# Tracking WGZ for growth/gains. Dear Diary,



## WGZ (Feb 3, 2017)

I've gained good financial wisdom by lurking/reading on financials sections of various forums I frequent. I've recently wised up with my finances, coming from a background of parents in financial turmoil, and not wanting to ever have a repeat of that. I always want to learn more and see how far I can go. Nice to be able to track progress and have people chime in and/or at least do this for self accountability reasons. I've done this in the past with videogames/bodybuilding/fitness.

Basics about me: I'm 25, frugal, small risk tolerance currently, wasted a lot of money on cars (hobby) in the past, chugging along 4-5 years now working full time. ONE girlfriend. I appreciate her. She's also frugal, good with money, and utilizes coupons/discounts especially while working on a degree and holding two part time jobs. I believe in minimalism, as it works for me. I hate clutter and having things that have zero value/use to me, so the less crap the better.



December 8, 2017

Cash: $100
Chequing: $4,280

RRSP: $1,500
Tangerine INI210: $20,500
Tangerine TFSA: $23,550
Assets: $2,000

Total
$50,430

Income
$50,000/year

Debt
Zero, but credit card balance this period will be $1200, a good 400-500 more than it normally is, but 'tis the season. :teapot:

Other
$1,700 is owed to me from someone. I know I can't expect it back.
$13,000 used car that I just picked up recently. 2013 Fiat 500 Abarth with 39,000KM and nice simple/free add ons (tint, mudflaps, fresh synthetic oil change). Great on gas, hilarious to drive, I love it. I could not have found something more suitable to me for the price I think. :joyous: 

Monthly Expenses
Credit Card: $750 (+/- $100) paid off on time, all the time. Reward points are nice. I have Scotia's Scene Visa, and now their Gold AMEX. Gas, groceries, phone, entertainment, restaurants, misc.
Auto Insurance: $185
Rent: $500 (roommate)
Gym Membership: $55

= $1500/month. December is looking to be a much higher than usual month (>$2000) for obvious holiday reasons.


Learning more about investing e.g. couch potato ETF's .

As for real estate. I may stick to renting at first, and go from there .

Other job opportunities to earn more - I have a couple of these to consider .

Other opportunities outside of the "job" - always more to explore, anything is possible .


----------



## redsgomarching (Mar 6, 2016)

Hard to call spending money on a hobby a waste. if it is what you like to do in your spare time and if its not bankrupting you or making you unable to meet your obligations then by all means spend! Life is too short to not do things you actually enjoy doing. 

Looking good so far! 

regarding this: Tangerine INI210: $20,500 is there any reason this isn't held in a registered account? This is a big sum and by the looks of it your TFSA has 20k in it so you should have room. Sheltering your gains goes a long way!


----------



## humble_pie (Jun 7, 2009)

WGZ you appear to be in great shape. No debt plus $50k in assets is enviable. If only all 25-year-olds were so well set up.

redsgomarching has the right suggestion for you. Load the max into your TFSA, says reds. Your life situation appears to be stable enough that you can even keep emergency fund in the TFSA (they are immediately available if needed, of course.)

reds has another good point, too, when he says Enjoy the hobby. If this is cars, it sounds as if you've found the right vehicle in the Fiat.

i only have one niggly point, but it's so minor you can easily ignore. I see you're not including the Fiat among assets, but you are including other generic possessions to the tune of $2,000.

usually, net worth includes investments. Some people include their personal homes, others don't. Folks almost never include their vehicles (some do, but i would not.) So when it comes down to everyday personal possessions like furniture & clothing, there's really no value that a person can count on. Very few folks indeed would include personal possessions among assets.


.


----------



## WGZ (Feb 3, 2017)

redsgomarching said:


> Hard to call spending money on a hobby a waste. if it is what you like to do in your spare time and if its not bankrupting you or making you unable to meet your obligations then by all means spend! Life is too short to not do things you actually enjoy doing.
> 
> Looking good so far!
> 
> regarding this: Tangerine INI210: $20,500 is there any reason this isn't held in a registered account? This is a big sum and by the looks of it your TFSA has 20k in it so you should have room. Sheltering your gains goes a long way!


Very true...thanks for reminding me. I know I've learned a lot about cars in the process. And enjoyed/had a lot of good times and laughs along the way. And with an Italian car, those things are valuable as I'm already finding quirks and little things that need addressed. But it did get out of hand for a bit there switching up vehicles / modding and losing money that way (not as bad as racking up hefty negative equity) but still, 20k hard earned $ up in smoke haha. So I'd definitely like some "vehicular stability" for a few years. Instead of modding, I'll save/invest that money and get a nice(r) vehicle one day. The 500 Abarth is a special to me car, and makes me feel special when I drive it. Should hold me over for as long as practical. I don't plan on kids in the next 5 years, so at least that long. 

Thanks!

And yeah it's a tax free investment fund account. 20,500 in that tax free fund, 23,550 in the TFSA.


