This is by far the toughest net worth update to share.
Aside from the drastic decline of our net worth (ouch), our morale has taken a hit as well. There’s a pervasive sense of lethargy lingering in the house that drains our positive energy and motivation.
Not to sound overly dramatic, here’s what happened:
As a self-employed couple, my husband and I chose to forgo the stability of receiving regular paychecks in favour of flexibility in our work schedules and higher levels of income when the stars align (i.e. when our schedules are filled up with interesting projects).
If you’ve read last month’s net worth update, you know that our income has taken a big hit due to a sudden loss of consulting clients, negatively impacting our ability to save and invest.
To add fuel to the fire, we have paid over $12,000 in taxes in April, with even more (high 4-digit figure) to pay in the coming months.
Thanks to our emergency fund, savings, and income from the rest of our clients, making ends meet shouldn’t be an issue, at least in the near future. But ― and this is very hard for a personal finance blogger to admit ― we’re feeling pretty broke right now as more money is going out than coming in.
I can’t remember the last time we were genuinely worried about money. But as you can imagine, constantly thinking about every dollar you spend is a tad stressful, which often translates to MORE spending on wellness and self-care.
We know that the slippery slope of stress spending will make matters worse not better, so we’re extra careful about sticking to our measly “fun” budget.
I’d say we did an okay job at being frugal last month.
Here’s a quick summary of all the extraneous things we bought in April:
- $61.53 on gifts for family members who came to visit us and treated us to amazing meals
- $4.51 for a delicious chocolate-almond croissant at a cute coffee shop
- $13.56 for a light lunch at the same cute coffee place (I ordered a plate of pork tenderloin with a side of seasoned rice and steamed vegetables)
- $16.85 for McDonald’s while we were on the road (I got a Filet-O-Fish and my husband stuck to his usual Quarter Pounder with Cheese, we used a coupon)
- $7.77 for Subway sandwiches (daily special for my husband, and tuna sandwich for me)
A select list of quirky things that we were tempted to buy (but didn’t):
- A novel featuring a heroine with the same first name as me
- A fancy multi-tiered planter
- A $102 inflatable swimming pool (it will be super hard to resist buying this during the hottest summer months, but we will stay strong)
Now onto the meat of this net worth update.
If you are new to my net worth updates, here’s what you need to know:
We’re tracking the changes in our net worth every month, with the goal of reaching $1 million net worth by the end of 2020.
If you’re curious about our financial “starting point”, make sure to read this post first (I’ll be right here waiting while you check it out).
My husband and I combine our finances, so these figures below reflect our household net worth.
Let’s get to it!
Primary Residence: +$0
Cash Savings: -$9,623.08
RRSP: – $243.16
P2P Lending: +$4.7
Life Insurance Cash Value: +$0
Other Assets: +$0
Total Assets: $1,228,325.18 (-0.71%)
Credit Cards: -$33.89
Car Lease: -$240
Student Loans: -$214.17
Total Liabilities: $556,404.70 (-0.30%)
Net Worth: $671,920.48 (-1.05%)
A few things to note:
- Although we never had much credit card debt to begin with, it’s still nice to be able to say that we currently have zero credit card debt.
- The value of my cryptocurrencies is clawing its way back up. Who’d have guessed?
Are we on track to meet our 2018 net worth goal of $750,000?
At the moment, that possibility seems rather bleak, although we’re actively working to drum up more clients, so hopefully we can get back on track within the next couple of months.
I’m also hoping that the local real estate market would swing back in our favour this spring season. We could really use a home equity boost this year.
That’s it for this net worth update.
Readers, how was your April? Feel free to share your money stories in the comments section below, or email me if you want to be featured on this blog.
Ready to keep going? Feel free to binge read our net worth updates.