It’s been a long time since I calculated my net worth – July 2008 to be specific. Why did I stop calculating it then? There were two main reasons:
- The big stock market drop – Things had dropped so much that it was depressing. The fall of housing prices also played heavily into it as I count the equity of a home that I own (umm, I mean the bank owns, I’m just a small partner). For those who are new to this blog, I don’t live in the home anymore as my wife got a better job opportunity on the other side of the country. I didn’t sell the home at a loss. So it’s a poor investment property until the market gets a lot better.
- It had gotten boring – I know that sounds like an excuse, but if your income and expenses don’t change much, month-to-month, your net worth is going to float along with whatever current investments you have. In the first 6 months of 2008 my net worth changed less that 0.5% in either direction. It’s kind of silly to write a post about that every month.
So why now?
- I had just finished up 6 months of contracting – I was making fairly good money for a good part of it, and it’s helped me combat some of the losses in the stock market. Though I still have some money coming in to me.
- I hadn’t done it in over a year – Instead of doing it too often, I’m not doing it often enough. Perhaps I should get on a quarterly schedule.
- I had just finished up 6 months of contracting – I’m going to use the same reason twice. Without that contract job bringing in constant money, I back to earning by making money online. I need to evaluate where I stand financially and make a plan from there. Figuring out my net worth seems like a natural place to begin planning – and making sure what I’m doing is enough to get me to my goals.
So when I was doing my net worth, I found that I had about $10,000 than last year… going from around $212K to $202K. That doesn’t seem to be that good a number for someone who made good money for 6 months. I wish I had a better idea of how much of that money is still on it’s way in. I had been a little Lazy with copying the timesheets. I’d estimate to be around $30,000 though.
With a wife making good money, and having health care, and $202K to my name, I think I’m relatively okay to begin this journey of making money online again. Before I really make that case, I’m going to have look at my expenses and see what I really need to cut back on.