# My Money Plan- Not as glorious as some.. but I have to start somewhere.



## albertabound (Jun 14, 2015)

CMF

After a few months lurking and reading here i've decided to join and start with my own Money Diary and net worth. 

To preface my information, I would say that although I seem relatively low in Net Worth given my age I have worked very hard the past 5 years to pay off all of my debt (good/bad) and certainly have not been slacking. I will not list the debts here as they are not relevant but I would state they were quite an amount at one point that I diligently paid off. 

Fast forward to today.. 

I am 32, zero liabilities and minimal assets. I hope to track my monthly net worth to make sure I am moving everything forward and on target to save 50% of what I make net each month. 


Current Net worth: 

Cash & Investments Assets

Chequing & Savings Account $8,000.00
Vehicle	$9,000.00
Company Stock Plan	$3,000.00

Long-Term Assets
RRSP:$18,000
TFSA: $5000

Debt: 
Credit Cards: $0 
LOC: $0 
Mortgage: N/A (Rent)


Total Net Worth: $43,000.00

Monthly Income: 
$7000 Net
*Not including Investment Income which is minimial 


Monthly Expense: 
Child Support: $1254
Meals/Entertainment: $1200
Travel: $300
Rent: $505 
Gym: $28
Sports: $150
Car Insurance: $110
Car M/R: $100 (Minimal Kms driven)
Investment/Savings: $2000
Comp Stock Purchase: $400
Misc: $200

Total Expense $6097

Variable: $+903/Month 

I have been debt free for about two months now.. and feel saving the $2000 that is planned with the extra $903 is vary reasonable. 

I also include clothing/any form of activity an entertainment into my Meals/Ent Budget of $1200.. if at the end of the month I have an extra $300 in that budget line I would purchase any clothing I may need etc. 

I currently live with my gf and have my little one on a rotating basis as well which drives up my Food Cost etc. 

Any feedback would be appreciated.. but really hoping for this to be more of a tracker of my Net Worth performance.


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## Davis (Nov 11, 2014)

The best time to plant a tree is 25 years ago. The second best time is today. I think you're off to a good start. Drawing up a plan and keeping track of expenses has you already on the right path.


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## peterk (May 16, 2010)

Awesome! Sounds like you're doing great with your saving and you make a good amount of money, so keep it up!. It sure is nice not to have any financial obligations to anyone but yourself (and your kid) isn't it?!

You been in Alberta long?


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## Westerncanada (Nov 11, 2013)

Thank you for the feedback! Ive been here just over a year now.. would like to buy at some point but rental cost is very low so am staying put!


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## Westerncanada (Nov 11, 2013)

And great to have no debt/financial obligations yes.. feels amazing!


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## scorpion_ca (Nov 3, 2014)

What did you buy in your RSP & TFSA?


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## Westerncanada (Nov 11, 2013)

scorpion_ca said:


> What did you buy in your RSP & TFSA?



My RSP is all TD E-series in the couch potato format split evenly across CAN/US/Bond/international and my TFSA is currently all Rio Can REIT for the moment but plan to add to it after my RRSP hits $25k so i can use the HBP if necessary. 

I plan to add the following in my TFSA all for Long Term Holds (25 years plus) 

FTS
GOLDCORP 
WN.TO - George Weston ltd 
Dream Office REIT 
Cenovus


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## indexxx (Oct 31, 2011)

My one comment, not knowing your investment style, preference, and risk tolerance, is that your monthly meals/entertainment is very high in my personal opinion. But that's just me; I used to spend close to the equivalent of that in those year's dollars, (it was in the 80's and 90's, and mostly in the bar) but now I look at a lot of that as a waste of money- not that I didn't have fun at the time, but I wish I'd taken even a small portion of that and added to my investments at the time- I'd have WAY more money tan I do now... 

Nowadays, if I spend more than $300 a month in total on food and entertainment, it makes me cringe. I'd rather travel or buy guitar/camera gear or invest it. I mean, twelve grand a year is a hell of a trip to Africa or Europe. My entertainment needs are met with healthy pursuits like hiking, photography, playing music, and the odd movie or concert out. The library fills my book and DVD and music wants for the most part; I buy a few albums on iTunes a year.

Of course, to each their own but just giving my input as asked. I'd say that your snapshot shows that overall you have good opportunity to build some great financial equity by the time you retire if you go about it correctly.


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## janus10 (Nov 7, 2013)

^^^^ Yes, I had the same thought about the $1,200 per month expense. Perhaps if it was broken down, one could find ways to cut back and put that towards building your assets which work for you.

I also know what it is like to have a child only be with me part time and I ended up spending more on her (quality vs. quantity) because I was so happy to have her around. So, there may be some entertainment expenses that are activities with your child that are easily justified.

You may want to check out the Mr. Money Mustache website to get some ideas of extreme frugality which you can learn from and implement in a more relaxed way. If you can find a way to reduce expenses by even 5% and enjoy life more, that's a big step towards your goals.


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## My Own Advisor (Sep 24, 2012)

Davis said:


> The best time to plant a tree is 25 years ago. The second best time is today. I think you're off to a good start. Drawing up a plan and keeping track of expenses has you already on the right path.


