October Highlights and Lowlights
Whew, October just flew by. I hope everyone had a great Halloween. We just took the kiddo to trick or treat at the local mall. That was a great decision because he got scared by quite a few costumes. The werewolves were particularly frightening this year.
- A 3 paychecks month – Yippee!
- Vacation – We took 2 somewhat unplanned vacation in October. I went to the beach with Mrs. RB40 for a couple of days without Jr. He stayed home with his grandparents. Then I took a trip to Silicon Valley with Jr. for a week to visit my family. As a result, this month expense is a bit higher than usual at $3,494, but it’s still under our target of $4,000.
- Online Income - We had another great month in October. I think it’s a new fiscal year and it seems all the advertisers are flushed with cash. I will break down the online income in our monthly newsletter so if you’re curious, sign up with our email list.
- Rental Income - We have a small positive month in October(+$216.) That’s not great, but at least it’s not negative.
- P2P income from Prosper was a bit low this month at $63. The ROI is currently at 8.49% and we should be seeing around $80/month on average.
- Dividend and interest income – We had an average dividend month at $541. Nothing too exciting, but it’s dependable.
Net Worth (+19% YTD, +1.8% MTM)
The stock market has been great in October even with the partial government shutdown. The S&P500 ended up about +5%. As a result, our net worth is up 19% for the year.
If you need help keeping track of your finances, try using Personal Capital to manage your budget and net worth. It can help you keep track of your income, expenses, and net worth, all in one place. Personal Capital is geared for investors and has many great tools. See my review of Personal Capital and how they helped me reduce what I’m paying in investment fees.
Personal Capital wants me to put more into stocks. I’m pretty happy where I am though, so I’ll probably stay put for now.
2013 Surplus (+$22,091 YTD)
Our expense was under control in October even with the 2 vacations thrown in. We ate out more than usual because of the vacations and I’m feeling pretty bloated. We’ll cook more in November and should be able get expense under $3,000 again.
Our saving this month is +$4,720. This is our best month so far in 2013.
Piggy Bank 2013
- Earmarked for the 529: $0. We contributed $10,000 to RB40 Junior’s 529 fund, so we’re done with this one for the year.
- Travel fund: $0. No more big trips this year.
- Fun money: $1,000
- Investment/Slush Fund: +$4,720 = $13,692. All of this will go into my solo 401(k) soon.
- Taxes: $2,666. We are done with taxes until next April. From my estimate, we probably need to send in around $1,000 next year.
Income (target > $4,500)
- Rentals: Things are still slow with the rentals. We only had a small profit this month and November isn’t looking much better. I’m getting the roof moss cleaned out and that will cut into our profit.
- P2P lending: Our ROI drifted down a bit to 8.49%. This is not bad, but it is moving in the wrong direction. I want it to drift higher, not down… At least it’s very passive now. See my last update - Peer to Peer Lending Is A Pretty Good Passive Investment.
- Dividend and interest: October was a bit slow. I’m looking forward to December though. That’s always a big dividend month.
- Online income was spectacular in September (+$3,468.) Thank you for supporting us and signing up for products I wrote about. I will break down the income in the monthly Retire By 40 Newsletter, so sign up now if you haven’t yet (at the top of this post.)
- Misc income: The preschool refunded us $187.50 and we’ll get the rest in November. I also got $25 from Google Offers because I didn’t used the coupon I purchased. October rounded out with $100 from my brother to help out with my parents visiting costs.
Expense (target < $4,000, not including tax)
We spent $3,494 in October. That’s not bad at all with 2 vacations thrown in. Actually, the 2 vacations only cost $410 this month. We paid for the airfare and lodging at the beach in September. We stayed with friends and family when we went to CA. They also cooked and paid for most meals. It was a great trip, but I’m exhausted. I don’t know how single parents do it. It’s tough to not have anyone to send him to.
Cash and groceries: We did very well at $480 this month.
Transportation: I filled up 3 times in October, the most yet in 2013. We drove to the beach and I drove up to SeaTac to send my parents off.
Bills: I got a new fixed cost – life insurance at $23.50/month. I’m not happy to be shelling out more money, but at least I got some coverage now.
Misc: $71. Oh no, I made an impulse buy. We went to browse Hmart’s home store (Korean store) while Mrs. RB40 was at Goodwill. I saw a kotatsu chair and I couldn’t resist buying 2 to go with our kotatsu table. They will be very useful this winter.
Wrap Up October
We had a great October. The extra income made a big difference and we were able to save quite a bit more than usual. Our expense was also under $3,500 and that’s great. Now it’s time to push through the last 2 months and end 2013 on a great note.
How about you? Did you have a good month? November should be OK for us. We are not planning to travel and we hopefully we can avoid spending money on Black Friday.