One of my goals for July is to do our net worth updates for December 2015 and June 2016. Here is our December 2015 net worth update…
Our liquid savings increased 300%. It sounds more impressive than it really is because we are talking percentages. In our Q3 2015 net worth update I mentioned that we had used most of our liquid savings to close on a new home. We replenished some of the funds during this quarter, but we still need more to have an adequate emergency fund available. My goal is to have six months of living expenses in cash.
My 401K had a 13.62% increase for the 4th quarter. I continued to contribute 6% of my salary and received some large dividends at the end of December that gave me a good boost. Mr. Tre’s accounts had an 7% increase.
The value of our rental property remained the same. I still plan to sell soon.
I have left the value of our home at the purchase price since we purchased the home in September 2015. I will not update the value until we have owned the property for one year.
Our debt decreased by 1% overall. We did focus on replenishing our cash this quarter and did not put as much extra cash towards debt repayment that we have in the past.
Change in Net Worth
Our total net worth increased by 14% in Q4 2016. I am very happy with this as we continue to move in the right direction.
We had a 48% increase in our net worth for 2015. Considering that we bought a new home and had some other major expenses, I am very happy with our progress for 2015.
In 2016 our income is not going to be as consistent as it was in the past. I’d like to increase our liquid savings and continue to pay down debt. My other plan is to sell our rental property and invest the proceeds in another business.
Next week I’ll give you our mid-year update for 2016.