Net Worth Update - May 2016
|May 2016 Net Worth Update|
The S&P 500 marched higher yet again despite constant calls from pundits for a crash in equity prices. The S&P 500 climbed about 1.5% for the month. Since the majority of my net worth is tied to the performance of the markets every move higher for the markets means my net worth climbs higher too. The rest of the increase came from a combination of $300 in dividends as well as receiving the last bit of severance pay from when I was laid off.
For the month our net worth increased $11,789.46.
Current Assets: $662,733.29
Current Liquid Assets: $248,358.17
Current Debts: -$184,288.51
Net Worth: $478,444.78
Year to date we've had a surprisingly good outcome for our net worth considering all of the changes that have gone on the first half of this year. Our net worth has marched higher by over $65k from the end of 2015 which is absolutely fantastic. Sadly that kind of result won't be sustainable the rest of this year since I no longer have my high paying job, but I'm happy with where we're at considering the circumstances. For the month we had a solid 2.5% increase.
At this time I don't see the point in paying extra on the mortgage at this time given our relatively low interest rate as well as the tax break on mortgage payments and think we'll come out much further ahead investing the extra cash flow. So the liabilities side of the net worth equation will be slow moving. However, once the FI portfolio is able to get to a self-sustaining level of dividends then I'll plan to aggressively pay down the mortgage.
As of the end of May we have 23.4% equity in our house based on our purchase price. According to Zillow our house has increased almost $13k in value from our purchase price which is a nice bonus, although I'm keeping the purchase price as the value in the net worth equations. Based on Zillow's estimate the equity in our house is 27.7% thanks to the appreciation.
The following chart shows my assets and liabilities, as well as my net worth, since January 2012. While I have accurate records for my net worth dating back to July 2010, I didn't keep track of my assets and liabilities on a monthly basis until the start of 2012.
|Net worth update through May 2016|
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How did your net worth fare in May?
Image courtesy of holohololand on FreeDigitalPhotos.net.