It’s that time again! My final paychecks from my old employer are being paid out on a different schedule than I expected, so I didn’t quite make it over the $100,000 mark — but I got pretty close, and am hopeful about next month’s results. Let’s go straight to the numbers:
This is a bit iffier than intended. I was talking a good game on twitter at the beginning of the month about spending nothing in an attempt to get over the $100k mark. But then I gave my housemate a couple hundred dollars for porch furniture, bought an expensive ergonomic pillow, took a (cheap, but still) driving trip to visit a friend, and generally behaved like a person who is employed instead of a person who is freelancing. I’m hoping it was just an adjustment month and in August I can work on being as frugal as I’ll need to be to make this season of volunteering/freelancing work.
Details…I already mentioned most of the interesting ones! “Repairs” represents finally getting my laptop battery replaced. My computer is from 2012 and I hope to keep it going for years to come; I’ve put a solid state hard drive in recently and it’s hugely improved performance. But the battery (which hadn’t worked properly in years) really needed the change. I’m typing on my front porch right now without really worrying about whether the computer will shut down. Worth it.
Professional expenses: bought several more copies of my book, having given away most of the author’s copies. “Summer” is a category I keep around for concerts and bulk fruit purchases; this month I froze and/or canned many pounds of sour cherries and blueberries.
Finally, I had all this money budgeted for “moving” and barely needed to use any of it — which was great, since it enabled me to have a fairly normal budget month overall despite what felt like a series of expensive purchases.
Now let’s do the exciting part!
I think this might be my biggest ever net worth growth month. About $2000 of it came from growth in my retirement accounts — both contributions and trading-driven increase. I was able to put the two paychecks I received this month, totaling $3166, straight into my life fund, because my August expenses will be covered by the $1578 of freelance payments I received during July. That’s where the rest of the growth comes from.
I’m setting 25% of freelance income aside for taxes, by the way. It may be unnecessary this year because of excess withholdings from my W2 job but I figure better to have it than not, right? I can always rebudget it next spring. As a result of this, my checking account is likely to be larger than usual going forward. I currently have over $600 in my “freelance taxes” budget line and that’s all just going to stay in checking until tax time.
Oh, and my emergency fund dropped a little because I used it to pay for the tow truck and two new tires I needed after blowing one out in late June. But even though I pulled over $300 out of it for that, my regular contribution plus the two “extras” I discussed last week mean that the account didn’t shrink nearly that much. #win.
Anyway! All in all it was a pretty terrific financial month. My net worth grew $6107 and now stands at $98124!!!!!! If all goes well, I hope to see $100K next month. Keep your fingers crossed.