# Net Worth Update – December 2018

Here is my updated net worth for December 2018.

Net Worth:

My savings and checkings accounts were basically flat this month, with a very small decrease. The main driver was the market, which made me have huge decreases in both of my IRA accounts. Since they make a majority of my net worth, it leads to a big decrease overall.

So let’s see how far my assets would actually take me at this point in time. I’m going to calculate that using my average spending over the last 12 months. I’ll then multiply that by 12 months to get the total spending for the year, and then divide my total net worth by that amount. That’s how long I’d be able to live off my savings at that point in time.

\$2682 average spending last 12 Months * 12 Months = \$32,184 spending in a year

\$138,313 net worth / \$32,184 spending per year = 4.30 years worth of spending

I also thought it would be cool to see the opposite, how much would I be able to withdraw each month? I set the rate of return at 4% as a conservative guess, and the retirement time period would be for 30 years.

I’d be able to withdraw \$658 a month for 30 years which is 24.5% of my average monthly spending.