Another month in the bag.

music selection:  “Straight From The Heart” — Bryan Adams

Each month, I review my financial results for the period and year to date.  This includes a summary of my spending, budget, and some ratios to benchmark portfolio performance.  Hopefully, someone is inspired by this to achieve Financial Independence.

 

ASSETS:
Wells Fargo (taxable): This finished the month up 864 dollars at 30,023.  That is a 2.96% monthly increase and good for 2.96% annual gain.  This account also produces 9.03% in annual distributions, which sweep to my checking.

Interactive Brokers (taxable): Here I did poorly, driven by an ill-advised short of TSLA, ending the month at 157,689 down from 184,463 last month.  That is a monthly loss of 14.42% and year to date loss of 14.42%.

Interactive Brokers (tIRA): This account is up 2,152 to 168,410 versus last month.  The monthly gain is 1.29% and the year to date gain is 1.29.

Interactive Brokers (Roth): This is down 539 dollars to 13,281.  The monthly loss is 3.90% and the year to date gain is the same.

HSA: This account is up 3,690 on the period to 13,129.  That is a 39.09% move in the right direction, driven largely by my annual contribution.  This account is still “small” and will see wild swings until it has more ballast.  I also have about 2,300 dollars in planned dental expenses this year that will draw down from this account and also show up in my “spending” report.

Checking: Cash is down to 6,373 from 10,481.  That is a 39.19% decrease from last month and 39.19% loss year to date.  I have suspended my monthly withdrawals from Interactive Brokers and am approaching the point I want to turn withdrawals back on.  I might turn them back off when my tax refund comes in as I expect to put much less aside this year as I have been over estimating.  This will allow me to raise some brokerage cash for the downturn.

Total investable assets come to 388,905 down 5.98% from 413,630 last month and down 5.98% from 413,630 year to date.

Don’t forget to see the long term trend at Lizard King’s Transparency Page.

 

LIABILITIES:

Home: paid

Car: paid

Income tax: I have a 7,050 income tax prepayment asset.  I also expect to collect a couple thousand dollars in ACA credit and receive the entire amount as a refund.  I will set aside much less this year.

 

WITHDRAWAL RATE:

I have suspended withdrawals from my taxable investing accounts set to provide a cash income of 25,000 a year.  I am instead drawing down cash but I continue to use the 25,000 number to calculate withdrawal rate.  Against a liquid net worth of 388,905 that is a withdrawal rate of 6.43%.  I lost 1,044 in bad options trades during the month of January.  Additionally, my income centric approach to investing includes 23,570 in expected distributions, dividends, and interest for the year or an additional 94.28% of budget.  Total budget is estimated to be covered.  In the event of a downtown, I should be immune to the need to “sell at the bottom”.  At the same time, I can expect steady and robust growth to keep ahead of inflation.  Versus last year’s actual spending, my withdrawal rate is 5.97% and my cash on cash budget coverage is 101.43%.

 

SPENDING:

Spending was 1,532 for the month, which is well below the 2,000 target.   I think I can mostly keep spending down this year except for some dental work I need done.  Seems this hungry Lizard grinds his teeth in his sleep.  Probably dreaming about tasty trades!

 

OTHER INCOME:

I picked up 750 dollars from my efforts on the local Water Board.

Devour your prey raptors!

 

 

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Financial Transparency as of 31JAN2020

Never miss another opportunity to devour prey!

2 thoughts on “Financial Transparency as of 31JAN2020

  • February 3, 2020 at 4:30 pm
    Permalink

    What’s the quick story on the TSLA short? Are these defined risk bear spreads that went bad? Did you over-allocate?

    Reply

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