[this is a ymoyl update.]
well, i keep updating the graph each month, but never get around to saying anything anymore. let’s catch up on a few things:
first, some meta-information about this page itself. it was getting too long, so i’ve moved the news items from previous years onto their own pages. i revised the introduction. also, i’ve added a page which plots each graph item separately and plots expenses against investment income so progress toward the crossover point can be seen.
how long has it been since i actually did a monthly tabulation and analysis of my income and expenses? march of 2002. ick. i guess i should admit defeat at this point and say that i won’t be doing this for the foreseeable future unless i somehow automate it to make it easier on myself. i think it’s good enough that when i review my profit & loss report each month, i’m happy with what’s there, and the lines on the graph are all moving as they should.
most importantly, i believe i’ve decided to stop investing for a while. the american economy’s completely in the toilet and will remain there at least until the bush administration is ousted.let’s exclude the unthinkable possibility of four more years. the best ymoyl-appropriate investments i can find earn just 4%. i’m earning less than $90/month from my treasury notes and paying $300/month in interest on my mortgage. time to wake up and switch. i’m going to take the money i’ve been investing and redirect it to paying down my mortgage. by the time i’ve brought the monthly interest payments on it down to something more reasonable, the world will hopefully have changed enough that i can return to investing at a more profitable rate.
so i skipped the treasury auction last month. i haven’t started making extra mortgage payments yet, but have instead finally done something about the common wisdom of setting aside enough cash to cover 3-6 months of expenses in case of sudden unemployment. my expenses are roughly $2,000/month these days and i’m making $500/month from renting two rooms in my house, so i’m putting $4,500 into a money market account; this will be completed in a couple of weeks. it earns 2%, so at least i’ll get $7.50/month from it.
i’ve also changed the accounting of the investment income total to reflect the actual amount i currently make from long-term investments, not that amount plus what i would get if i invested all my cash assets. calculating it that way was psychologically necessary for a long time to keep myself excited with seeing the line go up steadily, but it’s no longer accurate since there won’t be another investment in a couple of months, and i can switch to watching the expenses line come down instead as my mortgage interest payments shrink. the investment income had hit $101.20; it will now go down to $88.54.
i think that’s all for now. thanks for checking in!