Here is my updated net worth for November 2020. I was able to build my checking and savings account up a bit this month, but the market was the big story here. My investment and retirement accounts are growing like crazy since the crash in March. It’s a little surreal with all the product shortages and covid still obviously around.
Net Worth for November 2020:
This may be one of my biggest one-month increases of all time if not the biggest.
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 result 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.
$2922 average spending last 12 Months * 12 Months = $35,064 spending in a year
$256,749 net worth / $35,064 spending per year = 7.32 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 $1221 a month for 30 years which is 41.8% of my average monthly spending.
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