Both IIF and RNE kicked out approx. 10% dividends on 1/5, which were quite nice. I hope they are qualified such that I pay the lower income tax rate on them.
Loan Performance indicates I am making a 15.7% APY, which is a very nice rate of return. That ROI will take a hit if the two other loans go into default.
The only extraordinary expenses were:
- $700 for pre-calculation of expected tax returns (I wanted to confirm how much we will owe - abut $10k).
- Duplicate montessori and day care charges while our eldest tried the new school out - we expect the duplicate charges to end in February (extra $500).
- $3000 reimbursement from Big Company for my travel related expenses last year.
Prognostications for February:
- Possible expense reimbursement issues with big company - TBD.
- Transfer of Individual 401ks from Schwab to Fidelity will remove the investments from the market - transfer may not occur until March - Schwab was slow in December.
- $500 for ridiculously expensive family photographs. Well done but ridiculously expensive.
- I expect to shift $15k from our operating accounts to operating reserve (money markets).
- We should max out our 401k contributions or come within 90%.
- My wife's employer owes us $3k in various expenses, including dependent care and flex spending - due to poor administration - we may have to fight this one out. I have shifted our withholding accounts to Big Company - now I need to learn how to draw on them!
- $400 to join United Airline's Red Carpet Club
This is one of the biggest networth gains we've had so far. Future networth gains will be almost half as big, but hopefully we will outpeform our expectations.
With almost $565k in investible assets and reserve cash our annualized monthly investment return is projected to be about $3,500 (excluding compounding over the year), while our savings rate should continue to exceed $6.5k monthly into cash and retirement accounts. This means we are about three years away from having our investment income exceed our savings rate (assuming no dramatic change in either investment performance or savings rate).