This is my tenth net worth updates report for the year 2016. For those new to my finance journey, net worth update is a simple report I post every month which tracks the progress of my journey to reach my financial goals.
My ultimate financial goal is to become a self-made millionaire in 10 years by saving and investing in stable dividend paying blue-chip companies.
I am posting all my financial information in this website because I love to inspire and motivate people to start their own journey to reach their financial freedom.
You could learn from my successes and failures (experience) and improve your financial IQ.
Along the way, I make financial mistakes and will share my experience here with you. So, you could learn something, avoid those mistakes and save money.
In October 2016, my net worth increased by $2900, a tiny improvement in my net worth.
And, I reached my third $50 000 net worth – $150 000 net worth 😀 .
I reached my first $50 0000 net worth in May 2014, and hit my second $50 000 in May 2015 (in exactly one year gap).
I thought I could hit my third $50 000 much faster than the second one, but it didn’t happen. It took almost 17 months to get here.
As you know, my net worth is much depended on my investment performance because I am a single income earner and my income is around $55 000 per year. Saving big chunk of money is impossible for me with a kid, bills and mortgage payment.
Therefore, I am in pure low middle class category. But I have a big dream to become a millionaire in few years.
Over the past 17 months, my investment portfolios have experienced so many issues, such as oil crash, Canadian market dropped more than 20% and went into crash territory two times.
Any stocks with the word “energy” get hammered; even they were not directly related to oil price.
Some stocks in my portfolio cut dividend (CVE, KMI, COS), and their stock price dropped sharply as investors punished them for dividend cut.
And, so many other stocks hiked dividends, but price stayed low due to the uncertainty. Some of the big Canadian banks’ yields were more than 5%.
Moreover, there are so many other events around the world kept the market low for longer time, including China stock market crash, Brexit, deflation fear in Europe, U.S president election, etc.
Overall, my net worth did not move well as I expected. I took the advantage of all the negative news and bought more stocks at bargain price.
Especially, I bought over $16 000 worth of stocks in February 2016 using borrowed money. The move paid-off really well as most the purchase moved up well and few increased more than 50%. And, I started to take some profits off the table and paid down some debts.
Now, let’s wait and see how much time I need to hit my fourth $50 K. I am very positive. I think I could reach to $200K net worth in less than a year.
Please understand that this is not a journey about a high income earner become a millionaire. This is a journey about low-middle class income earner with a dream to become a millionaire.
There will be so many humps and curves in my path, but I am sure I will get there one day.
Now let’s talk about my net worth and finacial numbers in October 2016.
Last month, my net worth increased by $2900 or 1.96% from my last update.
Year-to-day gain is $42 300 ().
Net worth update as of October 31, 2016 ()
Assets:$484 400 ()
- Cash: $400 ()
- Home: $270 000 (no changed) – Yearly adjustment with inflation
- Canadian Stocks: :$168 300 ( )
- U.S. Stocks:$37 600 ()
- Employer’s Pension Plan: $8100()
Liabilities:$333 800 ()
- Mortgage :$184 500 ()
- Student loan: $24 700 ()
- Margin loan:$57 600 ()
- Credit card 1:$8700 () (low interest credit card – 0.99% special rate for 10 months – will be expired in September 2017)
- Credit card 2:$9300 () (low interest credit card – 0.99% special rate for 12 months – will be expired in March 2017)
- Credit card 3:$15 700 () (low interest credit card – 0.99% special rate for 10 months – will be expired in November 2016)
- Line of Credit 4: $9300 ()(low interest balance transfer – 2.99% special rate for 12 months – will be expired in May 2017)
- Credit card 5: $4700 () (low interest credit card – 0.99% special rate for 10 months – will be expired in December 2016)
- Credit card 6: $0 (paid-off)
- Credit card 7:$500(no changed) – (regular expenses)- high interest rate of 19.99%.
- Line of Credit 1 : $10 400 () – (low interest credit card – 2.99% special rate for 12 months – will be expired in April 2017)
- HELOC:$8400 () – (low interest of 3.30% – primte + 0.5%)
Net worth :$150 600 () as of October 31, 2016
My net worth up by since my last update.
- all amounts are rounded to the nearest $100;
- all numbers are in CAD; and
- Conversion rate 1.00 USD = 1.32 CAD
I have a huge credit card debts because I take advantage of low balance transfer promotion rates and invest in high quality dividend stocks. Learn, earn, save,invest and leverage your skills are the keys to become wealth.
Thank you so much for being in my finance journey and for your support.
Disclosure: This post contains affiliate links, which means I will earn a commission if you decide to make a purchase (at no additional cost to you).