I want to explain why I do a monthly net worth update.
- Keep me accountable
- Track my journey
- Prove that anyone can become a millionaire
- Prove that FIRE works
I hit FIRE in 2023 at age 38! Stay consistent and keep investing like it’s going out of style.
Income
This month I made $6,327. My passive income is from my Military retirement.
Expenses
Expenses total right at $1,956. This number is a bit off below due to things still pending.
Savings
Now that I am retired the focus is not a high savings rate. But seeing my passive income is 2x-3x what I usually spend I foresee myself still saving and investing some money. This month I saved $4,200.
- $4,200 Money Market Account
Check out CC hacking it saves me a ton of money!
Side Hustle
Side Hustle Income: $0
Net Worth: $687,714
My net worth on Empower is a little off becuase my 401K has not updated. My net worth does not account for my passive income. I only account for my liquid investments, cash, and my paid-off RV on this net worth. However, I put my RV for far less than NADA says it’s worth and less than similar models are listed for on the used market. I eventually might take it off completely but as of today I have it on here and accounts for $16.5K of my total net worth.
That is a +$50,920 gain since my last net worth update for January 2024 was $636,794.
I love using Empower to track my Wealth.
Final Thoughts
Man, I am making more money now in a sense being retired than when I was on active duty in the Marine Corps. This will just keep going up as I add and build more wealth. Which 100% is not my focus right now. My journey shows how powerful 8-10 years of focus can be life-changing in finances.
Now that I am retired my new hurdle has been flipping the switch and being ok with spending more. The habits that got me into FI/FIRE proved to be great tools for the accumulation phase but are not the right tools once I have reached FI/FIRE. I am trying to focus on what “My Rich Life” looks like to me. How can I spend more money to bring more value to my lifestyle? This sounds like an easy question but when I dig into it it’s not that simple. I don’t want to fall into the cycle of chasing status symbols in life even though I can afford it. I want to make sure I am getting as much value as I can out of everything in my life. This probably stems from wanting to be as efficient as possible and not creating waste.
A great example of this is say traveling, one can go to Greece for $3K for a week and fly for as cheaply as possible and stay at cheaper places. Or one could go to a Safari in Africa for 30 days staying at a high-end place with a first-class flight for around $20K. Are the upgraded costs going to bring more value to this travel experience?
Currently, I drive a 2003 F150 SuperCrew with around 279K miles and it pulls my 32ft RV that I live in full-time. I could easily afford to upgrade to a newer bigger truck for around $40K-$50K. But would spending this money even though I can afford it bring me more value daily? This is the current dilemma I am trying to navigate.
My Passive Income
It’s cool that I make $74,232 annually without even touching my investments. That is the equivalent of $1,862,700 million invested at a 4% SWR. If you add my investment portfolio to that I could have around $98,508 a year in passive income or the equivalent of $2,462,700 million invested at a 4% SWR. Now If I wanted to use a 5% SWR I could spend upwards of $104,508 a year and still be perfectly fine with a little flexibility in life.
This does not include my wife’s passive income or assets. I have kept those separate as we keep finances separate and as FIRE bloggers I’m not sure it would be fair in a way to combine them.
Could I hustle more to make it to $150,000 in passive income a year? I could and it does sound cooler than $98,508. But I don’t see a reason to do so yet. I don’t spend anywhere near $98K a year as is. Also, I only see my investment portfolio going up as time goes on, which will create more passive income.
It does feel incredible knowing that I can spend up to $98,508 a year and never have to work at a job to do so. It’s all passive income that I get no matter what I do that year or where I live.
For this blog, I only show my portfolio and don’t show our combined portfolio. I’ll leave it at that we are doing very well and way above average!
Those of you who have been following my Net Worth Updates can probably skip the rest of this post.
Barista and Coast FIRE group.
I have created a FIRE group for Barista and Coast FIRE people. I saw there was a gap in the community and these paths seem like the more enjoyable path. So I said, “I have to take on this passion project.”
One of my desires this year is to get and build more community! Here is the Barista and Coast FIRE group HERE.
Join us in our no-judgment FIRE group
Fitness
No gym, weights, or fancy gear for over a year! I’m slaying this fitness routine. It’s Fun, Simple, and Works. I’m gaining flexibility, strength, and endurance it’s incredible. Mind you this is with me having multiple injuries from the Marine Corps. I have learned I never needed that gym anyway.
On top of that, I have started to cultivate a Facebook Fitness group where anyone is welcome to come to join us. I set Bootcamp challenges to get everyone motivated and active.
Do you have a fitness goal for 2023?
- Get stronger
- Lose stubborn body fat
- Get a more defined six-pack
- Be more active without being judged
Join my FREE no judgment fitness FB group HERE. The goal is to build a community and help positively impact your health for FREE.
Hopefully, you enjoy these updates and it inspires you to keep going!