I have exciting news this month about a specific financial milestone.
Let’s get started!
Personal life: What happened in April?
Danish society is slowly returning to normal after the coronavirus and so is our life.
I am back in the office and we have started being social again with the restrictions still required by the authorities. We love it! Especially the latter part 🙂
The sun has started to come out in Copenhagen and temperatures have crossed 20 degrees celsius, which means it is SUMMER!
In a week from now, we expect the government to loosen the assembly ban to at least more than 30 people which means we will be able to have a summer hanging out with larger groups of friends outside which is amazing.
The coronavirus pandemic has given me more time to focus on my health and run. This means I am in better shape than I have been for a long time and now being able to run 5 kilometers in less than 5:00 per kilometer. I am pretty excited about that!
Financials: How are we tracking on our FI goal?
Wooohooo! I promised some good news here.
Finally, we have crossed the 3.000.000 DKK (460.000 USD) mark and can now call ourselves triple-millionaires in Danish kroner. Going from being in debt to being a millionaire in less than 7 years is pretty cool considering we have only been on a FIRE journey for a bit over 3 years.
As you will see in the graphs below, two-thirds of that is illiquid as pension and real estate, and one third is liquid as cash, stock, and P2P lending investments.
The stock market is behaving like coronavirus never happened which is alarming, but also good for our investments so far.
We ended up with a savings rate of 38%, which is just below our 12-month average savings rate of 43%. I guess our savings rate dropped a bit this month since we started spending money on going out again and we had to spend some money buying things for our daughter she needed.
Our combined take-home income was at 73,327 DKK (11,281 USD). We managed to save 28,164 DKK (4,333 USD) resulting in the 38% savings rate.
Our net worth increased by 2.4% this month. Finally, that put us above the 3 DKKm mark we have been chasing since October last year!
Our total combined net worth at the end of this month is 3,019,049 DKK (464,469 USD).
32% of our assets are liquid meaning they can relatively easily be converted to cash.
Let’s take a look at our investments.
I am happy we decided to continue investing (and actually invested a bit more) during the coronavirus. Things are looking good at the moment with all our investments having positive returns this month.
Stocks indexes increased by 2.4% meaning we are close to pre-coronavirus levels.
Pension investments increased by 6.2%.
Our real estate net worth increased by 0.7% even though economists forecast a decrease in real estate value.
Crowdlending increased by 1.0%. I am still curious to see whether more platforms will go bankrupt, but so far, our investments here are still performing.
Lastly, cryptocurrencies increased by 15.3%.
All our three financial independence goals increased this month after a tough last month:
- Three years’ expenses in savings: 68.1% (up from 65.4% last month)
- Optimistic FI goal: 44.5% (up from 43.1%)
- Traditional FI goal: 11.4% (up from 11.0%)
It looks like we are getting closer to the half-way point of our optimistic FI goal (with an SWR of 7% and some passive income).
Blogging: How did key metrics develop on MoneyMow?
MoneyMow decreased slightly last month due to a new Google update (I believe).
The metrics on the blog last month were:
- Visitors: Number of visitors was 6,743, and decreased by 12% compared to last month
- Page views: Page views were 10,073 and decreased by 4% compared to last month
Favorite posts of the month
My favorite posts of the month were:
- Playing with FIRE wrote a good post on the thoughts he has had after losing his job – and how FIRE also has played a part in opening his eyes to future plans.
- Banker on FIRE made a great piece on the illusion of passive income. Spoiler alert: it really isn’t passive!
- Mr. RIP wrote a lengthy, provoking, and fun post about why FIRE as we know it is dead. While I still believe the assumptions used to give the final SWR range in the post are too conservative, there are many good points in the post (e.g. never having to work again ever).
Have a great June until we speak again 🙂