ba70's Net Worth for February 2018


Assets Value Change ($) Change (%)
Cash $9,870 ($24,779) (71.51%)
Stocks $66,416 $4,585 7.42%
Bonds $29,909 $29,909 -
Annuities $0 - -
Retirement $718,491 $2,989 0.42%
Home $322,008 - -
Other Real Estate $0 - -
Cars $0 - -
Personal Property $0 - -
Other $73,446 $2,677 3.78%
$1,220,140 $15,381 1.28%
 
Debts Value Change ($) Change (%)
Home Mortgage(s) $0 - -
Other Mortgage(s) $0 - -
Student Loans $0 - -
Credit Cards $0 - -
Car Loans $0 - -
Other $0 - -
Total Debts $0 - -
Net Worth $1,220,140 $15,381 1.28%
*All values shown in USD ($)
Notes:
02/02/2018

Well, the job situation is looking pretty bleak. On top of the threat of layoffs, I now have a management change above me that has been for the worst. After 20 years of solid performance and good reviews, I suddenly find myself on a "performance plan" because of a change in philosophy from above. I think I could be out on the street within 90 days. If I play my cards just right, I might be able to stick around, but it's going to be a challenge.

I am casually looking for a job, but haven't found a good fit. While I've worked in tech since my mid-twenties, my skills are lacking, so I'm suddenly finding myself in a bad spot in terms of employment. I can't decide if my life is at a crossroad or not. Whatever the case, the last couple of months have not been pleasant.

On a positive note, we did a deep dive on what retirement might look like at the age of 62. Until recently we hadn't ever taken a look at our pension benefits. When we paired the pension along with a four percent withdrawal rate on our retirement savings and social security we were amazed to discover that our retirement income would be roughly $80k. We consider this more than enough to live on in today's dollars, so we are considering a reduction in our retirement savings, instead directing our funds toward after tax savings.


On the money front, we made a few tweaks.

Over the past few months we have moved $25k of funds into after tax accounts, split between high yield bonds and an S&P index fund.

Right out of the gate we find ourselves underwater with the bond fund, as long term rates continue to edge up slowly. Generally high yield funds do well in a growing economy, but rising interest rates are never good for bonds. My idol Bob Brinker has long warned to keep away from bond funds with long duration. The duration of the fund we own is 4.2, which is a bit higher than what Bob recommends. Time will tell if the yields are enough to overcome the headwinds of higher rates.

We also made a small shift in our retirement accounts, moving about $25k held in a cash account over to the equity side.

Both of these move appear poorly timed in the short term, but we don't care about the short term...

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