My portfolio is back baby! Our family investments, like the American economy, saw a big drop during Q1 at start of the COVID pandemic. But for now our net worth is up slightly to reach a new record, which is crazy considering the current conditions of the world at the moment.
During the height of the pandemic’s effect on the economy (so far), I did have a brief panic attack about the future of the stock market. I talked to my Mom a lot for starters. Let’s be honest, it’s human nature to worry about your portfolio, especially when the future looks bleak. But fortunately, I stuck with my plan and did nothing, and I was rewarded by a significant bound back in the economy.
Net Worth as of July 1, 2020: $819,500
Regular Routine, Exceptional Results: I’ve changed very little about my investment strategy over the last year and during the COVID-19 outbreak. We’re still double maxing both our 401k’s, maxing out my FSA and my wife’s HSA, and paying off our debt each month. Our mortgages are on 15-year loans, which produces a lot of equity each month! I’m a huge believer of having a strategy and sticking to it, through thick and thin.
Cash-out Refi: Cash is king, so we decided to refinance our primary residence to ensure that we had enough cash to be ready for anything happens during COVID-29. And of course to pay our attorneys, which is a constant expense. In the end we received over six-figures of cash that is sitting in a high-yield savings account, for now. I’m planning to write a full article on this refinance soon, but I’ve noted it here because it negatively contributed to my net worth due to closing costs and to buy down the interest rate. We got 2.375% 15-year interest rate, so I’m happy with the end result.
Lawyers, Lawyers, Lawyers: Due to our ongoing custody case we’ve incurred a lot of attorney bills. During this quarter alone, we spent about $13,000. It’s unfortunate, but it’s the best money we’ve ever spent. Let’s not dwell on this, it’s just a cost of doing business.
Grad School Continues: My wife is about halfway through completing her doctorate degree. For the last year and a half, we had been paying $1,800/month in tuition. As her program shifts to writing her final dissertation, her credit load now is cut in half and so is her tuition! We’re now paying about $1,000/month, which is still a crazy amount of money, but it’s much better than in the past.
Side Hustle: Over the last year I’ve found my groove and have begun succeeding in my side hustle, which is buying and selling Magic the Gathering collectable trading cards. Beyond direct revenues from buying and selling I’ve also started a part-time staff position for a subscription service that provides expertise to other more novice speculators. I’m now drafting one or two articles per month, being a moderator on a discord, and serving as a general resource for our paid subscribers. This doesn’t create a ton of revenue, but it’s a fun developments that is both financially and personally rewarding.