Net Worth (up 3.73%) and Budget Update – February, 2017

Net Worth (up 3.73%) and Budget Update – February, 2017

Last month’s update can be found here.

Well, again it’s been a busy few weeks for us so this update is a bit late. I’m actually wondering whether a monthly update is worthwhile or a bi-monthly or quarterly update is sufficient. We will review this over the next few months. I think reviewing your personal finances on a monthly basis is important as it gives you up-to-date feedback on how you’re going but a less frequent blog post on our finances might make more sense. Anyway, enough jibber jabbering, let’s crunch some numbers!

Every month 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 February budget:


Income: $8,950.04 (up 18.32% from the previous month)

Our income in February was below our budgeted amount of $12,000 but this is a very ambitious figure that we have set ourselves this year so not sure how many months we will be able to hit it. Toon’s income was low this month as her employer missed a payment and I’m not really sure how much longer she will stay at this company. We also didn’t earn any money from our side businesses. We did, however, make a record in Air BnB (click link to get $50 off your next booking) income of $407! We’re stoked by this and hope to keep increasing this semi-passive income stream over the coming months.


Expenses: $5,339.78 (up 23.08% from the previous month)


Expenses were higher this month, although still within our monthly budget of $6,226. We made our quarterly Council rates and electricity payments this month as well as another expensive month of grocery shopping (over $1000). Our budget of $800/month really doesn’t seem achievable anymore but we will keep trying to reduce this expense. If you have any tips in this area then we’re all ears! On a positive note, we were under our budget of $400 for dining out!



Monthly Savings Rate: 40.34% – although below our goal of 50%, it has still been a good month

Yearly Savings Rate: 41.39%



Net Worth

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 February:


Assets: $719,605.21 (up 1.37% from the previous month)

As we mentioned before, we are invested too heavily into property and are slowly trying to diversify into shares and peer to peer lending. Although the properties are a mix of one PPOR and 2 IPs in two geographical locations, we would like to spread this out a bit more evenly across the others asset classes that we are interested in.

This month we made an investment into Acorns (get $2.50 free to get you started by clicking the referral link), a micro-investing platform. It’s only our first month with this company so we will do a post on how this investment is going later this year.



Liabilities: $329,524.03 (down 1.28% from the previous month)


A nice drop in liabilities is always welcome. We don’t have as much control over the positive/negative direction of our assets but the good thing with liabilities is that we are always in control. I hope to continue to see this figure drop every month.


Net Worth: $390,081.19 (up 3.73% from the previous month)


A very healthy increase this month, mainly due to a rise in property values and paying off those pesky liabilities.




How did your finances look like last month? We’d love to know so feel free to make a comment below.

5 responses to “Net Worth (up 3.73%) and Budget Update – February, 2017”

  1. LadyFIRE says:

    That’s a beautiful networth you have there 🙂 And you’re savings looks to be tracking along quite nicely

    If you’re interested in Peer-To-Peer lending and haven’t taken the plunge yet, I reviewed RateSetter over here: in short, I’m a huge fan. Returns have been great, risk seems well controlled.

    As for the grocery tips – We spend about $500 a month for two people. I know we could do better, but my partner keeps bringing home snacks.. and ice cream… and pies… damn him! I try and balance it by cooking huge bulk means, like spag bog and chilli con carne. Anything served over rice or pasta generally brings the cost way down.

    • Hi LadyFIRE and thank you for your comment!

      Just read your post on RateSetter and also the chicken one. Will be sure to keep checking out your posts as it’s always great to read about another Aussie doing similar things. We’ve invested with RateSetter and also Marketlend for a little while now with largely positive results. We might do a post on both soon as they vary quite a bit in who they lend to and the returns you can make.

      Really interesting to read about your grocery spending habits. $500/month for two people is a lot better than $1000/month for 2.5 people in our household. I’m not sure where we are going wrong but one big difference is that we stopped eating breads and pastas a few months ago for health reasons so yes, substituting that for meat and vegetables is a lot more expensive. I’d love to know more though, do you do weekly or monthly shopping? Do you shop around or just go to one major supermarket? More tips would be much appreciated!


      • LadyFIRE says:

        Hi Len – I look forward to your post about MarketLend, this is the first I’ve heard of them 🙂

        We just shop as we need. We use evernote as a shopping list, so whenever once of us goes to the supermarket for bread or milk we pick up the things on the list. I work near the Central Markets so I walk over on my work breaks to buy our fruit and veg. And because I do most of the cooking if something is stupidly over-priced ($8 a kilo for zuchinni? I think not!) then I just don’t buy it, or sub out for something else. Every weekend I try and run through the cupboard and plan a meal or two based on what we already have. Mr. FIRE likes to drop by the butchers and picks up sausages and schnitzels so if I forget to plan ahead we can pull something out the freezer and pair it with an instant pasta packet. Those meals are the expensive ones though!

        I’m super keen for winter, soups always come in under a dollar a serve (plus the costs of bread for dipping) which really lowers the cost. Summer is expensive for us because we have a lot of BBQs and salads. But I save a tonne on salad dressings by making them at home, most things are just mayo with some extra flavouring.

  2. That is an impressive income goal you guys have there! And 40% savings rate is fantastic if you ask me. We are aiming for 40% average for this year with our savings rate, does feel amazing when you hit a few 50% months (and I’m sure you guys will).
    It is insane how much food costs.. I actually feel relieved to see a fellow Aussie talking about food costs because all the American bloggers just make me hide in shame of how much we spend when compared. You’re not alone with those bigger food numbers.

    Mrs DDU

  3. Hi FinancialFarmers,
    Congrats on the 40% savings rate – that’s awesome and hopefully it’ll continue to grow higher as you progress on your FI journey.

    I think it’s more important to keep an eye on your finances regularly; the post updates can be less frequency unless it provides more motivation.

    Wishing you every success!

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