≡ Menu

Financial Transparency as of 31OCT2017

Happy Halloween!

music selection:  “I Like It Heavy” — Halestorm

ASSETS:

Wells Fargo (taxable): This is down 281 dollars.  This account holds mostly closed end funds holding debt instruments.  It rarely moves much.  The month end total is 31,307.

Interactive Brokers (taxable): This moved only a tiny bit by 121 dollars or about 0.04% on the month.  There was actually more action than that but strong gains in UVXY puts was offset by losses in Celgene.  The new mark is 311,698.

Interactive Brokers (tIRA):  Not much going on in this account either as the balanced increased 3,630 to 160,413.  Gains were broadly distributed across multiple property and casualty insurance companies.

Checking:  This is down 950 dollars.  The new month end total is 12,618.  That is about six months of expenses if I had to forgo withdrawals from the main brokerage account.

Total Liquid Networth: The new high water mark is 516,036, up 2,520 versus last month.  Current annualized gain on entire portfolio is down this month to 18.43%, which is still an impressive amount considering there is a 25,000 a year drag in the form of my distributions for living expenses.

 

LIABILITIES:

No real changes here.

Home – Paid

Car – Paid

My income tax asset is roughly a wash with my income tax liability.  I will probably send Uncle Sugar another 500 dollars in January just to be sure.

 

WITHDRAWAL RATE:

I am budgeting 25,000 for annual spending.  Against a liquid networth of 516,036, my withdrawal rate is 4.84%.   Projected 12 month distributions, dividends, and interest come to 29,705 or 118.82% of budget.  I picked up an additional 3,533 in options income during the month.  Average monthly options premium income annualizes to 32,205 or 128.82% of budget.  My cash spending needs are currently met more than twice over and the withdrawal rate continues to fall.

 

SPENDING:

Spending for the month came to 3,371.  My expenses go up this time of year due to real estate taxes and home insurance.  I paid insurance this month and one of three real estate tax bills.  I’m still on track to be around 3,000 under budget for the year.

Devour your prey raptors!

{ 3 comments… add one }
  • financialfreedomsloth November 2, 2017, 1:01 pm

    Very nice.
    I am wondering if you are contemplating on phasing out more and more of the active stuff and going more and more passive as your withdrawal rate gets lower and lower?
    It is something I ask myself, I love this stuff also but I do not know if I want to continue doing it once I hit my numbers. On the other hand, it is also pretty addictive, get me two weeks away from the market and I start getting itchy. ..

    • The Lizard King November 2, 2017, 1:35 pm

      I plan to keep about 40% of the portfolio in debt instruments (fixed rate, variable, convertible, preferreds). That will give me increasingly more wiggle room to sit out the market and not trade if nothing tasty is on offer.

  • financialfreedomsloth November 2, 2017, 1:45 pm

    ‘to sit out the market’ as Kenny Rogers already knew: You have to know when to fold …

Leave a Comment

CAPTCHA
*