It’s time for a monthly update with quite big news for me personally.
In May, we finally got to meet our baby daughter when my amazing wife gave birth a bit early following many hours of intense labor. It was and is an incredible experience seeing her entering our world and watching her grow every day. Needless to say, this has been the main focus of our May.
Personal life: What happened in May?
As I spoiled already, we got to meet our baby daughter in May. We have spent the vast majority of our time feeding her, changing her and putting her to sleep – and then just sat silently looking at her sleeping.
I know it sounds like a cliché, but suddenly everything else seems rather unimportant. Especially work.
I must admit that even though we have only known her for a few weeks, going to work seems like such a weird thing to do when you just want to spend time at home.
I have become even more certain that I’m not going to work full-time until I’m FI. I want to try different ways of working such as part-time or freelance even though it might prolong my FI journey slightly. I’ll have some time next year during my paternity leave to think about how this will work. I’ll get back to you on that! 🙂
Financials: How are we tracking on our FI goal?
Financially, May was a good month. Obviously, we didn’t really go out that much because we have stayed inside with our daughter, so those expenses remained low. However, we did have some last-minute purchases of things we needed for our daughter (hello there all sorts of equipment to make her fall asleep!).
In May, we managed to get a savings rate of 41%. We are tracking slightly below our target of 50% this year, but I’m fairly confident we’ll get there – especially with the bonus payments coming at the end of the year.
MoneyMow savings rate over time (%)[wp_charts title=”linechart” type=”line” align=”alignright” datasets=”22,-75,30,35,28,45,-173,31,28,49,54,16,41″ labels=”18-May,18-Jun,18-Jul,18-Aug,18-Sep,18-Oct,18-Nov,18-Dec,19-Jan,19-Feb,19-Mar,19-Apr,19-May” width=”100%” scaleoverride=”true” scalesteps=”10″ scalestepwidth=”10″ scalestartvalue=”0″]
Our combined take-home income was at 77,489 DKK (11,977 USD) and we managed to save 31,930 DKK (4,912 USD) resulting in the 41% savings rate excluding income from the blog.
Our net worth decreased slightly this month due to the stock market going down several percentage points:
Our total combined net worth is 2,482,388 DKK (381,906 USD), which is 0.5% lower than last month. Most of our assets are illiquid:
Liquid assets still make up 28% of our total assets with a value of 704,008 DKK (108,309 USD).
Illiquid assets still make up 72% of our total assets with a value of 1,778,380 DKK (273,597 USD).
Investment returns for May were quite bad due to stocks declining roughly 5% for the month.
Real estate prices decreased with -0.3%.
Pension decreased with -4.6% (excl. employer contributions).
Stock indexes decreased with -5.4% last month. 2019 is still positive on the return part, but this month definitely took the air out of the balloon a bit.
Bonds increased with 0.3% – this is so boring to follow, but I guess I’ll be happy for it one day. I like my risky investments more 🙂
Crowdlending increased with 0.9% being my most steady investment.
Cryptocurrencies increased a lot (!) for the fourth month in a row with 65.7%. I’m nearly back at the level I bought the cryptocurrencies for in the beginning. If I ever get to 3x what I have invested in, I have decided to exit cryptocurrencies for good.
All our three financial independence goals decreased slightly this month:
For the first goal, we are 48.9% (down from 49.2% last month) of the way towards having three years’ expenses in savings.
For the second and third goal, we are 33.4% (down from 33.6% last month) of the way towards reaching our optimistic financial independence goal and 8.6% (steady from 8.6% last month) of the way towards reaching traditional financial independence.
Blogging: How did income and key metrics develop on MoneyMow?
The traffic increased nicely this month on the blog (yay!). The metrics were:
- Visitors: Number of visitors were 24,303 and increased with 20% compared to last month
- Pageviews: Pageviews were 31,633 and increased with 13% compared to last month
I continue to be amazed by all the visitors on the blog. The increases in traffic is caused by returning visitors and I’m also seeing my articles ranking on search engines faster than usual these days. It’s definitely encouraging me to keep going!
Favorite posts of the month
My favorite posts of the month were:
- Money With A Purpose wrote about why FIRE has to be so controversial. He claims that FIRE has existed much longer than we usually think and lays out reasons for the sources of anger/skepticism people usually have towards FIRE. He ends up with suggesting three good steps to change this, although they are easier said than done 🙂
- Financial Samurai wrote a great post on the not so obvious reasons people want to FIRE. Alongside all the usual reasons for why people want to FIRE (freedom, more time with family etc.), I must admit that some of them were applicable to me – also some that I hadn’t considered to be important previously. He ends the post writing about the risks of FIRE and why his financial goal continues to be a moving target.
- Late Starter FIRE wrote about loving food and paying more than average for food when pursuing FIRE. I could relate to this post, since I’m in that category myself. I probably spend more than average for food, and I believe it is perfectly fine as long as I spend below average in many other categories. If you listened to the latest ChooseFI podcast with Ramit Sethi, you might call food my “money dial”.
That’s it for May. See you next month! 🙂