Net worth update – June 2018

Welcome to my fifth net-worth update for the year 2018.

Introdution for new readers

If you are not new here, then you can simply skip to the next section.

For those new to my finance journey, this net-worth update is a simple report I publish every month, which tracks the progress of my journey to reach my financial goals.

My ultimate financial goal is to become a self-made millionaire by December 2024 (10 years plan). I have a strong belief that I can achieve this goal by saving and investing in high-quality dividend-paying blue-chip companies. I am also a strong believer of ‘compounding’ power, and I believe if I can push myself now and build a decent net-worth, then the ‘compounding effect’ will give a heavy lifting in my later part of this journey.

I am posting all my financial information on this website because I love to inspire and motivate people to start their own journey to reach their financial freedom. You could learn from my successes and failures (experience) and improve your financial knowledge.

Along the way, I make financial mistakes and will share my experience here with you. So, you could learn something, avoid those mistakes and save money.

Also, I like to publicly track my progress and get feedback from like-minded people.

Net-worth update – June 2018

My net-worth was up by $4900 or 2.53% in May 2018, thanks to three paycheques I received last month. For those works for bi-weekly salary know that we receive three paycheques in a month twice a year. My next big salary month will be in October.

Currently, my major income source is my day-job, but I am taking all the necessary steps to diversify my income.

Once I build my wealth, I wouldn’t need to rely on my day job salary to pay my bills.

Assets update

My assets value was increased by $3200 in May 2018, thanks to my portfolio performance.

Debts update

My debt was down by $1700, due to my saving from 3 pay cheques. I’ve committed to bringing down my debts level below $300K by end of next year (Dec 2019). I will take all the necessary steps to hit the target.

Promotion periods are coming to end for one of my credits in June and another one in July, and both were carrying around $9000 debts. I was able to refinance around $9400 for 1.99% for 8 months from one of the cards and paid-down both debts.

It costs me $94 for transition fee.

So, my next target is the one with $6200 and its special rate period is ending in late August. I guess I can easily refinance it with another card.

My Net-worth

By doing a simple calculation by subtracting my total debts value from my assets value, I get $198 200, which is $4900 higher than my last month update.

My net-worth is moving ups and down between 190K and 200K for last couple of months, align with investment performance.

I hit my $150K net-worth in November 2016, and was expecting to hit $200K in November 2017. Unfortunately, it didn’t happen until now due to the market corrections and other economic issues. Hopefully, it will happen soon.

Please note that my financial situations and risk tolerance will be much different than yours. We all are unique by nature. As I always say, please do your own research or discuss with a qualified financial advisor before making any financial decisions.

Let’s see all the details in numbers

Net worth update as of May 31, 2018 (+2.53%)

Assets: $524 400 (+$3200)

• Cash: $600 (+$100)


• Home: $280 500 (no changed) – Yearly adjustment with average inflation rate of 2%


• Canadian Stocks: : $184 800 ( +$1900)


• U.S. Stocks: $39 700 (+$400)


• Employer’s Pension Plan: $18 800 (+$800)

Liabilities: $326 200 (-$1700)

• Mortgage : $175 200 (-$600)


• Student loan: $20 700 (-$300)


• Margin loan: $64 900 (+$100)


• Credit card 1: $9400 (+$4600) (Re-financed – low interest credit card – 1.99% special rate for 8 months – will be expired in January 2019)


• Credit card 2: $21 800 (no change) (low interest credit card – 2.99% special rate for 12 months – will be expired in January 2019)


• Credit card 3: $5900 (-$100) (low interest credit card – 0.99% special rate for 12 months – will be expired in December 2018)


• Line of Credit 4: $0 (-$4500) (paid-off)


• Credit card 5: $4000 (no change) – (low interest credit card – 1.99% special rate for 10 months – will be expired in October 2018)


• Credit card 6: $6200 (-$500) – (low interest credit card – 2.99% special rate for 8 months – will be expired in August 2018)


• Credit card 7:$100 (-$900) – (regular expenses)- high interest rate of 19.99%.


• Line of Credit 1 :$18 000 (+$500) – (low interest credit card – 2.99% special rate for 12 months – will be expired in December 2018)


• HELOC: $0

Net worth :$198 200 (+$4900) as of May 31, 2018

My net worth was up by +2.53% since my last update.

Note

• all amounts are rounded to the nearest $100;
• all numbers are in CAD; and
• Conversion rate 1.00 USD = 1.2972 CAD

I have a huge credit card debts because I take advantage of low balance transfer promotion rate and invest in high quality dividend stocks. Learn, earn, save, invest and leverage your skills are the keys to become wealthy.

Thank you so much for following my finance journey and for your great support.