Net Worth Update – January 2024

This was another solid month, but I do think this will be the end of a streak. Spending was extremely high this month as it was a much needed vacation, but also still having high medical and veterinary bills unfortunately. Everything did rebound from a net worth perspective though, which is great to see. I’ll stick to the positives for this month instead of thinking ahead to all these bills coming due in February!

January Liquid Net Worth:

Like I said before, a solid month all around. Cash accounts had a nice increase and all my retirement accounts were positive.

January Total Net Worth:

So while it was a month late, I was able to pass that $550,000 net worth stretch goal that I set for myself in 2023. I’m thinking that the goal for this year will be to hit $700,000 net worth by the end of the year. It’s a long shot for sure, but I think if the market cooperates I’m starting to really feel the power of compound interest on my side. There’s obviously a huge luck component to this target, but I think I have enough assets that with a solid market year it is achievable.

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

$4115 average spending last 12 Months * 12 Months = $49,380 spending in a year

$391,276 net worth / $49,380 spending per year = 7.9 years’ worth of spending

Photo by 拴 张 on Unsplash

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