# Financial Journal, back on track! Part I: 20s



## redsgomarching (Mar 6, 2016)

I had a previous thread however had not updated it for awhile and figured I would use this thread to start fresh with an updated picture because I myself am updated and found direction in my life.

About me:
Age: 26
Occupation: Accountant
Salary: 60k before taxes 

Work;
I report directly to the controller in my company which is experiencing a lot of growth. However, I do want to keep myself open to working in public practice as the experience is heavily favored in all industries and can really lay a solid foundation for my future career. 
Currently my hours are 7-3 M-F with option to go in on weekends and receive flat rate of $150 for 4 hour shift.
My salary comprises of work salary, side work (referee for soccer), money paid out by family business (pharmacies/rental properties). 
I also referee in some evenings to earn extra cash.

News;
This year I received some money that was set aside for me by grandparents (50k) and used it to purchase a condo. My parents did help me out on this and I was also able to put in an additional 15k of my own funds. The help that my parents have given me is an advance on my inheritance. I will not be including this in this snapshot until I have occupied it in mid 2018 (hoping for no delays!) 

I want to get back into updating this monthly as I have severely slacked in tracking expenses and want to get back into strict routine. 

Networth Snapshot
Chequing : 1000 
Savings: 3200
Investorline TFSA: 63,154 (Dividend Growth equities, Canadian)
Investorline RRSP: 12,005 (Index ETFS, S&P 500)
Investorline Non Reg; 5,108 (Growth stocks, individual plays from research/knowledge)



Total Assets: 84,467

Liabilities:
Credit Card Main: 0/5500 balance (paid off monthly)
Credit Card Backup: 0/2000 balance (paid off instantly if used)

Total Liabilities: 0

Networth: $84 467

Cash flow
Inflows
Salary: From Main job: $615 After tax per week, from Family Business: $250 Per week. My work also pays me flat rate of $150 for every 4 hour weekend shift I work.
Dividends: Averaging around $250 in dividends in my TFSA per month. I am currently NOT DRIPPING as I use the funds to purchase the next stock.
Referee: Anywhere from 0-200 Per month depending on how many shifts I pick up.

Total Inflows: ~3700-3800 after taxes 

Outflows:
Car insurance: 200
Phone: 50
Gas: 200
*Life Insurance (Universal policy): 150
Food: 300
Misc/Entertainment/Keeping the GF HAPPY!!!: 200-300

Total: ~1300 using high end

*The life insurance policy I looked at is a Universal policy which was started early due to my ability to keep low premiums. There are a few components to it which I remember looking at but cannot recall at this moment. I will dig up this paperwork but essentially there is an invested portion which I can take out as well, however, I will not include this amount in my NW snapshot.

Net Cashflow: ~ + 2500 Per month


Goals:

Immediate:
Cashflow: Achieve and maintain 60-70% savings rate per month
Achieve 100k Networth by year end.
Set aside 5500 for next year's TFSA contribution.

Medium Term: 1-3 years
Complete the CPA designation to unlock greater salary potential at work. (60k+)
Work minimum 1 weekend per week at work.
Set up Wedding fund.

Long term: 4-6years
Income: Achieve 100k income by the age 32 (inclusive of all activities).
Dividend Income: Reach 12k/year dividend income.


While all of this feels nice writing down, many things can change. This is what I want to follow and I am hoping to achieve the same level of financial security a lot of you awesome members have also achieved.


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## OnlyMyOpinion (Sep 1, 2013)

Good work. 
If you are ever looking to trim costs I would look closely at that universal life policy and the $150/mo it costs you.
Consider term instead of universal, and check whether your employer offers inexpensive coverage (usually a multiple of your pay), and most importantly, ask why you need insurance at this stage of life - who is depending on your income?
It is the insurance company that benefits from this type of policy, not you. The investment and/or paid up premium side of universal does not warrant the additional expense. Read the fine print.


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## redsgomarching (Mar 6, 2016)

OnlyMyOpinion said:


> Good work.
> If you are ever looking to trim costs I would look closely at that universal life policy and the $150/mo it costs you.
> Consider term instead of universal, and check whether your employer offers inexpensive coverage (usually a multiple of your pay), and most importantly, ask why you need insurance at this stage of life - who is depending on your income?
> It is the insurance company that benefits from this type of policy, not you. The investment and/or paid up premium side of universal does not warrant the additional expense. Read the fine print.


Thanks! Yours is one journey I would like to take some pointers from as I know you have experienced success through hard work! I know the insurance policy received some comments in the old thread and I have personally have not looked into it as much as I should have. I definitely have to do better here. 
The basis was to pay into this and the paid up portion is invested and able to be taken out at a later date. I will definitely tac this on to my immediate to do list and see what I can do here.


