This is the 27th update in my net worth series, in which I document my path to reaching two goals:
- $30,000 in annual passive income by 2025
- $1 million in net worth by 2027
You can check out my net worth tracker to see all of my up-to-date numbers.
Today is also my 25th birthday, which leaves me with five more years to get to my $1 million target.
It’s been over two years since I started my net worth series.
I’ve made some pretty significant progress, but I still have ways to go.
Let’s get into the numbers.
April 2022 Net Worth Numbers
As a reminder, my net worth last month was at $125,494.16.
Assets – April 2022
Over the past month, we’ve seen our stock portfolio rebound in a pretty significant way.
My M1 Finance accounts are up to nearly $100,000. If you include my other brokerage accounts, my taxable stock portfolio is up to over $120,000.
Meanwhile, my tax-advantaged accounts all benefited from the market surge that we saw in March.
One stock in particular that performed very well in March was Alibaba – it fell all the way down to about $80 per share. It surged back up to about $120, which helped boost the portfolio a bit.
My net worth tracker has more detailed information on my specific stock holdings in both my taxable and tax-advantaged accounts. I update that tracker monthly.
With that said, that leaves our assets at $754,924.48.
Liabilities – April 2022
Our biggest change on the liabilities front was my estimated income taxes. It’s up from last month by a couple grand. I’m trying to calculate what I can expect to need to pay when the tax bill hits. That bill will be paid in the middle of this month.
I’m still putting together my tax return. I likely will end up throwing money towards some of my tax advantaged accounts (like my HSA and IRA) to buy down the tax bill a bit.
For our student loans, interest rates have been frozen for quite a while now.
That’s freeze is technically set to be lifted next month. I must say I would guess that the freeze will get extended, but we’ll see. I’m not counting on it, but I wouldn’t be surprised in the slightest.
My wife will be finishing up her audiology program in August, so we should be receiving the last of her tuition payments within the next couple of months. We’re expecting our last payment in late May or June of this year (which will get added to the student loan balance).
If we do start accumulating some interest on those student loans, we may have to re-evaluate our approach and shift our focus, as those interest rates cap out at about 7%.
When my wife graduates, we will both have full-time income, so we can focus more energy to paying our debt down.
For now, inflation is eating away at her student loan debt, so we’re not in a rush to make early payments at all.
In the meantime, I’ll still be paying down my HELOC, which is on variable rate interest. Due to the recent interest rate hikes, our HELOC has been bumped up to 2.5% interest rather than 2.25% interest from before.
Thus, our liabilities this month are $621,822.74.
My Net Worth – April 2022
In total, that leaves us with $133,101.74 in net worth.
That’s an increase of $7,607.58 from last month
Our debt ratio is at 82.37%.
And our passive income remains at about $1,100 per month.
What’s Next?
Overall, it was another strong month and another big step towards reaching our financial goals. Happy birthday to me!
In the past year, I’ve made some real progress in this net worth journey.
Of course, as my wealth grows, it’ll be harder to keep it growing at the same percentage rate as before, although this would be a good problem to have.
I anticipate any extra income will go towards my stock portfolio and debt paydown.
In the meantime, I’m looking for another property.
I’m not looking as aggressively as I could be; there’s just so little supply out there and getting some good deals is going to take a lot of effort. I’m not sure if I’m willing to put in that required effort as of now.
As I mentioned in the last update, my wife and I were talking about potentially relocating to Houston long-term sometime this year. I’ll be spending more time researching the Houston area in the coming months.
Regardless of what I end up doing, I’ll document it!
See you in the next one.
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