Net Worth Update - April 2019

Net Worth | Balance Sheet | Equity | Financial Independence
March 2019 Net Worth Update
While cash flow is more important when it comes to financial independence, it's still good to look at the balance sheet too, which is why I provide these net worth updates.  Since more and more of my net worth is tied to the markets, there's a larger correlation between my net worth and the markets, but in the long run as I continue to save and invest the net worth trend should be higher even though short term fluctuations can vary wildly.  As a dividend growth investor I'm not overly concerned with the short-term gyrations as long as the dividend stream remains in tact, but the markets' effect is noticeable.

The S&P 500 continued to rally in April adding another 3.9% for the month.  Since the majority of our net worth is tied to the markets it should come as no surprise that our net worth had a nice move higher once again.  Of course receiving over $400 in dividends sure did help.

During April my net worth increased $13,383.70.

Total Assets: $776,806.26
Liquid Assets: $287,738.83
Total Liabilities: -$185,934.22
Net Worth: $590,872.05

For the month my net worth climbed 2.3% and its up 15.9% YTD.

The rebound in the markets throughout Q1, as well as some solid cash flowing months, has seen a huge rebound for the balance sheet.  March marked the 3rd straight month of $20k+ increases to our net worth and both our assets and investments are back to all time highs that were previously set in September 2018.  Our net worth is still ~$14.5k short of the high from September primarily due to the Hyundai Tucson that I purchased with financing in December.

Our main goal for 2019 continues to be reducing our non-mortgage debt.  As of the end of April we have just under $28k non-mortgage debt so we'll have our work cut out for us.  That being said we're currently in cash preservation mode since we welcomed our second daughter in early April.

At this time it doesn't make much sense to pay extra on the mortgage 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 the plan is to aggressively pay down the mortgage.

As of the end of April we have 27.7% equity in our house based on our purchase price from 2013.  However, according to Zillow our house has increased in value around $39.1k from our purchase price which is a nice bonus, although I keep the purchase price as the value in the net worth equations.  Based on Zillow's estimate the equity in our house jumps to 38.7%.

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 | balance sheet | equity | financial independence
Net Worth History through April 2019
In order to give you a general idea of the breakdown of my net worth I include a % breakdown of our net worth with each monthly update.  The assets are broken down into cash, taxable investments, tax advantaged investments (401k, Traditional & Roth IRAs), house (using our purchase price) and other which covers things like our cars and various collectibles from when I was a kid and deeply discounted (they don't really move the needle at all but I have them in my spreadsheet because I was bored).  

net worth | balance sheet | equity | financial independence | assets | liabilities
Net Worth Breakdown - April 2019
Since I write so much (or at least try to) about investigating companies as an investment I figured it'd be fun to see how our balance sheet looks.  At the end of April our debt to equity ratio is 31% and our debt to total capitalization is 24%.  Not bad, but I can't wait to get that debt down to ZERO!
capital structure | personal finance | net worth | equity | debt
Capital Structure - April 2019
Make sure you sign up to receive new posts to your email so you don't miss anything.  And be sure to follow me on Twitter@JC_PIP to get up to the minute news of new purchases for my portfolio.  If you prefer Pinterest or Facebook I'm on there too!

How did your net worth fare during April?  Anything unexpected come up or was it steady as she goes?

Please share your thoughts below!