----------



## WGZ (Feb 3, 2017)

humble_pie said:


> WGZ you appear to be in great shape. No debt plus $50k in assets is enviable. If only all 25-year-olds were so well set up.
> 
> redsgomarching has the right suggestion for you. Load the max into your TFSA, says reds. Your life situation appears to be stable enough that you can even keep emergency fund in the TFSA (they are immediately available if needed, of course.)
> 
> ...


I actually bought a brand new $30k car two years ago. It was totaled a month ago during a snow storm on an icy road. I didn't know it a few weeks ago. But now, I think it was a blessing in disguise, as I did get $24k of that back. $6k depreciation to rock a car for 2.5 years isn't too bad. Then I went and bought the 500 Abarth on a whim for $13k even though most in it's age/condition/mileage/clean title/unmodded go for more like $15k. The right car at the right time, hence the "whim". And still has 1 year / 60k km's warranty left. I could sell the car and make a profit if I chose. Or it should hold it's value for a few more years. I enjoy it just as much, if not more than the car it replaced. I'm happy about that. And driving a toy around is awesome.

Now I have $11k extra this year that I did not expect to have (threw it in TFSA already, it's part of the 23,550 amount) and a hilarious car that is currently in print money mode. New it was $33.5k MSRP so to drop $20k in not even 5 years is insane. But I'll happily exploit that.

And the $2000 is actually things I have leftover from my previous car. I know that they are sought after / valued, especially in the community for the car. I've already sold off a few items and got what I wanted price wise on places like Kijiji/Facebook. The $1700 owed...I know the person well. She said she will pay me back and I know her word is good. It's just a tough time for them currently.

Just minor kinks that popped up recently that need to be worked out.


----------



## humble_pie (Jun 7, 2009)

WGZ said:


> And yeah it's a tax free investment fund account. 20,500 in that tax free fund, 23,550 in the TFSA.



surprised to hear about that tax free non-registered investment fund. You sure it's tax free? it's true that some vehicles are tax-free as they drive along; but in the end they are taxable as gains or losses when the owner sells them


.


----------



## WGZ (Feb 3, 2017)

Yeah, I'm just gonna forget the car stuff now.

And looking on Tangerine right now and how they have each separate account laid out on their mobile app, it's an investment fund account that's within a "self-directed TFSA". So the gains from it are tax-free.


Wow, spent more this holiday than any previous holiday in my life. Like as if my last two pay cheques didn't even happen. A taste of living pay cheque to pay cheque perhaps, which is a situation I avoid at all costs along with interest payments. Worst possible scenarios for me; I must always have contingency plans.


December 30, 2017

Cash: $5
Chequing: $27,200 (waiting for Tangerine promo to start, going to stash most of this in that TFSA while it's not doing anything else)
RRSP: $1,600
Tangerine INI210: $20,500
Tangerine TFSA: $0
Assets: $2,000

/51,305


----------



## WGZ (Feb 3, 2017)

April 2018

Not a lot has changed. I've been able to save more. Sold "assets" (car parts) for $2000 which is what I bought them for, then bought a family friends $2000 '01 Ford Explorer Sport 4x4 to haul junk and do 4x4 crap like hopping curbs at the mall, and it's been a good vehicle so far. Picked up more shifts at work and made more than usual.

Cash - $7,050
TFSA1 - $27,100
TFSA2 - $20,500
Employer Vacation Pay - $550
RRSP - $1,800

=$57,000

Vehicles:
500 Abarth - $13,000 +extra set of wheels
Explorer 4x4 - $2,000 +extra set of wheels


Monthly expenses are still the same 1500ish per month. Still trying to cut this down.
Will soon be cutting my phone bill from 65 to 35 a month.
Insurance is cheaper (basic coverage) on the SUV, but gas consumption is up by at least 33% over the Abarth. Explorer uses regular, Abarth uses premium. So in the end, the vehicular expenses even out to be the same.
Still 500 rent per month. My tax return covered one month rent, that was nice.
Looking at getting my own place.


----------



## WGZ (Feb 3, 2017)

November 1st, 2018. A lot changed.

Got rid of the 01 Explorer and in to a 03 Honda CR-V: WAY better built, good on fuel. I made some money flipping items on Kijiji, one of which was a sweet Mustang. I have cut down a couple bills by about $60 total per month (phone/insurance). But my job isn't cutting it with how much I want to save each month minimum. Definitely exploring all avenues of additional income but also hate the thought of all the taxation (sales, property, utilities, carbon, registration) especially to a country as embarrassing of a joke as this one is right now & until it changes my mind.

I'm putting 70k down on a 350k house and will be maintaining a 10k emergency cushion while saving the crap out of money between now and when the house will be finished being built by the end of March 2019. Plenty of time to vet suitable roommates, already have 2-3 who seamlessly integrate with me/my interests (e.g. bodybuilding), but who knows what all their living situations will be like 5-6 months from now. Even one roommate would be sufficient.

-fin-


----------

