A journey to become a self-made millionaire.
This is my second net worth updates report for the year 2016. For those new to my finance journey, a net worth update is a simple report I post 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 in 10 years by saving and investing in stable dividend paying blue-chip companies.
My dividend portfolio up a bit due to my recent purchases..
Canadian stock market went through a bear market second time in February 2016. My portfolio did not escape the market volatility; however, I took advantage and purchased some stocks.
It was great opportunity to experience second bear market with over $170 K portfolio. I also had a chance test my risk tolerance during a bear market.
Last month, we went for a short family trip outside of Canada for the first time after our son is born.
Passport renewal, new passport for our little one, travel tickets and other expenses cost us around extra $3000.
It was an amazing time with my tiny family. It was an unforgettable memory with our little one, and the happiness and experiences we got were much more than the money we spent.
For those who follow this site know that I am not frugal or cheap. But, I try my best to reduce unnecessary expenses like brand new car, brand name cloths or other ‘stuff’ to impress others.
But I spend money for pleasant experiences like vacation, travel and other entrainments.
Something we may not enjoy after we retire. Imagine having fun in zip-line at age 70. It may not possible for me.
Therefore, I am not ready to sacrifice my current life to saving for future. At the same time, I am not willing buy brand new car or 3000 square feet house to show-off and work for life to pay the debts.
I hope you understand my arguments. 😀 .
We look forward for another week long vacation to Dominican Republic by end of this year.
Now, let’s look at my net worth changes in numbers.
Last month, my net worth decreased by $2400 or 2.0% from my last update.
Net worth update as of February 29, 2016 ()
Assets:$451 500 ()
- Cash: $700 ()
- Home: $270 000 (no change) – Yearly adjustment with inflation
- Canadian Stocks: :$142 100 ( ) – Recent purchases
- U.S. Stocks:$34 900 ()
- Employer’s Pension Plan: $3800()
Liabilities:$334 400 ()
- Mortgage :$188 100 ()
- Student loan: $26 300 ()
- Margin loan:$61 000 ()
- Credit card 1:$8700 () (low interest credit card – 0.99% special rate for 10 months – will be expired in September 2016)
- Credit card 2: $9300 () (low interest credit card – 0.99% special rate for 15 months – will be expired in March 2016)
- Credit card 3: $24 400 () (low interest credit card – 0.99% special rate for 10 months – will be expired in November 2016)
- Credit card 4:$0 (no change)
- Credit card 5: $0 (no change)
- Credit card 6: $4500 () (low interest credit card – 1.99% special rate for 6 months – will be expired in April 2016)
- Credit card 7:$0 () (paid off).
- Credit card 8:$1800 () – (regular expenses) – high interest rate of 19.99%.
- HELOC : $10 300(no change) -(low interest – 3.35% – primte + 0.5%)
Net worth :$117 100 () as of February 29, 2016
My net worth up by since my last update.
Note
- all amounts are rounded to the nearest $100;
- all numbers are in CAD; and
- Conversion rate 1.00 USD = 1.32 CAD
I have a huge credit card debts because I took advantage of low balance transfer promotion rate and invested in high quality dividend stocks. Taking modest risk and leveraging are the keys to become wealth.
Thank you so much for being in my finance journey and for your support.
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Nice breakdown. I agree definally live life now cause later on you might not be able too.
Hello Passive Canadian Income,
Thank you for stopping by,
“Life is short, make it sweet” 🙂
Cheers