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## Ollyward (Oct 18, 2017)

redsgomarching said:


> Liabilities:
> Credit Card Main: 0/5500 balance (paid off monthly)
> Credit Card Backup: 0/2000 balance (paid off instantly if used)
> 
> ...


AMAZING!


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## redsgomarching (Mar 6, 2016)

Ollyward said:


> AMAZING!


Thank you Ollyward! I can only hope to continue to add to this!


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## redsgomarching (Mar 6, 2016)

October 2017 Update;

Notes; Good month overall a few days left to go. Stock market has been on a tear. A little mad due to receiving a ticket for going through a red light which literally consists of 35% of my spending. Also was unable to pick up some referee shifts due to the end of the outdoor season. Indoor season starting soon and hopefully able to pick up some more.

Cash flow:
Income; 3407.95
Expenses; 1136

Net: + 2271.95

Assets: 
Chequing: 2000
Savings: 3,883

Investorline TFSA: 64,908
Investorline RRSP: 12,330
Investorline Non Reg: 4777 

Total: 87,898

Liabilities:

Credit Card 1: 0/5500
Credit Card 2: 0/2000

Total: 0

Networth = 87 898

Growth from beginning; $3,431 or 4% overall increase.

Nearing in on that 100k mark, I really hope I can reach it this year. 

I have been working 6 days a week at my job in order to cash on $600 extra. This month I was lucky as I went on thanksgiving monday and received an additional $200.
My tfsa has seen some great growth - hopefully will hit 65k soon! 
My non-reg I took a chance on a pot stock and got a little winded - probably not my best choice but will have to suffer the consequences.

Once more, I have looked into the Universal life insurance and will continue to pay into it as it acts as an alternative savings choice - more diversification. By my reckoning the invested paid up portion should take me over 100k in Networth.


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## motl (Mar 3, 2014)

Good call on that OT.

I moved to a new position last year and it doesn't offer OT like my previous one did. Still coming out ahead especially in terms of hourly wage, but I do miss feeling like I had some extra control over my earnings but pumping up OT when I felt like it.


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## redsgomarching (Mar 6, 2016)

motl said:


> Good call on that OT.
> 
> I moved to a new position last year and it doesn't offer OT like my previous one did. Still coming out ahead especially in terms of hourly wage, but I do miss feeling like I had some extra control over my earnings but pumping up OT when I felt like it.


I plan on working every sunday I can. I want to do saturdays as well but its alot because i also am enrolled in the cpa courses so i need to manage time to study and mmy work hours are early so its hard to stay up late aha


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## humble_pie (Jun 7, 2009)

excellent overall picture, reds!

i have only a couple small points re what you call the "outflow"

1) i think onlyMO's caution on the insurance is a good one. It might still apply. Does the policy hold mutual funds? usually with insurance products, the mutual funds have disgracefully high MERs, can even be in the 3% & up range, which has always suggested to me that these funds are paying higher than average trailer fees. We can see that you are happy with the insurance plan for the time being, so this is simply a caution to maybe keep in mind for a future review.

2) there seem to be quite a few regular expenditures - which other people pay routinely - that are missing from your outflow list. Items like rent. Where are you living? might there be some costs or contributions? 

3) also missing from outflows are normal expenditures such as clothing, sports equipment, travel, dental, miscellaneous physiotherapy or other medic-related services, haircuts, car repairs, car insurance, possible gym membership, surely you face these?

.


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## redsgomarching (Mar 6, 2016)

humble_pie said:


> excellent overall picture, reds!
> 
> i have only a couple small points re what you call the "outflow"
> 
> ...


Thanks HP! 

1. I will look into how it is invested, I hvae been trying to locate the statements at my parents house but unfortunately cannot find them and neither can my dad.
2. i am very lucky to live at my parent's home and work close to said home. I will be taking on a mortgage and moving out in oct 2018 due to a purchase of a condo and hoping to move in with my gf who i plan to make my fiance. until then, I will capitalize on this opportunity to work as much as I can and save.
3. I do not regularly spend on clothes but I do keep an excel file on all outflows and inflows and add once they come up so they are all taken account for. as for sports equipment, i already have a nice set of golf clubs and my referee gear so I am set there. That outflow list in my OP was a generalization on what I usually spend on. Car insurance is on my outflow list, gym membership is paid for by my workplace, as is physiotherapy etc and my benefits are fully covered by my workplace. 

Like I said I do incur these outflows - but will only account for them when they occur. A lot of other expenses are really on the low side right now because my life consists mainly of; work, study, gym, girlfriend, sleep, repeat with some minimal spending. I really want to reach that 100k goal by the end of this year.


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## redsgomarching (Mar 6, 2016)

Well....November shaping up to be a great month....great update coming soon!


