting changes coming up in November:
- I will be receiving my first pay checks for my side hustle at The Jackson School of the Arts
- I just sent off $400 from our escrow adjustment to pay off the 401(k) loan
- My first payment (ever!) to Navient will post this month
- Our first increased mortgage payment will be sent 11/30/2016
- If our Net Worth continues to grow at the rate of $356 it will take us just under 16 years to become Net Worth Positive!
- Our Net Worth grew 0.5% this month
I really enjoyed this chat and I hope you will join me next month for our December Statement of Net Worth and join me every Saturday for tips on how I save money!
Talk again soon!