Oh man, I have got to say that writing this series of annual blog posts is one of the most enjoyable part of maintaining this blog. And yes, net worth tracking is super fun!
Believe me, I have had my fair share of ignorant days. I remember that it was the last day of 2012 and the thirty-year-old me was staring at a net worth of negative $25,755 and wondering where the heck I was going with my life.
It has been EIGHT years since that fateful day.
True, I had “everything” many typical parents would expect back then – a “good job”, a lovely wife and a BTO apartment.
What’s next? A kid or two, plus a family car, perhaps? Upgrade our property (once or twice) along the way, and progress in my career. Watch our kids grow up while we grow old.
Then, we retire and die. (Oops, a little too morbid)
I guess the standard route in life wasn’t doing me any good because that wasn’t what my wife and I want. Apart from that, I was lacking the necessary financial knowledge to improve my situation.
Nowadays, I chuckle to myself when I see fellow bloggers with milestones such as $100k by age 28, or $200k by age 30, or CPF $1M@65 – they have no idea how many million miles they are ahead of the general population (and me).
I guess I’m a low achiever when compared to them, but that’s my path and I wouldn’t trade it for anything else.
I won’t be repeating my life story here (haha) but so many snippets are already embedded in hundreds of my blog posts right here. In particular, these are my previous net worth posts –
My Net Worth Is Low 6-Figure And I’m OK With It (2020)
My Net Worth Is Still 6-Figure And I’m OK With It (2019)
My Net Worth Is Only 6-Figure And I’m OK With It (2018)
My Net Worth Is Only 5-Figure And I’m OK With It (2015)
Year after year, my net worth kept increasing at an even faster rate and to be honest, I was blown away on 31st December 2020 when I realized that it totaled –
– ChottoMatte –
Net Worth Calc : Assets (Plus+)
A quick re-cap for the items that I consider as part of my assets. I use You Need A Budget on a daily basis to track my expenses so a large part of the work has already been done.
- E-wallets – Paypal, Grab, Crypto.com
- Bank and cash accounts – incl. Singlife
- CPF accounts – yes, CPF is my money
- Investments – SSBs, stocks, ETFs, robo-advisors
- Alternative assets – cryptocurrency
As usual, I had omitted the value of my HDB apartment in previous years, and I would do the same here. I’d add a conservative $200,000 (!) if we want to include it in. At the end of the day, it is what we make of the number that truly matters.
Putting together the $40,000 in 2020 and $20,000 in 2021 that I had transferred to my mum’s CPF Retirement Account, that is a total of $60,000 which I’d continue to park under my CPF account. For simplicity’s sake, I had included an automated monthly outflow to mirror the CPF LIFE payouts.
Net Worth Calc : Liabilities (Minus-)
I finally shortened the list! There is now two instead of three items left, as I have cleared the personal loan (it’s complicated) in 2020.
- Credit cards
- HDB loan – I divided it by two since wife + me
Net Worth Growth
As always, the blue bars are the total amount that I have added for the particular year.
Absolutely gobsmacking! Well I thought that the massive $92,966 increase in 2019 was crazy.
Adding $136,810 in the 2020 pandemic year is nothing short of pure madness. To put it into perspective, $136,810 is 46% of my net worth in 2019.
I’m not going to dwell too much on this. No doubt, Covid-19 hurt my bonuses but I’m thankful to have job security.
What really turned the tide was –
- Aggressive investments when the market plunged (plus the swift recovery of the stock market) and
- The year-end rally of cryptocurrencies
I’m not going into the details because I don’t see myself as a particularly “good” investor worth learning from. If you simply wish to find someone to chat with about cryptocurrencies (I won’t tell you what to buy), you can find me over at Discord.
Reaching the mid 6-figures is a huge step towards the end game. Because this is when a few percentages start to make a big difference!
At $427,279 dollars, even an average returns of 5% annually translates to $21,363.95 or $1,780 monthly. For some, it could be equivalent to their entire take-home pay for a month’s hard work. It is far easier for the rich to get richer – I’m beginning to experience how this is so.
As such, my focus is starting to pivot from net worth growth to the generation of alternative income i.e. income that isn’t generated directly from my full-time employment.
Why is this important? With the alternative income generated, I’m now able to earn the freedom to choose what kind of work to engage in. To me, this is significantly more meaningful and important than net worth itself.
Having the money sitting there is great, but lacking the knowledge to utilize it effectively isn’t something I’m willing to settle for.
Let’s continue to fight on together in 2021 for our goals, my friends! Be relentlessly resourceful!
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Hello! I’m Kevin, Turtle Investor
At the age of 30, I am the Personal Finance Blogger who laid claim to a negative net worth of minus $25,755 – and decided to turn things around.
- Seven years later in 2019, I hit CPF Full Retirement Sum (FRS) of $176,000 without making a single cent of CPF top-up
- In eight years, I added $453,000 to my net worth (excluding the value of my HDB apartment)
- I earned over $175,000 in alternative income in 2021 in addition to my full-time job
I am married to a lovely wife and that means dual income with no kids. In my free time, I chase miles so that we can fly in business class. My hobby is making pocket change off this blog and sharing everything I know with you!