Welcome to the FindependenceCanada February 2022 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 month’s update click here.
Alright, so after a rocky start to the year the markets have seemingly stabilized at least a little bit. The situation overseas appears to have diffused at least a little bit and the earnings reports of some of the larger companies are starting to spin a more positive outlook moving forward. The only real negative catalyst that I can see as being imminent will be the likely rate hike in March, if that ends up being a larger move than the market is ready for there could be some blood in the streets.
The only real unusual movements for the month in terms of things we can control (our spending) was that we booked flights, hotel and some hockey game tickets for a family trip as a bit of a break before baby number 2 gets here in a few months.
Now, let’s get into the numbers:
The main change since the last update is that my work savings plan was cashed out in January and there was a little bit of shuffling of the funds including: topping up my RRSP and adding to my non-registered margin account (to sell covered calls).
All-in-all our $1,063,365 in assets was an increase of about $14,000 from last month – solid progress in our books.
Now for the liabilities:
Again… I know, we have the most boring liabilities as they never really change. Our home mortgage reduced by about $1,300 month over month and we made another payment to Mrs. FIC’s student loan. I feel like I need to throw this in to every update for the new readers: we keep the student loan because it’s through the UK student loan system and their loans are in the range of ~1% interest, a far cry from the 6% I was paying on mine.
And here’s the main number:
A net worth of $593k puts us up $15k from last month. Since the market wasn’t too much of a boost this came in large part due to our own contributions and earnings.
We’re really trying to take advantage of our current income before maternity leave for Mrs. FIC to max out our registered accounts and front load the years investments because we know that money will be a lot tighter for the back half of the year.
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.
You are doing fantastic! I remember when my debts were paid off. Had a big party with friends. No one owned me anymore! Great feeling. Keep working toward your goals!
I can’t wait for that day! We’re not in a rush to pay off our home right now especially because we don’t view it as a long term residence, but some day when we’re mortgage free there will be quite the party!
That’s amazing and you’re building your net worth steadily and you’ll achieve FI in no time.
One thing that I noticed is your TFSA and your wife value isn’t identical. Has she not maxed out her TFSA yet? Would it be better maxing it out instead in a non-registered account?
Hey, great question!
Reason being, she’s from the UK and isn’t eligible for as many years of TFSA contributions as I am. Her TFSA is also max’d out just lags mine in contribution room.
FIC.