C40's Journal

Where are you and where are you going?
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C40
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Re: C40's Journal

Post by C40 » Mon Jan 07, 2019 10:17 pm

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2018 YEAR END SUMMARY

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Ok I’m going to make two separate posts. This first one with numbers and charts, and then another with text about how the year went, how I’m feeling, etc.


Total spending for the year was $16,745. At the end of October, I was on track to spend under $10,000 for the full year. But I spent a lot in the last two months renting a house, buying a motorcycle, and so on.




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CHARTS

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I’m going to show you almost all the charts I use. I’m sharing these mainly as they may provide ideas for those (thinking of) making charts of their own. I have been showing fewer numbers and charts in my monthly updates over the lat months/years, and I’ll probably show even less in the future. Here they are, all at once.

My charts basically fall within three categories:
  • Spending
  • Spending vs. Income
  • Net worth tracking
Plus some that I consider yearly summaries of the above. Mostly also spending vs. income.

(a note - my investing income/growth numbers are a bit off right now for at least 2017 and 2018.)


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SPENDING

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Pareto - by year: (this makes sense when including/looking at large infrequent purchases like a motorcycle)
Image



Pareto - monthly averages
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By type of spending
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How spending has changed over time, by type:
Image




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SPEND vs INCOME

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Fairly basic spending vs. actual income: (though my realized capital gains/losses aren’t included)
Image



Spending vs. estimated investment income:
Image



Same data as above but shown in a different way
Image




Also showing actual income data here. By not showing individual months, a smaller y-axis scale can be used:
Image



This one shows estimated regular income (dividends and stuff) and also total NW impact of investing - both income and (un)realized capital gains. Can be useful and interesting to see both actual income along with how NW was impacted.
Image



Same thing as above, in a different format:
Image



Spend vs. Income, with a running total of the surplus/deficit:
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Same thing but since I retired. Using two axis scales can keep both things viewable.
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Same as above, with the spending shown as negative bars, also with some spending data categorization shown.
Image




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NET WORTH

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Net worth, by category, with a retirement target line and my net worth projections I’d made in the past and updated at retirement:
Image



This one shows the values in more categories. Can be useful to see the Roth IRA amount separate from other post-tax investments.
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Longer timeline:
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NW in years of spending:
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Shown in years to smooth it out:
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SWR needed: (suppose this could go in another category)
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YEARLY SUMMARIES

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These are charts that I think can be quite useful in the long run, but (for me, the way I have my data structured), they take more/extra work to make, and they are much more difficult to ensure accuracy and data clarity. For anyone other than me looking at them, these are the most likely to be confusing, misunderstood, and unclear. You really have to know how they work for them to be useful. Looking at them right now, there are some things I’m not even sure about, and some things that may be needed to make them more useful.



Income by source: (well, it’s not income, it’s the income and investment growth side of NW impact. It includes unrealized gains/losses)
Image



Spending, shown by source, with an order of preference (hobby, investment, then income), plus, investment income/growth that was more than spending is also shown:
Image



Same as above, but with the extra investment income/growth shown differently:
Image



Spending along with work income and investment income/growth.
Image
Last edited by C40 on Tue Jan 08, 2019 10:21 am, edited 2 times in total.

classical_Liberal
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Re: C40's Journal

Post by classical_Liberal » Tue Jan 08, 2019 2:15 am

Wow! Quite the breakdown.

I've been reading your journal since around the time you took those initial road trips (using work rented vehicles if I recall) and decided van life was for you. I remember following the van build and the break up with GF who was not into your type of life with interest. It's just truly awesome how you've kept up with this journal so religiously since FI. It really helps those of us a few years behind, so thanks!. I really look forward to the second half of your update. In my FI Journal reading addiction, it seems that right around the two year mark is when people start switching themes from scratching the initial itch that drove them to FI, into something new. I can't wait to see if you follow suit, and if so, what the next phase of C40 life looks like.

Scott 2
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Re: C40's Journal

Post by Scott 2 » Tue Jan 08, 2019 9:45 am

Measure twice, cut once, eh? Great charts, strong analysis. You could earn so much money with a full time job :D

Is the chart for "Pareto - monthly averages" right? It matches the one above.

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C40
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Re: C40's Journal

Post by C40 » Tue Jan 08, 2019 10:25 am

Whoops. No, that wasn't the right chart. I fixed it now. Thanks :-)

thedollar
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Re: C40's Journal

Post by thedollar » Tue Jan 08, 2019 12:34 pm

Do you invest in index funds or stocks? How do you achieve such a 'high' yield in this environment?

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C40
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Re: C40's Journal

Post by C40 » Tue Jan 08, 2019 1:45 pm

thedollar wrote:
Tue Jan 08, 2019 12:34 pm
Do you invest in index funds or stocks? How do you achieve such a 'high' yield in this environment?
Right now, pretty close to half and half. First - my numbers aren't correct right now, so don't put much stock in them. Also, see this chart below. There are problems with my numbers here also, but, yeah, I haven't done so well.

Image

Up until summer 2016, half or more of my invested money was in my work 401k, with commonly high expense ratios.

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singvestor
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Re: C40's Journal

Post by singvestor » Thu Jan 10, 2019 3:51 pm

Love your charts!

latearlyFI
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Re: C40's Journal

Post by latearlyFI » Sat Jan 12, 2019 10:36 am

Hi C40!

Wow your story is amazing! I couldn't put it down, read your whole thread from 2011 to now. Kudos to you for sticking to such a frugal lifestyle and killing it with your investments. I was surprised that in 2018 or any other time you didn't appear to freak out at all over stock market movements. Did you not follow it closely? Or are you not bothered by it?

Love your charts. I particularly liked the one that has the spending against investment income showing the two numbers moving towards each other.

Looking forward to reading more and thank you for sharing!

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C40
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Re: C40's Journal

Post by C40 » Sat Jan 12, 2019 11:08 am

Hello lateralyFI. Thank you for that.

Yeah, I haven't freaked out (so far) about stock prices going down. I mean, what am I going to do about it? Basically nothing. So there's no reason to freak out. Also, I have about $80k in my pension value and some IAU. If stock prices go down a lot more, I'd use that to buy more.

I do get some anxiety lately, as I'm thinking about selling (maybe a lot of) stocks in order to buy a house. House prices are going up, and the stock prices just dropped a bunch, so, that does suck.

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