Net Worth Update – Oct, 2020

My net worth has jumped $12,400 this month. It’s a significant jump. Here is why:

I have not made a bunch more money this month. Rather, I did some calculating, and have a much more realistic sense of what I am going to owe in taxes. Since self-employment is new to me, I’m still learning what I am going to make and how much I will spend – all this makes it hard to know an exact amount for taxes. But, since this is my first year, I am not even sure how much I will approximately end up owing. I typically save away 40% of what I make and earmark that for taxes. But, it’s close enough to the end of the year that I have a better sense of how much I will owe on the outside. I moved the rest to my savings/EF for now. If I end up owing more than I anticipate, I will just take money from there and send it to my taxes. If I end up owing less, I will take the excess and put it in my brokerage account. So, I ended up adding about $8000 more to my savings than last month.

The value of my house went up by $5800 this month (zillow estimate). If it goes on like this, by December, I should have 20% equity in the house, and will ask the bank to drop my PMI. With the extra I am putting towards the mortgage, I had anticipated that it would happen around April-May of next year. But, if it happens sooner, all the better.

My retirement accounts, brokerage, and HSA have all changed a nominal amount, and they are also reflected below. Unfortunately, most of them went down.

65,800 – House Equity
26,200 – SEP IRA
52,100 – 457 Account
19,500 – Brokerage
28,000 – Savings(EF)
3,700 – HSA
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195,300 – NET WORTH
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