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## redsgomarching (Mar 6, 2016)

November 2017: Well after working hard with overtime and some non-reg plays I officially made it over 100k! 

Cash flow:
Income; 3841.55
Outflows: 1374.00

Net: +2467.55

Assets: 
Chequing: 2000
Savings: 6000

Investorline TFSA: 66,529.00
Investorline RRSP: 12,816.14
Investorline Non Reg: 15,678.00

Total: ~103,023

Liabilities:

Credit Card 1: 0/5500
Credit Card 2: 0/2000

Total: 0

Networth = ~103,023!!!! 


Notes: I decided to get into weed stocks and it paid off huge - will probably never get that again in my life and I am glad I got out but I took a huge unnecessary risk. Nearly trippled my non registered account through doubling up on ACB and earning a few k through CGC or WEED.

Month over month; $15,126 gain or 17% increase.


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## Loonies (Jul 31, 2017)

Nice job in the markets this month! Congratulations on passing the $100k hurdle - I hope to get there myself in the next few months. I think we are both the same age (I turned 26 in September) - so it'll be neat to follow you along.

Also, those expenses are on point. I wish I could trim my monthly spend to < $1500, but that's just rent and transportation for me


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## redsgomarching (Mar 6, 2016)

was lucky to spend my christmas in england with my extended family, but got very sick coming back. another huge month and this month as well is looking huge already. will update once i can.


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## redsgomarching (Mar 6, 2016)

December 2017 Update:

Well.....christmas spending still didnt put me at a negative. another huge month in pot stocks and seeing what type of news makes some of these guys move has helped me navigate some noise and avoid short sellers triggering stop losses. 

Cash flow: 3559.86
Cash outflow: 1915.34
Net: $1644.52 or 46.19%
Not on my target here but it was christmas time and more than happy to share the wealth. Next year will trim this expenditure but mainly funds were spent on quality winter gear and new tools for family. 

Assets:
Chequing: 5898
Savings: 8620

Investorline TFSA: 66,588.00
Investorline RRSP: 13,099.00
Investorline Non Reg: 14,373.00

Total: $108,578.00


Liabilities:
Credit Card 1: 0/8000 *** I had a third credit card which I closed out due to never using and it just so happened that I received CLI offer. I accepted as it also acts as an emergency fund.
Credit Card 2: 0/2000

Total: 0!!!!

NW: 108,578.00

Month over month increase: $5,555 increase or 5.4% 

Another great month and the first few days of January have been amazing although I got the stomach flu I am very happy with my gains so far.

My goals for 2018.
Increase my take home income via work,dividends,interest, etc to ~70k. 
Save enough for a 10k engagement ring for my gf who i want to make my wife.
Continue on my goal to earn to 12k in dividends/interest from my portfolio. (5/12k currently)
Stretch goal: Hit 200k by end of 2018.


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## Spudd (Oct 11, 2011)

I would consider spending less than 10k for the engagement ring, unless your gf has specifically expressed a desire for something that expensive.


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## milhouse (Nov 16, 2016)

I spent about $10k on the engagement ring (local jeweler with custom ring design) but got way less bang for my buck because the loonie was in the low 70's/high 60's at the time with the corresponding problem being that diamonds trade in USD IIRC. It was a complete surprise to her and I'm just glad she liked it.
Side comment, if I had to do it over again, I'd seriously consider look into getting a loose diamond from Costco and mount it on a custom ring design.


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## redsgomarching (Mar 6, 2016)

Spudd said:


> I would consider spending less than 10k for the engagement ring, unless your gf has specifically expressed a desire for something that expensive.


haha yeah i probably would spend less. i just put 10k as a safety net to be safe. i am pretty lucky that she has money sense as well so most likely would not want a ring that expensive as we can use the money for better things.


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## Dilbert (Nov 20, 2016)

redsgomarching said:


> haha yeah i probably would spend less. i just put 10k as a safety net to be safe. i am pretty lucky that she has money sense as well so most likely would not want a ring that expensive as we can use the money for better things.


RGM, don’t hesitate for a second, marry her ASAP! I got lucky the second time around with a very practical lady. In fact it’s usually me that feels a twinge if guilt when I spend on a hobby, car, etc.


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## redsgomarching (Mar 6, 2016)

January 2018

Well, I did some silly things that will hopefully serve as a learning lesson. I over extended myself in the MJ sector (25k). and made decent gains last 2 months but did not step away when I should have. 

This month cashflow was +200. Will post breakdown later. Overall Networth is at 110,000.00. I was up to 130k NW at the highest point and am now holding some red positions. 

Got too greedy and got burned! Hoping that there is time to hold for this and continue! This month also saw a lot of spending for;

CPA membership
Lawyer fees for Will
New glasses and appointments (will receive money back via benefits)


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