I’m late to the party as usual with getting my figures out for August. I had thought I might get them done a week ago, but on one of my day’s off I was exhausted and prioritised sleeping. The other day I had the chance to meet up with one of my friends who was up in Scotland for the weekend, so we took the opportunity of getting together and putting the world to rights. Much more important than getting my figures published!
As usual I’ve got last month’s figures in brackets for comparison. I’ve got my Defined Benefits Pension in there based on twenty years worth of money if I start drawing it at 60. I’ve also got my Net Worth not including the DB Pension or the house equity, which seems barmy, but is really just to represent how close I’m getting to mortgage neutrality.
Mortgage £97,298.42 (£97,790.14)
Cash £34,066.27 (£33,612.22)
Defined Benefits Pension £123.683 (£123,683)
AVC’s £6,452.88 (£6,440.24)
Shares £38,246.93 (£37,782.93)
House £250,000 (£250,000)
Total Assets £452,449.08 (£451,518.39)
Net Worth including house equity
£452,449.08 – £97,298.42 = £355,150.66 (£353,728.25)
Net Worth excluding house equity and Defined Benefits Pension
£78,766.08 – £97,298.42 = -£18,532.34 (-£19,954.75)
Slightly more cash than last month due to an incredibly low credit card bill for the month. I pay for all of my discretionary spending on a credit card and clear it in full by direct debit each month. My utility bills go straight out from my current account, but apart from that all the food, petrol, going out, haircuts, takeaways, anything else you can think of goes on this card. Which makes me quietly very pleased that the credit card bill for the month was only £239. Not bad for the three of us for a whole month. It was partly just luck with the way things worked out. We ate our way through the freezer and cupboards, didn’t need to put petrol in the car and just generally had a pretty frugal month. It’s never been that low before and I doubt it ever will be again. Not until the kids leave home anyway. I’m already way above that level for September, but I think I can live with that.
The shares are up, but by a bit less than what I’ve invested this month. As always my Vanguard index trackers are doing well, it’s my stupid work shares that are letting the side down. I’m definitely going to have to address that at some point, but that’s a job for next year. I’m on track to use up this year’s ISA allowance anyway, so I’ll think about offloading some work shares next year to make a start on my 2021 ISA allocation.
I don’t know what the hell is going on with my AVC fund. Considering I’m putting in £477 a month, that is a spectacularly piss poor increase. I don’t know if it was just maybe a bit slow being invested this month, as when I looked last night it’s much healthier. Should give me a nice little boost in my September figures!
I’ve set some new charts up showing how I’m doing in getting to where I want to be in terms of my AVC fund and investments. My aim is to get to £50k in the AVC fund, which will allow me to take my cash lump sum without reducing the amount of annual pension I receive. My target for investments not in a pension is £125k. This will give me enough to live (still very frugally) when combined with my DB pension and the state pension when that kicks in.
Fairly pleased with August’s figures. Every section has increased (obviously apart from house value and DB pension which I just keep the same), maybe not hugely, but they’re all up. I need to just keep plugging away. I went through a stage of spending hours staring at my spreadsheets and pie charts willing them to look more promising. I realised that I was wishing my life away hoping to be further along my journey. This is going to take time. What I need to do is enjoy my life in the meantime.
I’ve had a really dodgy spell at work where I’ve been hating it. I think this has had a fair amount to do with my frame of mind as much as the realities of the job. It has been very busy and tough at work this year, but I’ve had a word with myself and decided to not hate it so much and look for the positives (of which there are quite a few). I think that’s why I was getting frustrated with how long it felt like it was taking me to reach FIRE. I really wanted to be able to quit imminently, which I’m not able to do. Now that I’ve settled down a bit more I have rediscovered the vital skill of patience on this long and winding road to FIRE.