+1 Same goes with starting to invest.


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## CalgaryPotato (Mar 7, 2015)

That is awesome that you are able to live on such a small portion of your salary. With $2,500 (what happens to the other $1000?) going into savings and stock purchase every month, that net worth is going to grow fast! 

I see what others are saying about your entertainment/food being high, but maybe you are lumping other things in there. (cell phone bill, internet, cable?)


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## albertabound (Jun 14, 2015)

Westerncanada said:


> My RSP is all TD E-series in the couch potato format split evenly across CAN/US/Bond/international and my TFSA is currently all Rio Can REIT for the moment but plan to add to it after my RRSP hits $25k so i can use the HBP if necessary.
> 
> I plan to add the following in my TFSA all for Long Term Holds (25 years plus)
> 
> ...



Just as an FYI, WesternCanada introduced me to the form and when I setup my account it must have automatically logged into his (from his home) and I typed my reply but realized a few of them came out under his name. 

In any event, i'll double check it's accurate moving forward!


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## albertabound (Jun 14, 2015)

indexxx said:


> My one comment, not knowing your investment style, preference, and risk tolerance, is that your monthly meals/entertainment is very high in my personal opinion. But that's just me; I used to spend close to the equivalent of that in those year's dollars, (it was in the 80's and 90's, and mostly in the bar) but now I look at a lot of that as a waste of money- not that I didn't have fun at the time, but I wish I'd taken even a small portion of that and added to my investments at the time- I'd have WAY more money tan I do now...
> 
> Nowadays, if I spend more than $300 a month in total on food and entertainment, it makes me cringe. I'd rather travel or buy guitar/camera gear or invest it. I mean, twelve grand a year is a hell of a trip to Africa or Europe. My entertainment needs are met with healthy pursuits like hiking, photography, playing music, and the odd movie or concert out. The library fills my book and DVD and music wants for the most part; I buy a few albums on iTunes a year.
> 
> Of course, to each their own but just giving my input as asked. I'd say that your snapshot shows that overall you have good opportunity to build some great financial equity by the time you retire if you go about it correctly.


Wow... $300 a month is fantastic! I do not know how I can possible do that as my grocery bill alone is $450-$500. 

Well naturally I track everything I spend with an App to keep on budget, and I am usually $200-$500 Under budget on an average basis but have had months go over slightly due to extra cost etc.


May as an example: 
Food/Meals:
Groceries: $646 (this is 99% Costco Food, any protein vitamins/dish detergent/House supplies) 
Eating out: $136
Hair Cut: $36
Entertainment: $96 
Sports Related: $50 (drop in fees) 

Total : $964
Budget: $1200 
Remainder: $236 Under Budget 

I basically keep it in as a float and that way if i'm over budget one month etc my balance can off set. I also have sports fee's (League fee) that I pay twice a year out of this budget but I always include it as entertainment 


I am still amazed you are able to eat off $300 in a month. I'd love to hear more about that as obviously my grocery bill is the single biggest form of expense I have. I do eat pretty well.. clean food etc. 

Any feedback is always appreciated.


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## albertabound (Jun 14, 2015)

CalgaryPotato said:


> That is awesome that you are able to live on such a small portion of your salary. With $2,500 (what happens to the other $1000?) going into savings and stock purchase every month, that net worth is going to grow fast!
> 
> I see what others are saying about your entertainment/food being high, but maybe you are lumping other things in there. (cell phone bill, internet, cable?)




I do lump a lot of stuff in there for sure... My phone bill is on a separate line and I do not have cable currently!


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## peterk (May 16, 2010)

albertabound said:


> Just as an FYI, WesternCanada introduced me to the form and when I setup my account it must have automatically logged into his (from his home) and I typed my reply but realized a few of them came out under his name.
> 
> In any event, i'll double check it's accurate moving forward!


Ah, there it is. Thought I was living in the twilight zone reading this thread!


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## peterk (May 16, 2010)

albertabound said:


> May as an example:
> Food/Meals:
> *Groceries: $646 (this is 99% Costco Food, any protein vitamins/dish detergent/House supplies) *
> Eating out: $136
> ...


This feels higher than it should be to me. I spend about 300-350/month and buy lots of really good steaks and meats and classy things to eat. The only way I could see 600-700/month for one person is if you're trying to bulk up on an organic paleo diet (maybe you are!). 

Obviously eating great and healthy foods is not something to compromise on just to save a few bucks when you have disposable income, and if you feel you are getting worth while value for whatever it is you're buying then by all means continue. Just be aware that you're kind of on the high end of the grocery spending spectrum...


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## albertabound (Jun 14, 2015)

peterk said:


> This feels higher than it should be to me. I spend about 300-350/month and buy lots of really good steaks and meats and classy things to eat. The only way I could see 600-700/month for one person is if you're trying to bulk up on an organic paleo diet (maybe you are!).
> 
> Obviously eating great and healthy foods is not something to compromise on just to save a few bucks when you have disposable income, and if you feel you are getting worth while value for whatever it is you're buying then by all means continue. Just be aware that you're kind of on the high end of the grocery spending spectrum...




