Net Worth Update - March 2020
|Net Worth Update - March 2020|
The selloff continued throughout March by the end of the month the S&P 500 shed another 12.5% on top of the 8.4% that was lopped off in February. Considering my exposure to the markets it should come as no surprise that my net worth took a beating in March after the pummeling it sustained in February.
During March my net worth decreased $63,980.18.
Total Assets: $742,977.15
Liquid Assets: $266,096.21
Total Liabilities: -$170,582.35
Net Worth: $572,394.80
Well, this isn't exactly the streak I was hoping to see get started. That's now three straight months of declines for my net worth with each month's decline larger than the previous. So far in 2020 my net worth has declined $121,594.92. OUCH!We've even dipped into negative year over year territory. DOUBLE OUCH! Can we go back to 2019 yet?!?!?!?!
With the continued market declines in March our balance sheet is now well off its high water mark that was hit in December 2019.
For March my net worth decreased 10.1%.
Our goal for 2020 hasn't changed too much despite the craziness in the markets. The only thing would be prioritizing a bit more towards cash as opposed to debt reduction at this time especially since my job in the O&G industry is in a very precarious situation. That doesn't mean we're going to stop investing, but excess cash each month would best be served as a cash buffer at this time.
We're slowing down the debt reduction process although we are still paying more than the minimum and making extra payments to get rid of the one consumer debt that we have: the loan on my car. After March's payment that debt is down to $15.8k.
At this time I don't believe it makes 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 outside of the car loan
As of the end of March we have 29.2% equity in our house based on our purchase price from 2013. According to Zillow our house has increased in value around $58.4k 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 44.1%.
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 History through March 2020|
|Net Worth Breakdown - March 2020|
|Personal Capital Structure - March 2020|
How did your net worth hold up during the market chaos in March? Did you reach any level of panic or were you cool as a cucumber?
Please share your thoughts below!