I think it’s best to start this journey by finding out my net worth. I was inspired by George of Forever 20-Something Lawyer. I’ve been a lurker on her blog since 2017, when her net worth was still barely Php 2 million. This year, she reached her 4th million!
NET WORTH UPDATE
November 15, 2019
I procrastinated doing this because I was afraid of what I’d see, but that didn’t me serve me well.
|Cash (In Bank)||88,700.06|
|Cash (On Hand)||697.00|
(List Price less Loan / 2)
|– Equity Fund||18,945.56|
as of 11/15/19
This is eye-opening. I wish I did it sooner. There are many purchases and financial decisions (ie lending money) I could’ve avoided or said ‘no’ to had I known I couldn’t afford it.
Cash and Investments
Cash requires no explanation. Most of mine is in the bank but I think I should keep Php 10,000 in the house for emergencies.
My investments amounting to Php 23,973.84 are all initial investments to equity funds and stocks. I’ve been dabbling in investments since 6 years ago, but I wasn’t consistent. I also sell them as soon as I reach a % of gain. All the money went to eating out and being vain. So, I started again. This time around, I’ll avoid taking out the money.
My net worth is mostly attributable to the net asset value of the condo of Php 717,050.00 (List Price less Outstanding Loan ÷ 2). I got the mortgage for the condo 5 years before I got married. Now that it’s a conjugal property, I just divided the net value by 2 to keep things simple. I don’t want to bother with accounting for the percentage of my contributions to the mortgage.
If we computed for my net worth with only my liquid assets, I would be in the red, Php -24,734.62.
The credit card debt is from several wedding and christmas gift purchases I incurred this month. This is something I hope I NEVER do again.
I am also paying off a personal loan (85% medical expenses) for Php 10,000+/month. I will be done with it by September 2020 but I’m contemplating if I should just pay for it in full with my 13th month salary. I’ll have to check with the bank if the charges from terminating the loan sooner would cost more than the interest.