the dollar journal

Where are you and where are you going?
thedollar
Posts: 87
Joined: Tue Feb 21, 2017 4:07 am

Re: the dollar journal

Post by thedollar » Fri Mar 29, 2019 4:36 pm

More than 100 I suppose.

It's a lot more 'tidy' than it seems on the lists I provide here.

Ex.: I own 25 of the C25 index individually - position size is directly related to the company's market cap.
Also track DAX30 and SP500 the same way with SP500 being my largest holding.

I could just buy an index fund but I why would I when I can save the fee and do tax harvesting? Haven't paid dividend tax for years.

I do, however, have some Danish 'index funds' covering the U.S. and global equity. I try to diversify on funds as well, so I'm buying different funds.

herp
Posts: 141
Joined: Sat Apr 08, 2017 1:11 pm

Re: the dollar journal

Post by herp » Fri Mar 29, 2019 4:39 pm

Very interesting! Would you mind sharing your tax loss harvesting strategy? Do you just sell and re-purchase whenever there's even a small loss to harvest?

thedollar
Posts: 87
Joined: Tue Feb 21, 2017 4:07 am

Re: the dollar journal

Post by thedollar » Sat Mar 30, 2019 1:59 am

Yes, that's it. So last year banks tanked and I sold and repurchased those. In a few days I should receive a large refund from the Danish IRS as I am getting all the tax they withheld from my dividends back.

Since the yield is so low on my investments the shares I have to sell & buy each year is not that big. I'm not sure that I would be able to do this forever - at some point stocks should have gained so much I don't have any loses (that's the plan anyway) - but has worked until now.

thedollar
Posts: 87
Joined: Tue Feb 21, 2017 4:07 am

Re: the dollar journal

Post by thedollar » Fri Jun 07, 2019 4:00 pm

New metrics...

+++

Net income to expenses: 2.50x
Net bonus (expected) to expenses: 0.50x
Passive income TTM: 0.80x
Passive income forward: 1.25x

Total forward: 4.25x (77% savings rate)

+++

Goals for January 1, 2020:

Net income to expenses: 3.00x (66% savings rate)
Net bonus to expenses: 0.50x
Passive income forward: 2.00x

Total forward: 5.50x (82% savings rate)

thedollar
Posts: 87
Joined: Tue Feb 21, 2017 4:07 am

Re: the dollar journal

Post by thedollar » Tue Jun 11, 2019 11:13 am

Currently restricting calorie in-take in order to lose weight. End-goal is to hit a BMI of 21.5.

BMI
Start-2019: close to 25
Currently: 22.6
Goal by July 1: 21.5

herp
Posts: 141
Joined: Sat Apr 08, 2017 1:11 pm

Re: the dollar journal

Post by herp » Wed Jun 12, 2019 12:59 pm

Great work!

I did a similar weight loss journey half a dozen years ago, but unfortunately I pretty much gained it all back due to stress. Now I'm trying again and got off to a good start last year, but I keep falling off the wagon and gaining it back.

Do you have any tips?

thedollar
Posts: 87
Joined: Tue Feb 21, 2017 4:07 am

Re: the dollar journal

Post by thedollar » Thu Jun 13, 2019 10:31 am

My method is to cut all sugar and processed food. My diet consists of oatmeal with water, rye bread for lunch and chicken and vegetables for dinner. If I allow myself to have a piece of cake I know I'm heading for more 'cheating'. The all or nothing approach seems to work best for me.

That's for losing the weight - I have no idea for maintaining the weight loss over a longer period of time. Pretty sure I'll gain the weight back at some point like you describe. I was thinking thinking of doing a routine weigh-in each morning and if I am above X kg I'll do a day of dieting and if I'm below I can lay back a little. Not sure.

herp
Posts: 141
Joined: Sat Apr 08, 2017 1:11 pm

Re: the dollar journal

Post by herp » Thu Jun 13, 2019 10:48 am

That diet was actually very close to what I practiced when I last lost weight. Counting calories was key to me, as I would otherwise do far too much mental accounting to try to keep track of things and not really have a clear idea of how much I had consumed.
Additionally, the process of having to log everything often made me not only more conscious of what I ate, but also often not wanting to bother eating because it took extra work. If I wanted to eat some sweets or similar that had lots of sugar or fat, I had to exercise for it. I didn't cut out any foods, but by counting calories sort of automatically made me avoid foods heavy on fat. I rarely ate cake or chocolate, for instance.

Why do you think you will gain back the weight?

thedollar
Posts: 87
Joined: Tue Feb 21, 2017 4:07 am

Re: the dollar journal

Post by thedollar » Thu Jul 04, 2019 12:21 pm

Sorry for my late answer.

Well, isn't that how diets work? You put in a lot of restraint and focus for a certain time. Then you reach your goal or something more important comes along in your life and you get distracted. That's at least how my dieting works.

jacob
Site Admin
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Location: USA, Zone 5b, Koppen Dfa, Elev. 620ft, Walkscore 73
Contact:

Re: the dollar journal

Post by jacob » Thu Jul 04, 2019 12:32 pm

You guys don't have to use the quote function as a reply button when you're responding to the entire message. I fixed it above.
Also see, viewtopic.php?f=21&t=6780 (rule 2)

herp
Posts: 141
Joined: Sat Apr 08, 2017 1:11 pm

Re: the dollar journal

Post by herp » Thu Jul 04, 2019 12:40 pm

@jacob: Sorry about quoting posts, I actually went out of my way to do it as it seems to be good form on most forums.

I'll try to avoid quoting posts immediately above my own in the future.

