$234,429.64 | January 2022 Net Worth Update

Hey guys,

It’s been a pretty interesting month to close out the year. Stocks have continued to go up and the S&P 500 ended the year up around 27%.

My net worth has gone up pretty significantly this year as well. As of the new year, my net worth is the highest it’s ever been since I’ve started tracking.

Most of this is due to consistent investing, stock market returns, and a focus on consistent contributions to my investment accounts. I don’t expect this kind of increase every year, but it’s great to see my early investments appreciate so quickly.

Here’s a picture from my Personal Capital account tracking my net worth growth since I opened my account in August of 2019.

Since April of 2021, I’ve blogged a net worth update with some key highlights along the way – take a look at my monthly progress below:

• April 2021: $181,250
• May 2021: $183,791
• June 2021: $190,804
• July 2021: $197,184
• August 2021: $199,983
• September 2021: $212,956.29
• October 2021: $206,686.24
• November 2021: $231,033.70
• December 2021: $229,413.73
• January 2022: $$234,429.64

Alright, now let’s get into the details.

January 2022 Net Worth Update: $234,429.64

• Cash: $18,241.63 (-692.57)
  • Checking Account: $2,885.27
  • High-Yield Savings: $15,356.35
• Investments: $188,444.64 (+$11,183.86)
  • Work 401(k): $105,999.10
  • Roth IRA: $55,877.16
  • HSA: $22,512.12
  • Taxable Brokerage Accounts: $4,056.26
• Cryptocurrency: $27,919.88 (-$5,308.34)
  • Bitcoin: $14,024.16
  • Ethereum: $13,895.72
• Credit Card Debt:
  • -($176.51)

I like to end these posts by sharing my thoughts on finance/money over the last few months. This month, I’m thinking a bit differently about my finances moving forward.

I’m currently in the process of saving for a down payment with my wife – and it’s been a bit hard mentally for me to put extra money in a savings account as opposed to investing it immediately.

One nice thing about financially minded people is that investing and maximizing our money in the mathematically optimal way comes easily. I’ve also noticed that I tend to work harder and get more enjoyment out of pushing myself if I know that I can invest my extra money. It’s been a bit harder for me to think about saving and purchasing a house. We’re planning on buying a house for just that purpose – to be a house.

We live in an area with relatively affordable houses. We have plenty of money and more time to dedicate to maintaining a house. I also really think that our assets we have already will allow us to take advantage of a low rate on a commercial loan, especially with low commercial interest rates and high inflation.

Even if our house didn’t make us money short-term, or the time wasn’t “perfect” to buy a home, I think it’s time. We’re at that point in our financial and life journey to get started on home ownership. The hit to our combined net worths will be there, but it’s an investment in our future – very literally speaking. Also, the leverage and potentially low interest rates could very possibly allow us to earn more over time.

One thing I’ve learned in young adulthood is that even though I may have been hesitant at times, I’ve always been happy with spending money on things that matter to me. Friends, family, travel, etc. It’s time to take that realization towards saving up to buy a house and look at not as taking a step back in net worth, but as an investment in our future. This is EXACTLY what investing should be – after all money’s usefulness is that it’s a tool to achieve goals, not the end goal by itself.

Happy financial new year everybody, may the net worth trackers be in your favor in 2022!