Financial Transparency as of 31OCT2020

The month was basically flat.

music selection:  “Let’s Groove” — Earth, Wind & Fire

Spending is way over target.  I have unplanned expenses for tree removal, fencing repair, and real estate taxes.  I can’t realistically meet my spending target for the year now but should come in less than last year.   The non-profit gig remains on hold pending social distancing requirements.

ASSETS:

Wells Fargo (taxable): This finished the month down 353 dollars at 18,722.  The loss is 1.85% on the month and 35.79% decline year to date. This account also produces $141.00 in monthly distributions, which sweep to my checking.  I’ll be looking for more Closed End Funds to buy in that account as funds are available.

Interactive Brokers (taxable): This is down 4,521 on the month to 141,533 which is good for a 3.10% monthly gain.  Year to date, I am down here by 23.27%.

Interactive Brokers (tIRA): This account is up 3,609 on the month. The monthly gain is 4.50% and the year to date loss is 49.57%, driven by my 50k distribution to taxable.

Interactive Brokers (Roth): This is up 196 dollars to 6,914.  The monthly gain is 2.92%,  and the year to date loss is 49.97%, driven by complete losses for shares held long in MRRL.

HSA: This account is up 243 on the period to 10,710. That is a move of 2.32% on the month and 13.47% gain on the year.  I had withdrawals for medications.

Checking: Cash is up to 9,663 from 8,534. That is a 13.23% increase from last month and 7.80% loss year to date. Monthly withdrawals from the taxable brokerage are set at 1,500 a month, my target spending.

Coins: I have collectable gold and silver coins worth 5,651, down 596 from last month.  That is a 9.54% decline on the month.

Crypto: I recently got started with Coinbase and BlockFI.  I earned $10 in free bitcoin for depositing and converting to coin $100.  I’ve earned an addition coin in CGLD, MKR, EOS, XLM, COMP, and ALGO for completing short educational videos at Coinbase.  You can do the same at the following affiliate link: https://www.coinbase.com/join/dauzat_2kq  If you do so, you will earn $10 in free Bitcoin for depositing at least $100 and I will earn the same bonus.  (Much appreciated).  I think everyone should have a small (not large!) amount of crypto currency as a hedge.  My holdings are up 63 dollars on the month from 152 to 216, driven largely by free coin earned at Coinbase.

Total investable assets come to 277,246 down 0.08% from 277,476 last month and down 136,374 year to date or 32.97%.

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 9,865 income tax prepayment asset. This is all held to offset the tax hit from my tIRA conversion to taxable.  I will probably need to make an estimated payment in January.

WITHDRAWAL RATE:

I am resuming withdrawals from my taxable investing accounts set to provide a cash income of 18,000 a year.  I am going to calculate my withdrawal rate against a tightened budget of (18,000) going forward. Against a liquid net worth of 277,246 that is a withdrawal rate of 6.49%. I gained 6,216 in closed options trades during the month of October and am pacing for covering 245% of 18,000 from options trades. Additionally, my income centric approach to investing includes 12,580 in expected distributions, dividends, and interest for the year or an additional 69.89% of the new budget. Total budget is estimated to be covered by 314.62%. Assuming last year’s spending is necessary, I am still covered.  The options performance is picking up and I hope to deploy some profits into more closed end funds with yield to get my passive income back above budget.

SPENDING:

Spending was 3,065 for the month, which is well above the 1,500 target.  I had to pay the bill on, home repair, fence repairs, tree removal, and more  I’m pacing 1,959/month in spending so far. I can no longer make the spending target for the year and still have two real estate tax payments plus Christmas coming ahead.  I should come in well below last year’s spending however.

OTHER INCOME:

I picked up 150 dollars from my efforts on the local Water Board.  This  plus cash swept from taxable brokerage accounts come to $1,775 on the month.  I think I can reasonably keep up a $2,000/month pace but I am trying to belt tighten a little until I can trade my way out of a hole.  I am exploring employment opportunities as a contractor or as non-profit personnel.  If I can make 20k in a year as a contract (easy?) that seals the deal.  I prefer a non-profit even it is doesn’t pay well.   I want to feel good about what I am doing.

Devour your prey raptors!