Hello everyone! Did you have a good month? October has flown by for us. The RB40Jr was busy with Ultimate Frisbee and Wushu almost every day. I started a ceramics class and a ukulele class. It was a lot of fun, but I was driving all over town. It was a relief when the fall season was complete. The RB40Jr team finished thirdThird In section b. That was great! They plan to move up to Division A in the spring. Overall, life was busy in a good way.
In terms of personal finance, October was good. We didn’t spend much, but our passive income was less than I’d like. Our monthly cash flow was negative, just under -$100. Our net worth is down a bit as well. We are still well on our way this year.
Well, I’ll share with you what I’m doing with my goals for the new year. Next, I’ll talk about our net worth and cash flows. Let’s go!
2024 goals
Here’s my goals spreadsheet for 2024. It works well. Try it if you can’t keep up with your goals for the new year. The key is to review the spreadsheet monthly to track your progress. This way, you can see which goals need more attention and work toward them. We have less than two months left in 2024!
Financial goals
FI ratio > 100%
The FI ratio is passive income divided by spending. If you can generate enough passive income to cover your expenses, then you’re set. For 2024, it lowered that goal to 100%. We are getting older and I feel like we could spend more. After 10 months, our FI was 113%. not bad!
*phi ratio = Passive income/expenses
3% rule
Everyone is familiar with the 4% retirement withdrawal rule, right? Basically, you should have a successful retirement if you withdraw less than 4% of your investable assets annually. Let’s see if we can spend less than 3% in 2024. This is a good way to test how prepared you are for retirement. We will add everything at the end of the year.
Track net worth and hope +10%
I’ve been tracking our net worth since 2006. It’s great to see the progress. This year, I would like to see a 10% gain. At this point, the gains are completely dependent on the stock market and there is not much I can do to influence this target. I’ll track that down and keep my fingers crossed.
Our net worth gained 16.4% Since the beginning of the year. This is huge. 2024 is a great year for investors.
Health goals
Exercise 3 times a week
Now that I’m 50, health is job number one. I need to exercise constantly so that I can stay healthy longer. I joined a gym and plan to exercise at least 3 times a week. It’s a little late in October. I took a week off because I was a little sick. Getting fit after the age of 50 is difficult!
Health checks
It is equally important to go see doctors. In this day and age, we have more maintenance and preventative care to deal with. Here’s my list for 2024. This list is out!
- Colonoscopy. finished!
- Annual physical. finished!
- Dental examination. finished!
- Vision examination. finished!
- Immunization. Tdap booster and flu and covid vaccine. finished!
Fun goals
International flight
The RB40 turned 50 this year and wanted to go on a fun and memorable trip. We visited Japan for 3 weeks. It was great. I would love to live there for a year or so.
Happiness level > 8
I’m a happy guy by nature so this should be easy. Life has been great these past few years.
October was a good month. We were busy with various activities. Life is good when you’re a little busy.
Help RB40Jr start a YouTube channel
We have given up on this. RB40 Junior I lost interest.
Net worth (+16.4%)
I have been tracking our net worth since 2006. It is very motivating to see the progress we have made. The strength of the installation is incredible. Our investment gains far exceed my geometric annual income. This year, our net worth has increased by 16.4% so far.
***important*** My best advice is to stay the course. Don’t stop investing. You should continue to invest whether the stock market is going up or down. You may think stocks are very expensive, but in 10 years they will look cheap. Keep investing and you will achieve financial independence one day. Don’t try to time the market.
This is a chart of Empower’s net worth. (Personal Capital is now Empower.) Sign up for a free Empower account to help manage your net worth and investment accounts. I log in often to check our net worth and use their free tools. This is a great site for DIY investors.
I’m not sure why the chart looks like this. The update interval in August and September may have been messed up.
October 2024 Fire Cash Flow
The FIRE Cash Flow Chart includes my online income, side gigs, and taxable passive income. Ms. RB40’s income is not there because she plans to retire in a few years.
October was a good month. Our cash flow was negative, but by a small amount.
Fire income for October 2024: $3,352
Our fire income was lower than usual in October.
- Real estate crowdfunding: $563. You can read more on RE Crowdfunding’s passive income page.
- Dividend income: $515. Slow month with earnings.
- Rental income: $693. We’ve had a quiet month for rentals.
- Blog income: $342. My online income continues to decline. October was a very slow month. Things are not looking good.
- Odd jobs: $644. Not bad for 20 hours of work.
- last: $550. I finally filed my tax and got my refund.
- interest: $45.
Spending: $3,449
This year, I plan to spend about $65,000. This is how much money we used last year. After 10 months, we spent about $54,000. We should be under budget this year. However, I haven’t started any remodeling projects this year. He’s been very busy. I will work on it next year.
Here are some details.
- Housing: $1,304. This includes mortgage, utilities, furniture, repairs and maintenance. Our housing expenses are low because we live in a duplex. We split many expenses with our tenant.
- communications: $320. Gas and insurance. I also had to renew my registration and annual parking permit.
- entertainment: $210. We ate out several times.
- grocery: $499. My grocery bill was lower than usual.
- health: $135.
- child: $447. Unfortunately, child-related expenses also increase as the RB40Jr ages. We pay for his orthodontist and an international school trip.
- He travels: $413. Ms. RB40 went to California for a short vacation.
Savings:-$97
October 2024 summary
Well, let’s wrap it up. October was a good month. We kept busy and the month went by. The rest of the year should be quiet. We are looking forward to hunkering down for the winter. Life will be busy again soon enough.
That’s all for October. Did you have a good month?
Passive income is the key to early retirement. These days, I invest in commercial real estate with… Crowd Street. They have many projects all over the United States. Go check them out!
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Passive income is the key to early retirement. This year, Joe is investing in commercial real estate with CrowdStreet. They have many projects all over the USA so check them out!
Joe also highly recommends Personal Capital to DIY investors. They have many useful tools that will help you reach financial independence.
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