Time for the final installment of net worth updates for the year 2007.  December was a volatile month for the markets, but better than November.

A few readers commented in my November net worth post that insurance shouldn't be counted as a liability.  Yes, technically, I can cancel my insurance anytime so it's not a real liability.  However, it's a fairly large annual expense for the foreseeable future, so I would rather take bit by bit monthly than take a big hit once a year.  The alternative would be to take it out of my liabilities and manually reduce my savings amount.

Here are the final numbers for the year:

Assets: $ 383,600.00 (+1.72%)

  • Cash: $4,500 (+0.00%)
  • Savings: $118,000 (+4.89%)
  • Registered Investment: $48,300 (+1.26%)
  • Pension: $21,500 (+1.90%)
  • Non-Registered Investment Account: $45,200 (+0.44%)
  • Real Estate: $ 124,500 (investment property) (0.00%)
  • New Home Deposit: $5,000 (+0.00%)
  • Vehicles: $16,600 (2 vehicles) (-1.19%)

Liabilities: $ 104,300(+0.10%)

  • Mortgage Debt(investment property): $94,500 (-0.21%)
  • Insurance: $1,800 (+20.00%)
  • Other Liabilities: $8,000 (-0.00%)

Total Net Worth: ~$ $279,300 (+2.35%)

Started 2007 with Net Worth: $224,000

Year to Date Gain/Loss: +24.69%

Overall, 2007 was fairly successful with approximately 25% increase (without real estate appreciation) in net worth which was one of my unannounced annual goals.

Question for you, do you enjoy the net worth updates?  I've been contemplating simply doing my net worth updates based on percentage change only and taking out the actual numbers.  What do you guys think?  Would it still be as interesting? 

Stay tuned for my financial goals for 2008.


  1. The Financial Blogger on December 31, 2007 at 10:08 am

    I like your net worth update and it is interesting to look at it in numbers and percentages.

    In regards to the insurance, I really think you should take it off. It is true that the insurance is an important expense but as you don’t count your future income in your net worth, you should not count your future expenses either.

    Your net worth is supposed to be a picture of your financial situation at a determined point in time. Today, you don’t owe $1,800 in insurance, you will just have to pay for it in the future.

  2. FrugalTrader on December 31, 2007 at 11:00 am

    FB, good points. I think you are right, i’m going to remove the insurance for my first net worth update in the new year. Thanks for the input.

  3. FourPillars on December 31, 2007 at 11:56 am

    I think having more information makes the post more interesting. In other words – keep the dollar figures.

    Besides – the name of the blog is million $$ journey – we want to know when you hit a million.


  4. Gean Oliveira on December 31, 2007 at 12:14 pm

    I’d rather stay as it is. I think it is interesting to use dollars and percent.

    Happy New Year and thank you for your posts!

  5. moneygardener on December 31, 2007 at 12:51 pm

    I agree that the insurance should come off and I like seeing all of the numbers as well.

    Happy New Year!

  6. David Cox on December 31, 2007 at 1:20 pm

    Keep the numbers.

    While just as much info would be conveyed by simple percentages, many want to view your progress over time. Also, for people like me starting out, I’ve found it interesting to look back at your networth postings in the past…it helps to show that if you keep your nost to the grindstone, you can get some serious bank and serious progress.

    Million Dollar Journey, not Percentage Networth Increase Journey :)

  7. CanadianDollars on December 31, 2007 at 5:54 pm

    Agree with everyone else on here. Keep all the numbers. I like seeing them. Your Net Worth Update is inspiring for those of us that keep track and update our own Net Worths. I’ll try to do so with some more regularity on my blog.

    All the best! Happy new year FT!


  8. Q Cash on December 31, 2007 at 9:37 pm

    In actual fact, your insurance is a prepaid expense and is an asset that declines each month.


    I actually like seeing numbers, FT, but it is totally up to you and what you feel comfortable with sharing.

    Have a super Happy New Year


  9. FrugalTrader on January 1, 2008 at 12:35 am

    Hey Q, you are right, the insurance is a prepaid expense, I don’t know why I didn’t see it like that before. Perhaps I should be adding it to my assets?

    Also, due to the comments here, I will keep the actual numbers in my net worth updates.

  10. Gary Lauria on January 1, 2008 at 2:24 pm

    Keep the numbers. It makes it interesting to see the actual changes in growth.
    Happy New Year

  11. Millionaire Money Habits on January 1, 2008 at 6:16 pm

    I like the numbers as well. It is interesting to see what investment vehicles you use and how you allocate between them.

    I enjoy the posts.

  12. Joshua on January 2, 2008 at 1:30 am

    I love the numbers – please don’t remove them!

  13. James on January 2, 2008 at 2:18 am

    FT, I like the dollars and percents. It is inspiring as mentioned above.

    Even though the insurance is a prepaid expense can it not only become a true asset if the insurance is paid out. I see the insurance payment as just a bill like any other. I wouldn’t list my phone bill because it is not an investment or a debt. This bill is just cash flowing through your hands. Here today and gone tomorrow.

  14. Quick Lunar Cop on January 2, 2008 at 6:11 pm

    Maybe it’s a bit “voyeuristic”, but I like to see the the dollar figures in addition to the percentages. Somehow, a percentage without a dollar figure doesn’t seem as real to me.

  15. isabelle on January 13, 2008 at 4:28 pm

    The breakdown gives it meaning. It shows us how you deal with setbacks or life situations in general. A number o it’s own would be of limited interest to me.

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.