Maybe some overlap between the blog and my YouTube channel, but linking to this video as well.
Month: January 2021
Life Struggles With Money
I was feeling emotionally vulnerable when I posted this video on Jan 13, 2021. I should post a part 2 since a lot has happened since. For now the part 1 will have to do. It’s 32 minutes but it felt great to get it out of my system.
Cryptocurrency – My First Investment
I made my first Cryptocurrency earlier this week, 5 days ago in fact on January 5, 2021. I created an account on one of the platforms back in May 2020 but didn’t pull the trigger. Had I made my current $150 contribution here is where I would have fared.
I have an itemized breakout below.
BTC: 226.91
ETH: 258.74
LTC: 185.28
Total: $670.93
This would be the equivalent of a 347% return on my initial paltry investment. This is play money. If I lose it all it isn’t the end of the world. Still SMH over that one.
For some added backstory, one of my friends in 2009 told my about Bitcoin. I didn’t think it was going to become anything big and honestly didn’t understand it. I think he bought about $100 at the time. Not sure if he sold it. I had difficulty finding prices back that far. However indexing against 2010 prices BTC was at $0.39 per coin. $100 USD would have had the purchasing power of 256 coins. Tying that into prices today… One bitcoin is valued at $38,404.40. That would be worth $9,831,526.40 assuming your investment didn’t get stolen.
Found this cute little chart on bitcoin.com – The Reported Number of Stolen BTC Drops by 92% as ‘Bitcoin Security Appears to Be Improving’
It’s also important to note that there are no real underlying assets behind these cryptocurrencies. No government backing it, not tied to any company earnings, not tied to a tangible commodity. It also dropped to $3,690.91 in January 2019 from previous $19,167 in December 2017. This sucker’s super volatile. There will be a selloff at some point again I predict. Will it be tomorrow, 6 or 12 months ago who really knows?
I’m still investing anyway. Open to donations if anyone wants to send me money. I haven’t earned $0.01 from this blog since launching in April 2012. Same with YouTube. 😛
BTC: 37oTXEZgvNsQADdB5WKfLaHntNsR6SLLrm
ETH: 0x7cC6c462B7225228f63379fC010c60A1B77D5f98
LTC: MU7is12jrh2ES2hA1EZRqSJmtPq3UVMEpF
Cheers to a new year, new investments, and us hitting more of our life goals!
End of Year Update – $124k for 2020!
I made a video on this…
How it Started:
Dec 8, 2019 Balances:
401K: $65,831
Roth IRA: $4,425
HSA: $633
Total: $70,889
Car Loan: $5,375
Car Warranty: $517
Credit Card: $1,557
Total Debt: $7,449
How It Ended:
Dec 31, 2020 Balances:
401K: $110,076
Roth IRA: $7,389
M1 Acct: $1,304
HSA: $507
Buffer Fund: $5,000
Total: $124,276
$0 Debt
My net worth is basically up $60k from last year. 2020 was a rocky year for me, for a while I wasn’t sure I was going to still have a job. I didn’t go into the year at full steam but didn’t backpedal when my investments took a huge dip in the Spring. I managed to put $19.500 in my 401k and on the path to hitting $6k for 2020 in my Roth IRA before the April 15th deadline. That’s exactly where I put every last dollar of my $600 stimulus check. Some might call it a dumb move but I like compounding and seeing my money grow.
I see others making poor financial decisions and the only thing I can do is step back and let them learn the lessons on their own. I could offer advice but it would fall on deaf ears. You can’t take it with you, but you can enjoy life while also planning for a future filled with abundance and joy.
What Are Financial My Goals for 2021?
- Max out my personal 401k contribution for 2021: $19,500
- Max out Roth IRA for 2021: $6,000
- Max out Roth IRA for 2020: $3,900 left
- Add to taxable investments: $5,000
- Double emergency fund / downpayment account: $5,000
- Max HSA Contribution: $3,600
Total: $43,000
I’ll admit these are some pretty aggressive goals for the year. If I can’t meet all of these goals I’m not going to beat myself up over them. Life happens, but paying attention to my investments and being super aggressive is more than what most people do.
I also want to find a new place to live after over 6 years in this apartment. Houses are way too expensive in this current market. Not to mention the competitive nature of the market. People with conventional loans getting preferential treatment over FHA, or making cash offers above asking price. Then you have taxes, maintenance, HOAs, utility costs 4x my apartment, pest control, PMI, closing costs, home security, etc. Not sure I want to sign up for that right now. I would be building equity up however. Lots to think about.
I have a couple non-money related goals but keeping them to myself for now. Talk is cheap until you’re actually out and doing the things you claim.
What are your goals for 2021?