Happy new year folks. This is my last monthly update for the year ending 2011. Luckily the stock market did relatively okay, and those 2 stocks I bought a couple weeks ago have cumulatively gained 4% as of now. I picked up another shift at my part-time job since November so these last couple months have been great for side income. All this means I’ve finally broken the 6 figure barrier. $100K is the first big step to becoming a millionaire, only 9 more steps to go now. Interesting note, Steve Jobs was worth $100M in his mid 20s, my age.
* Numbers are rounded to the nearest $100.
The US stock market performed pretty well in 2011 compared to Europe, Asia, and Canada, so good job neighbors! I sold some stocks near the end of the year for tax purposes and paid down some debt. What kind of investing opportunities will 2012 bring? I’m an optimist so I don’t think North America is going into recession.Butat the same timeI don’t expectany double digit gains either. I was just listening to an episode of “This American Life” (radio show) and they talked about how people every year have this idea of their perfect Christmas holiday, but only receive disappointment when reality doesn’t meet their high expectations. So let’s adopt a more realistic outlook for our personal finance in 2012. But of course, still hope for the best (^_^)
I wasn’t expecting a $39K increase to my wealth when 2011 began because my gross salary is less than $50K per year at my full-time job. Then there’s all the inevitable living expenses like mortgage, food, insurance, etc. Later this month I will reflect on this subject and post some details so anyone in a similar situation can learn do the same, but if you’ve been following this blog for awhile then you probably already know my strategies. Basically in a nutshell: get a 2nd job or increase number of revenue streams, DRIP your dividends, effective tax planning, live within your means, and invest wisely in high quality assets.
Note: I’ve updated the Progress Page to reflect the end of 2011.