@thedollar: Yeah, that's been my own experience as well. Perhaps the solution is to set less restrictions while dieting, but then you may end up getting frustrated due to not seeing results quickly enough. I guess in the end your diet has to be something that you know you can stick with through thick and thin. Kind of like investing, huh?

thedollar
Posts: 87
Joined: Tue Feb 21, 2017 4:07 am

Re: the dollar journal

Post by thedollar » Thu Jul 04, 2019 12:43 pm

Weight update:
Currently steady at around 22.4-22.5 BMI. Vacation time incoming so that might pull me back a bit. Hope to continue the weight loss in August.

Job update:
Received two raises within the last 6 months plus bonus. The job is fine - I have the skills and the flexibility is high. Weirdly, it makes me greedy that I now earn more. May consider opportunities elsewhere to see if I can increase my salary significantly.

Travel/vacation update:
Going to visit 8 European cities and a music festival this Summer.

Finances update:
Expenses a bit higher than the usual USD 1,500 for May and June. I do not feel any additional joy/utility from the increased spending though. I aim to be careful that it does not turn into some inflationary lifestyle creep monster that I can't shake again. Savings rate should improve due to the raises received.

I have received a significant windfall in the magnitude that hopefully NW will simply be in run-away mode when I get fully invested.

Investments update:
Slowly allocating towards 60% stocks (of which 80% should be index based strategies, 20% stock-picking). Planning to hold 40% cash/bonds and investigate investment opportunities within real estate. May allocate 20% for real estate if I find something that fits me well.

Goal for 2019:
  • Finish allocation at least 50% of NW to stocks
  • Allocate at least 10% of NW in real estate
  • Negotiate new pay raise in the end of the year or find new higher paying job
  • USD 50,000 in annual forward passive income
  • Reach BMI 21.5
  • Get smartphone screen time under control. First goal is max. 1 hour per day.
@Jacob: Got it.

thedollar
Posts: 87
Joined: Tue Feb 21, 2017 4:07 am

Re: the dollar journal

Post by thedollar » Thu Jul 04, 2019 1:05 pm

@herp

I agree with your point. At least I was thinking to be less strict once I reach the goal weight. Financial discipline just comes so much easier for me :lol:

In any case this diet thing is a problem I am yet to solve. Will try to hold myself accountable on this journal and also share my experience in case I somehow make it work.

herp
Posts: 141
Joined: Sat Apr 08, 2017 1:11 pm

Re: the dollar journal

Post by herp » Thu Jul 04, 2019 1:26 pm

@thedollar: Keep me posted! I went from a BMI of 26.3 to 21.5 about 6-7 years ago, but now I'm back up to 25.4. Ideally I'd like to land right around 23 as I felt most comfortable there. I also had more muscle mass as I was doing some bodyweight exercises, which really showed. It's pretty fascinating how quickly those newbie gains show up.

Congrats on the raises and windfall. Looks like you have a busy summer ahead, too!

bigato
Posts: 2126
Joined: Sat Mar 05, 2011 12:43 pm

Re: the dollar journal

Post by bigato » Thu Jul 04, 2019 2:02 pm

Both in diet and in finance, isn't it more sustainable in the long run to transition gradually into a new lifestyle that fits your goals instead of starving/depriving yourself to try to get there faster?

Gerald
Posts: 11
Joined: Fri Jun 14, 2019 3:36 pm
Location: Salzburg - Austria

Re: the dollar journal

Post by Gerald » Thu Jul 04, 2019 4:10 pm

Regarding weight loss: in my experience it is better to concentrate on the real goal which is havng a certain weight and not weight loss. If your goal is losing 7kg, you'll eventually have to gain weight for losing it again. Focusing on the weight (or BMI) can give you the necessary mind shift to permanently keep the desired weight.

thedollar
Posts: 87
Joined: Tue Feb 21, 2017 4:07 am

Re: the dollar journal

Post by thedollar » Sat Jul 27, 2019 7:02 am

@herp @Gerald

Thank you for the advice and support which I will keep in mind. Herp, building muscle mass is a bonus of working towards a healthier lifestyle and does add weight as well. So that part is a bit counter-intuitive when you are aiming to lose weight as a goal.

@bigato

You tell me. I am not sure. Depriving has yielded some meaningful results for me but as you say it may not be the most sustainable method out there.

thedollar
Posts: 87
Joined: Tue Feb 21, 2017 4:07 am

Re: the dollar journal

Post by thedollar » Sat Jul 27, 2019 7:14 am

Insurance
Low and behold, I am now insured for the first time in my life. In general I've never cared for insurance since I believe I would be able to cover most loses myself and try not to own expensive stuff that can be stolen or broken in the first place.

I am now covered for general liability, fire damage, water damage and lawsuits all for USD 8/month. I find the price very fair compared to the competition out there which is why I decided to go for it.

herp
Posts: 141
Joined: Sat Apr 08, 2017 1:11 pm

Re: the dollar journal

Post by herp » Sat Jul 27, 2019 7:29 am

The topic of insurance is an important one. I think most people buy too much insurance and pay dearly for it. But going without insurance can be risky as well if you end up in a catastrophic situation. Optimally, you should only insure against events that would have immense financial consequences.

I like Lars Kroijer's thoughts on insurance

thedollar
Posts: 87
Joined: Tue Feb 21, 2017 4:07 am

Re: the dollar journal

Post by thedollar » Sat Jul 27, 2019 4:05 pm

herp wrote:
Sat Jul 27, 2019 7:29 am
The topic of insurance is an important one. I think most people buy too much insurance and pay dearly for it. But going without insurance can be risky as well if you end up in a catastrophic situation. Optimally, you should only insure against events that would have immense financial consequences.

I like Lars Kroijer's thoughts on insurance
Thanks for sharing the video. I've watched some of Lars' videos on investing too - really awesome and thorough.


So what is the take away on your part if I may ask? Did you end up doing any form of insurance?

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