January 2006 Net Worth - We're Broke!
Posted on February 05, 2006 by Him and tagged debt, net_worth
| January 2006 | |
|---|---|
| TOTAL NET WORTH | -$98,615.39 |
| Assets | |
| Joint Checking | $285.49 |
| Joint Savings | $2,798.83 |
| Petty Cash | $300.00 |
| His SIMPLE IRA | $2,945.29 |
| His Roth IRA | $6,373.72 |
| His HSA | $816.34 |
| Her 401K | $5,122.00 |
| Her Roth IRA | $1,276.00 |
| Upromise | $52.94 |
| Automobile | $10,435.00 |
| Household Items | $25,000.00 |
| TOTAL ASSETS | $55,405.61 |
| Liabilities | |
| Credit Cards | $18,054.88 |
| Student Loans | $135,966.11 |
| TOTAL LIABILITIES | $154,020.99 |
A few notes about our net worth:
The "Petty Cash" category consists of money that is in our individual checking accounts, money in our pockets, change in the couch cushions, etc.
The "Household Items" category includes all of the items in our apartment that can be sold at a garage sale for their garage sale value plus jewelry at appraisal value.
The Financial Snapshot in the sidebar to the left was VERY inaccurate, as I included our life insurance. Upon further reading, I found out that we can't include our life insurance plans because they do not accumulate wealth.
We've got a lot of work to do.
Comments/Trackbacks
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Thanks for getting me your net worth. As for last months, if you have your updated information, I will get it updated. It will also help for the comparison chart to have as much back data as possible.
Neo
Hang in there! We're all rooting for you and you gotta start somewhere :) (and then keep on pluggin of course)
justanotherblogger | Feb 6, 2006
Just curious, what rate are you guys paying on that 18k of credit card debt?
Everyone, thanks for the comments and the encouragement!
The credit card debt is across 8 credit cards (4 for me, 4 for her). My rates are much worse since I screwed up in college, and they range from 20.99% to 12.99%. Her rates are all under 10%.
Andy | Feb 8, 2006
The fact that you both are honest with your debt and are facing it together is your strong point. I am separated from my husband and part of it was my not being honest with my debt. I hide my credit cards purchases. We had no financial intimacy. What compeled to write was your question of whether to stop saving. You're at a -$198,000. There isn't going to be ever a perfect time to save in the near future. You're both young its better just save @ 1 or 2% to give yourself some breathing room, fine. But as you reduce your balances add 1% to your savings. Hope this gives you food for thought and good luck.
Personal finance bloggers net worth data (chart and graph) has been posted.
http://neos-nest-egg.blogspot.com/2006/02/personal-finance-bloggers-net-worth_11.html
Neo
Too bad you can't list your education as an asset, for an asset it surely is. Your earning power is going to make you wealthier than most Americans over the long haul.
Good luck. At 22, I had more student debt than my other friends. ($22K vs about $10K) I never thought I'd be done, but chipping away at for 10 years will make a difference! I paid mine off 6 months early and it felt great!
I don't want to butt in here, but I wonder why you don't take all the credit card debt for Him and put it on a LOW interest card and pay that off. Then clip up the cards. Do the same for Her. Then you can each have one card to keep track of... now maybe get a joint card to use as you see fit for your shared life together.
Good luck!
Heather - It's not that easy to get a low interest rate card when you have that much debt. have you guys considered going the way of Prosper.com to get a lower rate? (I personally wouldn't lend but if I had CC debt it would be a place I'd consider using)
Trainwreck | Feb 5, 2006
There's one good thing about being at the bottom. There's only one way to go. Up! Stay the course, dig deep and you will do fine!
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