Typically Grocery Basket at Costco: 

Pre-made Salads $25
RTD Protein Shakes $30
Protein Bars: $20 
Chicken Breast $25
Turkey Breast $25
Chicken Thighs $15
Gluten Free Pizza $10
Veggie Platter $12
Assorted Other Veggies/Fruit Seasonal: $25

$187
Plus any household items.. and that lasts about 10 days. 

I should really see what I can do to cut this down as looking at it really makes me realize how much money is going out the door here. 

Again.. How does $300 possible work for food in a month? I am by no means overweight but not sure how I could make $300 work for 30 days.


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## RBull (Jan 20, 2013)

Congratulations on your progress and goals AB. You're doing very well but your food thing might need a little help!

I agree with the comments on food and think your costs could certainly be in the $300 or less range, especially when you're also eating out some. Your $187/ 10 days would be $140 FOR 2 OF US, including our sundries, and all meals at home with no eating out. My wife and I tracked our grocery expenses for years and ranged $420-500/mth for the last 4 years or so. The average for the last year (when we're home-travel a lot) for 2 of us is $420/mth and this includes all sundry items (household cleaning, toiletries etc) We do have a vegetable garden the past 2 years which likely saves us an estimated $3-400/ year (freeze some things). We eat healthy quality food, hearty appetites (I work out ~8 hours/wk), almost no processed or prepared food and all meals at home (retired) as my wife is an excellent cook and we like variety. Although we don't spend extra for organic etc. I am also thankful my wife is a very smart shopper though!

Looking at your list pre made things like salads, veggie platters etc are expensive and you're paying a lot for convenience. Are you buying cooked chicken/turkey? If so this is expensive. If not that's a lot of poultry-$6/day just for that. Costco may not be the best choice for some of these things. You're spending a lot for the shakes and the bars $5.50/day. What is the reason for so much protein? IMHO, you don't need all this-maybe at a professional body builder level. I've been a competitive marathoner for years and didn't blow money on that. I don't think it would be difficult at all to dramatically reduce your grocery but you can afford it and may want to continue spending high amounts on this to get what you're used to.

I pay $13 for a hair cut at home and it was $5 when i was in the US at an RV park. 

Good luck with your goals and your diary.


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## peterk (May 16, 2010)

I don't keep receipts, so below is a best-guess breakdown of a typical month:

Eggs – 25 (2 dozen/week approx – every day for breakfast)
Steak – 45 (5-6 steaks/month – Rib steaks at ~$7-8/lb)
Pork – 25 (3-4 Tenderloins /month, sometimes a big roast for pulled pork or a ham (5-10 meals))
Chicken – 15 (Usually buy about 2 of those rotisserie chickens. Eat the dark meat, use the white meat in salads, use the bones to make chicken stock, which I freeze and use to make soup or risotto down the road)
Sausages and/or ground beef for hamburgers– 15 (3-4 packs /month)
Bread/Buns -15 (3-4 Packs/month)
Milk – 10 (1L/week or less)
Bacon – 15
Hashbrowns – 5
Lettuce – 15 (1 pack of romaine hearts or prewashed baby greens/week)
Salad Vegetables – 25 (Peppers, cucumbers, tomatoes, etc)
Pasta & Pasta sauce with Ground beef & veggies – 20 (I probably make 1 big pasta/month approx that lasts for 3-5 meals)
Juicing vegetables – 25 (I like to juice veggies and drink with breakfast, or when I want a snack – Carrots, spinach, apples, beets, celery, etc.)
Fruit – 25 (maybe a pineapple or container of grapes or strawberries per week + apples & bananas)
Frozen berries – 10
Protein Powder – 15 (2-3 shakes per week, after workout – 5lbs container lasts 2-3months)
Miscellaneous – 30 (sauces, dressings, cheeses, butter, condiments etc.)
Household – 30 (cleaners, toothpaste, small kitchen gadgets, condoms, toiletries etc.)

Total: $365/month

I'd say this is a bit high of an estimate and it certainly varies throughout the year. In the summer it's a lot of steaks, sausages, burgers. In the winter it's roasts, pastas, meatballs, soups.

2015 grocery average: $362/month
2014 grocery average: $289/month

In university I ate similarly, just subbed in cheap sale-price pork instead of steak, way more pasta, less fancy things like spinach, pineapples and bacon. I was living off of $150-200/month max for a number of years, so the $350 I'm currently spending is indeed quite extravagant.

RBull I think has identified the issues above about why it's so expensive for you. Obviously it's up to the eater to decide if it's an "issue" at all. If you're just too busy and tired from working hard all day and making money then it's hard to fault you for spending a bit extra on preprepared groceries. (I don't know about those protein bars and shakes though... you can make your own shakes very easily for not nearly as much).

I usually like to cook. Maybe 1 weekend/month I'll be really tired and consider it a chore, but mostly I enjoy it and want to make my own food from scratch anyways. I'd say it takes me about 4-6 hours/week to prepare everything. Usually I'll cook a number of meals on Sunday, and then once or twice per week during the summer (BBQ) I'll make something midweek.


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