Use networthiq? Any thoughts on my goal?

[catccc]

Here is my NWIQ profile:https://www.networthiq.com/people/SustainableSavings

I track things in yodlee, but I like this simplified snapshot that I manually update each month as a net worth journal of sorts. Does anyone else use this? I also have more detailed info in excel, but again, I like the simplicity of this website.

Net worth for the year ended:
2011: 306K
2012: 375K
That's a 69K increase YOY.

We are a one-income family of 4. My base salary is 85K. Our spending last year was around $45K, yet our NW increase was 69K. The goal I set for last year was $380K, which we missed by 5K.

Based on this, I'm setting a 75K increase goal, and hope to see our NW at 450K by the end of 2013.

Think it can be done? Also, I know I keep good track of numbers, but doesn't it seem a little crazy to see a 69K increase with a salary of 85K and spending of 45K? I did have a 6K bonus last year. So I guess the rest was really just market gains. And so much of it is in cash, that hardly earned anything last year!

[jclarksnakes]

You are doing very well. I do think it is a mistake to keep so much in cash. There are lots of investments that you could have it in that you could get out of very quickly if the farm you want to buy does come along.

[catccc]

Quote:

Originally Posted by jclarksnakes You are doing very well. I do think it is a mistake to keep so much in cash. There are lots of investments that you could have it in that you could get out of very quickly if the farm you want to buy does come along.

Thanks! I know I could get the money out quickly, but I worry about losing value. What types of investments might you suggest?

[ronocnikral]

I try not to get too hung up on the Networth goals. Sure, they're fun to track, share and discuss, but the important thing is you are meeting the goals you set for the amount you save. That is the only thing you can control. You can do everything right and not meet your networth goal, so in some ways, they can be disparaging and discouraging.

[Sesq]

I like it too and have used it for years (also sesq).

Its poorly run and I expect to go there some month and it be gone. But I like it and the graph it generated and I use it like a little journal.

I don't have formal goals though. Too much is controlled by the market to get too attached to some magic number. I have old spreadsheet from ten years ago (when I would do ten year plans) that say I should be millionaire by now. And I just might have been if it weren't for that meddlesome 2008.

A lot changed over the years (two kids, two moves, marriage). I now do five year projections, but don't get too upset if I am off by any given percent. Especially after 2008.

[jclarksnakes]

Quote:

Originally Posted by catccc Thanks! I know I could get the money out quickly, but I worry about losing value. What types of investments might you suggest?

ANY mutual funds that have low expenses. I like Vanguard but some folks here also like Fidelity.

[obgyn65]

I agree with this.

Quote:

Originally Posted by ronocnikral I try not to get too hung up on the Networth goals. .

[arebelspy]

Quote:

Originally Posted by obgyn65 I agree with this.

Of course you do - you don't even know your own net worth.

News flash: Man who does not do something says that thing is not worth doing!



For myself, I find it a good way to track my progress and keep motivated in the accumulation phase. To each his own.

[catccc]

Quote:

Originally Posted by Sesq I like it too and have used it for years (also sesq). Its poorly run and I expect to go there some month and it be gone. But I like it and the graph it generated and I use it like a little journal. I don't have formal goals though. Too much is controlled by the market to get too attached to some magic number. I have old spreadsheet from ten years ago (when I would do ten year plans) that say I should be millionaire by now. And I just might have been if it weren't for that meddlesome 2008. A lot changed over the years (two kids, two moves, marriage). I now do five year projections, but don't get too upset if I am off by any given percent. Especially after 2008.

Yes, unfortunately it is poorly run, I too worry about it disappearing. This is why I keep graphs separately in excel, but I like the format of the site, so I'll use it as long as I can.

So one of the reasons I like the NW goal is because in the past it seems I am more likely to hit it than my savings goal- so the market has been making up for my shortfalls elsewhere.

But I do agree that I should focus on a savings goal, as well. For the 401K it is easy and automatic, obviously. Then I a portion of my paycheck direct deposited into savings. But lately that amount seems to aggressive as I have needed to transfer some back nearly each month. It used to be a rare occasion that I needed to do that, but it happens frequently now. So I definitely should nail down a strive for a savings goal.

[catccc]

Quote:

Originally Posted by arebelspy For myself, I find it a good way to track my progress and keep motivated in the accumulation phase. To each his own.

Yes, I'm going to continue to track and set goals for it. Different strokes for different folks, my dad says... It is motivating, hoping for my NW to reach 450K v. hitting a savings goal of that is a much smaller number.