Welcome to the FindependenceCanada August 2021 Net Worth Update. This is where we track our monthly updates on our quest to a One Million dollar net worth and beyond. We have worked diligently over the last few years to go from having a negative net worth to the position we are in here today, and we hope that we are able to motivate others to join us on our quest to financial independence!
To view last months update click here.
August has been another great month for us on a personal finance level as well as a personal level. Here in Alberta restrictions have been lifting so we’ve been able to get out and about a little bit more and return to a little normalcy in our lives and we’ve also finally been able to book a vacation!
That’s right! we’ve actually been able to book in a trip to Toronto for the end of the month that we’re super excited about as we’ll get to take baby FIC to see some cool things like the zoo, aquarium and maybe even catch a baseball game who knows?
The vacation is actually relevant to this post because we paid up front for flights, hotels etc. so we did take a hit in what we could have had in the cash department, but it’s 100% worth it and we’re glad to pay it.
So, let’s get into the numbers:
Our assets are up nearly $20,000 over the month and it’s largely due to our contributions plus growth from our investment accounts. Our cash position grew $1,000 and our pensions, savings plans and investment contributions plus growth all accounted for another $19,000.
This kind of growth is way above what we could have ever projected and we still don’t expect it to continue indefinitely but the fact it has carried on as steadily as it has for this long has been a great feeling and has helped us start to see the finish line off in the distance.
Next, let’s look at our liabilities:
Our liabilities went down a little bit more than normal this month, the usual mortgage payment came out but on top of that we ended up having 2 payments made to Mrs. FIC’s student loan between net worth updates so nearly $1,000 were trimmed from that account.
That student loan is a classic example of emotional choices vs. mathematical ones. We’re very aware we have over $60,000 in cash and a $20,000 interest accumulating debt currently and obviously the math would show us that we’re better off paying this off – that being said it’s a 1.1% interest loan and us having a large emergency fund plus the financial flexibility to take advantage of opportunities in the future outweighs loan balance.
All in all we dropped our outstanding debts by just over $2,000.
Now here’s the main number, the net worth!:
2 months ago we celebrated breaching $450k, last month we celebrated $470k and now already this month we’re celebrating the $490k milestone! Like I said earlier this kind of growth blows any projections we could have made out of the water but we do hope that they continue.
Barring an absolutely horrific market crash our contributions alone should easily propel us past half-millionaire status by the end of the year.
This $493k total is a growth of nearly $22,000 MoM.
For a bit of a reference on just how bullish the markets have been our August 2020 net worth was $347k so we’ve now added on $146k in 12 months.
That’s where we’ll leave off for this update,
As always if you’ve got any questions or comments feel free to leave them below or over on our social medias:
Instagram @FindependenceCanada
Twitter @FindependenceC1
and we’ll be sure to get back to you.
Thanks for stopping by,
FIC.