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Dec 2007 Net Worth Update (+2.35%)

Time for the final installment of net worth updates for the year 2007.  December was a volatile month for the markets, but better than November.

A few readers commented in my November net worth post that insurance shouldn't be counted as a liability.  Yes, technically, I can cancel my insurance anytime so it's not a real liability.  However, it's a fairly large annual expense for the foreseeable future, so I would rather take bit by bit monthly than take a big hit once a year.  The alternative would be to take it out of my liabilities and manually reduce my savings amount.

Here are the final numbers for the year:

Assets: $ 383,600.00 (+1.72%)

  • Cash: $4,500 (+0.00%)
  • Savings: $118,000 (+4.89%)
  • Registered Investment: $48,300 (+1.26%)
  • Pension: $21,500 (+1.90%)
  • Non-Registered Investment Account: $45,200 (+0.44%)
  • Real Estate: $ 124,500 (investment property) (0.00%)
  • New Home Deposit: $5,000 (+0.00%)
  • Vehicles: $16,600 (2 vehicles) (-1.19%)

Liabilities: $ 104,300(+0.10%)

  • Mortgage Debt(investment property): $94,500 (-0.21%)
  • Insurance: $1,800 (+20.00%)
  • Other Liabilities: $8,000 (-0.00%)

Total Net Worth: ~$ $279,300 (+2.35%)

Started 2007 with Net Worth: $224,000

Year to Date Gain/Loss: +24.69%

Overall, 2007 was fairly successful with approximately 25% increase (without real estate appreciation) in net worth which was one of my unannounced annual goals.

Question for you, do you enjoy the net worth updates?  I've been contemplating simply doing my net worth updates based on percentage change only and taking out the actual numbers.  What do you guys think?  Would it still be as interesting? 

Stay tuned for my financial goals for 2008.

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FT About the author: FT is the founder and editor of Million Dollar Journey (est. 2006). Through various financial strategies outlined on this site, he grew his net worth from $200,000 in 2006 to $1,000,000 by 2014. You can read more about him here.

{ 15 comments… add one }
  • Avatar The Financial Blogger December 31, 2007, 10:08 am

    I like your net worth update and it is interesting to look at it in numbers and percentages.

    In regards to the insurance, I really think you should take it off. It is true that the insurance is an important expense but as you don’t count your future income in your net worth, you should not count your future expenses either.

    Your net worth is supposed to be a picture of your financial situation at a determined point in time. Today, you don’t owe $1,800 in insurance, you will just have to pay for it in the future.

  • Avatar FrugalTrader December 31, 2007, 11:00 am

    FB, good points. I think you are right, i’m going to remove the insurance for my first net worth update in the new year. Thanks for the input.

  • Avatar FourPillars December 31, 2007, 11:56 am

    I think having more information makes the post more interesting. In other words – keep the dollar figures.

    Besides – the name of the blog is million $$ journey – we want to know when you hit a million.


  • Avatar Gean Oliveira December 31, 2007, 12:14 pm

    I’d rather stay as it is. I think it is interesting to use dollars and percent.

    Happy New Year and thank you for your posts!

  • Avatar moneygardener December 31, 2007, 12:51 pm

    I agree that the insurance should come off and I like seeing all of the numbers as well.

    Happy New Year!

  • Avatar David Cox December 31, 2007, 1:20 pm

    Keep the numbers.

    While just as much info would be conveyed by simple percentages, many want to view your progress over time. Also, for people like me starting out, I’ve found it interesting to look back at your networth postings in the past…it helps to show that if you keep your nost to the grindstone, you can get some serious bank and serious progress.

    Million Dollar Journey, not Percentage Networth Increase Journey :)

  • Avatar CanadianDollars December 31, 2007, 5:54 pm

    Agree with everyone else on here. Keep all the numbers. I like seeing them. Your Net Worth Update is inspiring for those of us that keep track and update our own Net Worths. I’ll try to do so with some more regularity on my blog.

    All the best! Happy new year FT!


  • Avatar Q Cash December 31, 2007, 9:37 pm

    In actual fact, your insurance is a prepaid expense and is an asset that declines each month.


    I actually like seeing numbers, FT, but it is totally up to you and what you feel comfortable with sharing.

    Have a super Happy New Year


  • Avatar FrugalTrader January 1, 2008, 12:35 am

    Hey Q, you are right, the insurance is a prepaid expense, I don’t know why I didn’t see it like that before. Perhaps I should be adding it to my assets?

    Also, due to the comments here, I will keep the actual numbers in my net worth updates.

  • Avatar Gary Lauria January 1, 2008, 2:24 pm

    Keep the numbers. It makes it interesting to see the actual changes in growth.
    Happy New Year

  • Avatar Millionaire Money Habits January 1, 2008, 6:16 pm

    I like the numbers as well. It is interesting to see what investment vehicles you use and how you allocate between them.

    I enjoy the posts.

  • Avatar Joshua January 2, 2008, 1:30 am

    I love the numbers – please don’t remove them!

  • Avatar James January 2, 2008, 2:18 am

    FT, I like the dollars and percents. It is inspiring as mentioned above.

    Even though the insurance is a prepaid expense can it not only become a true asset if the insurance is paid out. I see the insurance payment as just a bill like any other. I wouldn’t list my phone bill because it is not an investment or a debt. This bill is just cash flowing through your hands. Here today and gone tomorrow.

  • Avatar Quick Lunar Cop January 2, 2008, 6:11 pm

    Maybe it’s a bit “voyeuristic”, but I like to see the the dollar figures in addition to the percentages. Somehow, a percentage without a dollar figure doesn’t seem as real to me.

  • Avatar isabelle January 13, 2008, 4:28 pm

    The breakdown gives it meaning. It shows us how you deal with setbacks or life situations in general. A number o it’s own would be of limited interest to me.

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