Financial Update Report – April 2017
Below you will find a snapshot of our personal financials for the month for April 2017. This includes a brief synopsis of our net worth and monthly cash flow activity.
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Boom! I wasn’t expecting April to be this kind to us, but here we are. 🙂
There were several positive moves forward on the financial front, including our tax refund. We’ll get into the others below.
I was also finally able to get out and do some fishing for the first time this year.
It cost me $3 in parking and a $9 fishing permit, but I was able to snag 3 decent bass during a quick 2.5 hour session… which reminds me. I’ve been meaning to do a post about the similarities of fishing and finances.
Net Worth Summary
As you may have noticed from above, our net worth lurched forward a nice chunk this past month. We ended the month of April at $1,842,173 vs. $1,773,477 this past March. This is a $68,696 increase in our net worth or +3.9% by percentage.
I had to do a double-take when I saw this and was curious why this increased so much in comparison to other months.
We had a decent increase in cash because we received our tax refund via direct deposit this month. This was an extra $8k which was nice, especially since last year it took awhile to receive our refund due to my identity being stolen.
Another positive factor was the markets were up again over the past 30 days. This added an additional $11k to our NW for the month.
Real Estate Booming
Finally, the remaining pop came from our real estate holdings being adjusted in Zillow. I always take these updates with a grain of salt because as I’ve mentioned before Zillow uses an algorithm to create its “z-estimate”, which may or may not be accurate.
If there is a major move in values, I will usually try to cross reference their z-estimate with comps in the area of recently sold properties that are similar. This is more precise. (You could also request this information from a realtor with access to the MLS).
Having said that, Zillow’s estimates appear to be relatively accurate this time around. It may be a touch high with one of our San Diego properties, but nothing too crazy. If it seems to outside of the going comps, I will typically update the values manually (downwards), which I may consider doing next month if values keep rising outside of sales demand.
Cash Flow Summary
It was nice to have our taxes flow smoothly this year. We got in everything about a week early and received our refunds from both the State and Fed within 30 days. This led the way for a nice positive cash flow in April of +$10,253.
Income of $21,093 was up from March by a few thousand dollars.
Aside from the tax refunds this month, our income is primarily made up from my wife’s teacher salary, rental income, dividend income, and misc investment income (eg. RealtyShares).
This month we spent $10,840 which was down $5k less than last month. We didn’t have any major expenses this time.
Next month, I’m probably going to bite the bullet and purchase a new desktop computer. My current one is on its last leg, so I’m considering this an investment into my time (which I value highly).
Portfolio Balances (Equities)
As I mentioned above, we were able to see a $11k pop in NW due to our portfolios. This could have been higher potentially, but I’ve been raising cash (i.e. selling stocks) as I bear down for the coming “winter”. Don’t know when it’ll hit, but I want to put my cash to work when we see a major adjustment in the markets.
It was a fun surprise to see all the stars align for April and get a significant increase. Alas, it is still mostly “paper money” in the sense that its unrealized gains. I’m thinking I’ll lock in some of those gains in our portfolios, but the real estate I will simply sit on and watch it go up (or down). As long as it’s pushing out a positive cash flow, then the overall fluctuations in value are just for my entertainment.
And last, but not least, I finally finished off the first draft of my e-book – Millionaire’s Cheat Sheet to Financial Freedom. I expect to have this available to my insiders within the next month. So, if you’d like a copy, please join my newsletter here for insider access.
Readers, how did April treat you? Any surprises (good or bad)? How are those 2017 New Year’s Resolutions coming along? 😉