Net Worth Update - September 2019

Net Worth | Balance Sheet | Equity | Financial Independence
Net Worth Update - September 2019
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 rebounded in September climbing 1.7%, but that wasn't without increased recession fears and an escalating trade war.  Due to savings, the markets, dividends and debt reduction my net worth showed a solid rebound as well.

During September my net worth increased $14,528.88.

Total Assets: $816,274.13
Liquid Assets: $310,610.30
Total Liabilities: -$176,515.13
Net Worth: $639,759.00

During September my net worth rose 2.3% and is up 25.5% YTD.  Compared to September 2018 my net worth has seen a rise of $47.8k+.

Our main goal for 2019 continues to be reducing our non-mortgage debt.  I'm pretty stoked to announce that the car loan for my wife's car is paid off.  Finally!  There's now just under $20k of non-mortgage debt remaining on the balance sheet.

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 September we have 28.4% equity in our house based on our purchase price from 2013.  According to Zillow our house has increased in value around $44k 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 40.5%.

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 September 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 - September 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 September our debt to equity ratio is 28% and our debt to total capitalization is 22%.  Not bad, but I can't wait to get that debt down to ZERO!
capital structure | personal finance | net worth | equity | debt
Capital Structure - September 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 September?  Have you made good progress through the first 3 quarters of the year?

Please share your thoughts below!


  1. Solid work PIP, keep it up! Onwards and upwards.

    1. ADD,

      September was a pretty good month for our net worth, especially since the net worth grew by more than the SP500. Typically we lag a bit behind in up months since not all of our assets are in the market.


Post a Comment