My Financial Progress

This page represents a general look at my financial progress in the last 5 years divided into various categories. It details how I got started, what kind of companies I invest in, how I take unorthodox actions like purposefully going into debt to catalyze my wealth accumulation, and the important financial lessons I’ve learned to make me a better investor. Hopefully my quirky strategies will inspire others to reach for their financial goals as well :D

Dividends Progress

Dividends are a great way to get started in the world of investing. It starts off slow at first, but over 10 or 20 years it’s possible to build quite a significant stream of income from it. I started in 2009. By 2019 I aim to make at least $15,000 annually from dividend income. Click here for more details.

Incomes / Expenses Progress

It’s important to track our incomes and spending because in order to build our investments we need to be making more than we spend. I was able to double my income in the last 6 years through a combination of salary increases and finding new sources of revenues. But my expenses have also crept higher. I track my income statement every year to make sure I’m living within my means. Click here for more details.

Net Worth Progress

Slowly paid my way out of student loan debt. In the meantime saved diligently and put money into buying an apartment, and investing in the stock market and farmland. My take home salary from my 9 to 5 job has never exceeded $40,000 a year. But income is only part of the equation to financial success. The other part of financial success is building up assets :D Making the maximum usage of what we have is the ultimate reward. Currently about 40% of my net worth is in the stock market, 30% in the equity of my home, and 30% in my Saskatchewan farmland. Net worth is the value of all net assets, a barometer for wealth…


My strategy has been to buy up appreciating assets that also generate income. But we don’t have to earn a lot of money to do this because when interest rates are low like during the recovery of a recession we can leverage the power of using other people’s money. Since I started working I’ve managed to buy an apartment for $230,000, two separate farms for $150,000 and $172,000, various stocks valued at more than $150,000, and throughout all this time most of those assets are worth more now than when I initially bought them.

My total assets by the end of 2013 was over $700,000 :D but roughly $500,000 of that money is debt, or money borrowed from the bank. If my assets on average return just 7% annually (income + capital appreciation) then my wealth would go up almost $50,000 a year without even having to save any additional money :D This is how I’ve been accelerating my net worth :) There’s no way I could buy $700,000 of investments from my savings alone obviously, but by borrowing to invest, I get the full financial benefits from those investments while slowly paying down the debt used to buy them, increasing the gap between my assets and liabilities, which of course translates to higher net worth  (^_^)

I update the value of my apartment once a year every January. I use my original purchase price in 2009, which was $230,000, plus inflation (CPI) every year. In 2013, this puts my home’s value at $252,000. I also update the value of my farms once a year, which is in April because that’s when the annual farmland value report by Farm Credit Canada is released. I calculate the farms’ value by taking the average of the numbers from the report and inflation (CPI.) These conservative valuation methods for my properties are designed to keep my net worth less volatile, and curb the effects of false signs such as speculation. I update my net worth once a month.

Current Goals Progress

Short term (before 2015) - Increase my salary at work by $3,000, and increase my investment income by $3,000 or more. (currently on track)
Medium term (before 2017) - Invest in a commercial property. Grow the value of my investments to $200,000. (currently on track)
Long term (before 2030) - Find a girl, get married, start family, stay healthy. Teach my kids to be financially responsible. Grow an investment portfolio to 1 million dollars. (currently working on the “find a girl” part)
Life-Time (no specified time) - Retire with at least 5 million dollars in net household assets and live comfortably. Fish, golf, read, dine, and travel around the world. Also see My Goals: under the “About” page (currently working on these goals)

Road to Financial Freedom

The whole point of this blog is to track my progress to have enough income generating assets to live a financially free life. I anticipate it will be a long and slow process just like it would be for anyone else :0) but so far I am having a lot of fun watching my financial security become more and more self sustaining every year :D I will be financially free when my nominal passive income for the year reaches 100% or more of my expenses for that same year.

Year End 2009:
Passive income can cover 1% of my expenses. (No initial goal set)
Year End 2010:
Passive income can cover 7% of my expenses. (No initial goal set)
Year End 2011:
Passive income can cover 16% of my expenses. (Exceeded goal of 15%)
Year End 2012:
Passive income can cover 21% of my expenses. (Missed goal of 23%)
Year End 2013:
Passive income can cover 27% of my expenses. (Exceeded goal of 26%)
Year End 2014:
The goal is 32%. But check back at the end of this year for actual data.

Nominal – The passive income I make before factoring in inflation (CPI.)
Passive Income – After tax income that requires little or no work to maintain. The tax is calculated under the assumption that I do not have any supplementary active income, ie: a job. Examples of passive income include dividends, royalties, rent, pensions, child care benefits, etc.
Expenses – My total spending for that particular year. This will always be a moving target due to inflation and lifestyle changes.

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  10 Responses to “Progress”

  1. Hmmm. I really like your idea of making milestones for your passive income to cover X% of your expenses for the year since just shooting for 100% is a crazy far off number. I may start doing that, thanks!

    Aiming to meet a girl by 2030? I hope you meet someone before then since that seems crazy far away! I’m hoping for by 2020 and you’re probably close to my age since I graduated within the last few years as well.

    Sounds like you’re well-prepared for your financial plan :)

    • Thanks Miss. Hopefully I’ll meet someone sooner rather than later :). If everything goes to plan I’ll be married by 2020, and my kids will begin school before 2030. But unlike a personal goal, there are some variables in this plan that are out of my control. So I’m giving myself some wiggle room here and just see how it plays out.


    Also, great work! I how you calculated how much of your expenses your passive income can cover… I’m going to go do my own calculations and maybe set some goals for the end of the year.

    I’m especially impressed by how much you’ve been able to grow your net worth on a modest income — it makes me feel a little guilty actually haha

    Nice job. You’ve really motivated me!

    • Nice of you to drop by (~_~). What I’ve learned is to set smaller goals first and then build them up over time. Looks like you’re already doing really well yourself.

  3. Liquid,

    Great website! I really enjoyed the content, the graphs, your passive income goals, basically the whole enchilada! As the saying goes, nobody plans to fail, but most people fail to plan. Looks like you’re well on your way to financial independence and you’re displaying great foresight and discipline. It will serve you well as you get married and have kids in your coming years, and saving becomes much more challenging. As a 49 year old husband with 3 kids, I can tell you that you’re doing it right by keeping your expenses low and focusing on growing your asset base and net worth. One of the things I seriously under-estimated is the cost of raising children. It has made saving/investing very difficult given the myriad of expenses for my kids. Anyway, I started investing seriously in dividend stocks in 2004 and I’m up to $1,400/month in passive dividend. My goal is $3,500/month by the time I hit 60. Anyway, congrats to you and keep up the great work you’re doing with your website and your personal financial situation.

    • Thanks for the encouragement Dean. That’s really motivating to see how much dividend income you’re making now and how persistence ultimately pays off. I hope to be in a similar situation as yours some day.

  4. Do you reinvest the dividends, liquid?

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