Net Worth (up 3.37%) and Budget Update – December, 2016
Last month’s update can be found here.
It’s that time again that we check our monthly budget and net worth. At the end of every month, we sit down for an hour or so and go through all of our income and expenses for the previous month.
Here is a summary of our December budget:
Income: $15,882.57 (down -25.7% from the previous month)
Down from last month’s record, but still well above our normal monthly income. This month we earned income from our two side businesses (Toon’s photography business and Len’s side business), Air BnB (referral link to get $50 off your next Air BnB booking), and some dividends as well.
Expenses: $5,144.83 (down -10.3% from the previous month)
We managed to keep our expenses in check for this normally very expensive month. We decided that we were gonna spend our holidays at home, working on the house and enjoying the Central Coast. Considering this month included yearly renewals of our home and car insurance, I think we did pretty well.
Monthly Savings Rate: 67.71% – another solid month in the books to round out 2016!
Yearly Savings Rate: 47.44%
We’ve now set our goals for 2017 and updated our budget so hopefully, it’ll be another solid year for us. We do have some big expenses coming up with plans to purchase a fireplace, overseas trip to India and Laos, and we’re planning on building a deck. With all these taken into account, we’re still going to aim for a savings rate of 50%.
We track our net worth to see how all of our assets and liabilities are moving along. We do this for two reasons; firstly, it gives us a good way of keeping on top of our various investments and secondly, it allows us to see whether we are progressing towards our goal of being financially free.
For now, we are including the equity in our home and superannuation as part of our net worth calculations.
Here are our results for the month of December:
Assets: $705,045.84 (up 1.66% from the previous month)
Liabilities: $330,331.73 (down -0.21% from the previous month)
Net Worth: $374,714.11 (up 3.37% from the previous month)
How did your finances look like last month? We’d love to know so feel free to make a comment below.