July 2014 Balance Sheet

Today I’ll be sharing my personal balance sheet, listing all of my assets and liabilities to figure out what my current net worth is. Tracking your net worth is a good exercise in my opinion since it provides you a quick snapshot of your financial life.

Overall July was an all right month, considering the high level of expenses that I had. Used up a lot of my cash reserves with apartment related expenses plus added to my position in Philip Morris (PM) toward the end of the month. Note: the +/- after each category total represents the change only from the prior month.

Assets

Emergency Fund: $4501.76 (+.38). Yay for interest! ;)

Cash Savings: $3903.13 (-976.40). Combining this amount with the increase in credit card debt accounted for all of my initial apartment costs-security deposit, first month’s rent, renter’s insurance, furniture, etc.

Roth IRA: $12867.82 (-301.82). Just following the ups and downs of the market for now as I maxed out the account with my purchase of Deere (DE) in June.

Brokerage: $12024.55 (+1172.71). Added to my position in Phillip Morris (PM).

Loyal3: $2414.25 (-65.43). No activity this month except for a small dividend check from Coca-Cola. Investing some cash here is one of my goals for August with both Coca-Cola and McDonald’s recently dipping into my price range.

Thrift Savings Plan: $1347.55 (+42.17). I started contributing a small portion of my paycheck to the TSP in March, splitting my contributions between a S&P 500 and a small-cap stock index fund. This is the one portfolio where I’m investing primarily for total return as these funds do not pay dividends. However, they do have some of the lowest expense ratios you can fund in a retirement plan.

Auto Worth: $4985.00 (-313.00). The value of my ‘ole Chevy sedan continues to slowly decline as to be expected. The only reason I include it here is that is is the one non-financial “asset” that if I ever needed to sell, could probably get close to its market value. Also a nice reminder each month to not think of cars as an investment.

Assets Total: $42,044.06 (-441.39).

Liabilities

Credit Cards: $987.61 (+894.48). As I never carry a balance on my cards and the billing cycles ends in the middle of each month, this is simply my current balance at the end of the month. Like a lot of personal finance bloggers, I’m only in it for the rewards! ;)

Net Worth: $41,056.45 (-1335.87). First month over month loss since I started tracking this back in January which was to be expected considering all of the expenses I had planned for July. Depending on the markets, I plan on getting back to positive increases here in August.

 

Disclosure: I am long DE, PM, MCD, and KO.

How was your July for finances? Do you track your net worth and if so, are there any other items you track? Share below with a comment and thanks for reading!

 

15 comments

  1. Long term focus is key, and this small dip will just be a minor bump in the road! And as always, while your net worth decreased, your forward passive income increased due to your purchase activity, which is the real goal here!

    1. Yeah as much as like to track net worth, I agree the passive income updates are really more important. Car values aren’t going to allow me to retire, dividends from stocks will. 😉

      Regards,
      SFZ

  2. I wouldn’t sweat the slight decline at all. With the higher expenses and negative draw of the markets it happens. I was pretty surprised to see my net worth decline by only $5,400 with the down month for the markets and $5k spent on the downpayment for a car. I’m counting July as a win despite the decline. Keep up the good work!

    1. Thanks JC. Yeah considering my expense heavy month it really wasn’t that bad. Just looking forward to getting back to my frugal ways and putting more money to work this month.

      Best wishes,
      SFZ

  3. Love your reminder about the car. I just bought a 16yr old BMW and I can’t imagine its value getting much lower that quickly! I guess your car is a lot newer than mine 😉

    1. Hey M, thanks for stopping by!

      I was kind of surprised by how quickly my car’s value seems to depreciate. Although some months it actually increases by a little bit so who really knows how it all works. My car’s an 04 Chevy sedan so its getting up there. Just fits my frugal lifestyle perfect though.

      I learned the hard way that vehicles are just money pits a couple years ago when I bought an older project vehicle that I planned on finishing and selling for a quick profit. Needless to say it didn’t turn out so great. Been sticking to stock investing since, much easier. 😉

      Best wishes,
      SFZ

  4. I wouldn’t worry too much about losing a little net worth, that is bound to happen with the market’s fluctuation. You just need to know if you are still headed in the right direction, that is the important part!

  5. Hi SFZ,

    Considering you just started on this investment journey, your result so far had been encouraging. Dividend income increased m-o-m is more important. I owned a car too and the $ spend on it had been 40% of monthly expenese. I wish I can reduce this and has it as a fund for investment.

    David

    1. Hey David! Thanks for stopping by and commenting.
      I agree that dividend growth is more important, I just like documenting net worth updates as well. Guess I may like excel spreadsheets a bit too much. 😉

      Why such the high vehicle expense, percentage wise? Good luck cutting down that number and freeing up some more money to invest. I’ll add your blog to my reading list, look forward to following along!

      Best wishes,
      SFZ

    1. Hey man, congrats on getting started with blogging. Always cool to see others around my age blogging about personal finance. Looks like you have a great start already, I’ll be sure to follow you.

      Thanks for stopping by and for adding me to your blog roll, I appreciate the support!

      Regards,
      SFZ

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