3 min read
At the start of each month I share a financial update where I summarize my income and expenses from the previous month along with my current net worth.
I’ve always found it insightful to follow the financial journey of other bloggers, so I hope that readers can find value in following my own.
Income & Expenses
Here’s a recap of my total income in July 2019:
Online Income from Websites: $3,124
Dividends & Interest: $153
Total Income: $3,277
Here’s a recap of my total expenses in July 2019:
Food & Dining: $663
Total Expenses: $2,227
The following chart shows my total income earned from my online businesses, dividends, and interest since the beginning of 2019 relative to my monthly expenses:
Note: The bump in April expenses is from paying my annual taxes.
Here’s a summary of my net worth as of August 1, 2019:
Tax-Advantaged Accounts: $55,096
Brokerage Accounts: $58,499
Alternative Investments: $2,850
Net Worth: $148,080 (+$4,644)
Here’s a look at my net worth progression since I started tracking it back in August of 2016:
This was an excellent month financially. Despite quitting my day job and losing out on a consistent paycheck, my net worth grew by $4,644 due to earning more than I spent and from experiencing a decent month for the stock market.
Since most of my money in both my tax-advantaged and brokerage accounts is invested in total stock market index funds, all of my account balances grew a bit because the total stock market increased by about 1% in July:
In addition, I earned $3,124 from my online businesses in July, which was by far the most I’ve ever earned in one month online. Previously my record was $1,723 in one month. I credit this massive growth to the fact that I was able to dedicate all of my time and energy into working on my sites this month since I no longer had to report to a day job. This meant that all my revenue sources for each of my websites grew substantially.
For those who are curious, I earn income on this site through advertisements, affiliate links, The Excel Genius Toolkit, The Data Scientist Resume Pack, The Elements of Freedom ebook, and The Simple SEO for Bloggers Course. On my two other sites, I earn income mostly through advertisements.
If you’re interested in starting your own blog, I encourage you to check out my free guide here.
Since quitting my day job one month ago, I actually haven’t checked my investment account balances at all until I made this article because it’s something that is completely out of my control. The market will do whatever it may on a monthly basis and I have no control over how my investments will perform. Instead, I choose to focus my time and energy on things I can control like building my online businesses.
While it’s nice to see that my net worth grew over this past month, my main focus is on making sure my income continues to grow each month. That’s why I was so ecstatic to see my income from my online businesses grow to over $3,000 for the first month ever. At this point I feel confident that I can get that number to $4,000 and beyond over the coming months.
In fact, I believe that I can increase my income indefinitely and never actually hit a ceiling. The way I plan on doing this is through buying and building more assets over time.
For example, if I stop doing any active work whatsoever for the foreseeable future, I would still be able to earn around $1,000 each month through a combination of passive website income, dividends from index funds and REITs, and interest from my savings account.
This means the absolute minimum I’ll earn each month moving forward should be $1,000. But on top of this income, I also plan on creating digital assets in the form of blog posts and digital products that will bring me recurring revenue each month over and over again. This means the minimum amount that I’ll earn each month through passive income will only continue to increase.
This also means I will be able to work the same amount of hours each month, yet still be able to increase my income each month. And since my income exceeds my expenses each month, I can continue to funnel more money into traditional investments like stocks that will pay me more and more dividends over time.
I’m excited to see my income grow moving forward and equally excited to share my progress each month. Thanks for reading 🙂
Interested in starting your own blog? You may find these resources helpful:
My favorite free financial tool I’ve been using since 2015 to manage my net worth is Personal Capital. Each month I use their free Investment Checkup tool and Retirement Planner to track my investments and ensure that I’m on the fast track to financial freedom.
My favorite place to find new personal finance articles to read is Collecting Wisdom, a site I created that collects the best personal finance articles floating around the web on a daily basis.
Full Disclosure: Nothing on this site should ever be considered to be advice, research or an invitation to buy or sell any securities, please see my Terms & Conditions page for a full disclaimer.