A good morning to you.
It’s August now and that gives me another chance to update my net worth.
For those new to net worth updates, the concept is pretty simple. I talk a big game on the blog when it comes to trying to pay down my debt, but talk is cheap unless it’s backed up by action. Shutting my big e-mouth once a month to track how much debt I’ve actually paid off is my way of making sure that I’m actually being about it.
But, to ensure that my goals are constructive rather than destructive, I also add my retirement savings to the mix. In particular, doing so prevents me from being so laser-focused on paying down debt that I do something dumb like not taking advantage of my company’s match for contributions to my 401(K).
That said, let’s get straight to the numbers.
I’ll keep this short.
It’s good that my numbers are moving in the right direction — no question about that. I’m not taking on any more unsecured debt, whether with credit cards or student loans.
But check out this other chart:
It’s bad that I moved so slowly in that direction this month. Yes, the stock market’s lukewarm performance in July erased nearly all of my contributions this month, but my debt pay-down shouldn’t be moving this lesson.
So instead of sulking, my takeaway after looking at my performance this month is to make sure that I don’t end up feeling this way next month. In other words, get ready for big things in August.
I’m coming home.