August 2017 – The 6-Figures Club

We have 100,000 reasons to celebrate!

It’s time for a special update! It’s been a long and difficult journey but I’ve just crossed a huge milestone on the way to becoming a wealthy bogan. I’m now worth 6 figures, bitch! But how did I do it?

money.png

Here’s how it happened:

2013 / Age 22 / Net Worth: $1K

Bogan graduates uni! At this point, I had no savings and lived in what is now referred to as “the rat’s nest” – a needle-ridden block of apartments that accounts for over half of all police call-outs in the suburb. Here, my car was vandalised, tyres were slashed, and my neighbour got high and reversed his car into mine.

2014 / Age 23 / Net Worth: $9K

Bogan gets a part-time job! My first job was in a (meth) lab. Not really, I worked with liquid mercury – a meth lab would’ve been safer, but hey it paid the bills. Finally I could move into a nicer apartment; I snagged the cheapest one available with a garage. After 6 months in this job, I landed something full-time but still under a ‘casual’ arrangement. Once I finally had some savings, my car caught on fire, and I spent almost everything I had on a ‘new’ one – my current V8! I put the rest into shares.

2015 / Age 24 / Net Worth: $23K

Bogan saves! In 2015 I started socking away some serious money. I had the car, now I needed a house. I was planning to own a huge mansion. I went extreme frugal in order to squeeze every penny and it got me fairly depressed. I lost my job. Fuck!

I was unemployed for 3 months. I started to rethink my goals and decided to set aside my own wants and invest instead. I landed another job and continued to save.

In November a house popped up for sale – a 3 bedder in the bronx. It was the cheapest house in the metro area. I bought it for $150K ($15K deposit + $8K stamp duty, LMI & costs). At the end of the year I had $8K in my bank account. I used $4K of this to renovate the property with paint, carpet, a lot of sweat, and some tears.

I now had a cashflow positive property to supplement my income.

2016 / Age 25 / Net Worth: $85K

Bogan invests! My property was revalued $35K higher, just about doubling my net worth. I used the equity to buy a second property. In hindsight, I rushed this. I spent $10K of my own money to purchase this property, and another $7K renovating it.

By the end of 2016, I had two properties with $60K of equity and another $20K in shares. I was flying!

booyah

Boo-yah! Boo-nah?

Now we’re in 2017. I am 26. My shares have had a great two months. My second property is still for sale / under contract. I got a tax refund!

Rental woes continue: our hot water has been leaking since we moved in. Boy did we get a shock when our electricity bill showed we spend $17 a day! I’ve since inserted my foot, and the landlord has agreed to sort this out.

Let’s move on. Check out my sexy assets:

Property

2 houses on large blocks, still standing. Total value now at $440K with ~$380K debt. Interest only loans. Equity: $60K (No change)

Shares

$30,065 in six companies plus 4 LICs. I have received $0 in dividends this month(Change: +$4,146)

Cash

$10,945 in an offset account, saving me 4.19% in interest. (Change: +$609)

NWAugust.GIF

 

Previous net worth: $96,379

Current net worth: $101,134 (+$4,755)

Boom! The six figures club!

Damn I’m proud. Time for some bourbon.

My new goal is $115K – by the end of the year!

COUNTDOWN: 46 Months Until I’m 30

It’s now been 39 months since I started investing & my net worth has grown at an average of $2,593 a month. Using Goalseek, this is a 9.9% annual rate of return. At this rate I should have $288K by age 30.

This doesn’t include my super, HECS debt, or my fully sick highly collectible V8.

Next up is September, when spring will have sprung!

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11 thoughts on “August 2017 – The 6-Figures Club

  1. Congrats! I haven’t actually worked out my net worth (partly not wanting to know, but that’s just trying to bury my head in the sand, i know it!) but I loved seeing the detailed breakdown as to how you have progressed over the years – well done!

    Like

  2. I loved the way you wrote this post – fantastic insight into how you’ve gotten to this point today, well done!
    Curious to know – how do you feel about the projection of net worth at 30? Is it in-line with your goals/expectations?

    Mrs DDU

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    • Thanks! I used to think I’d never own a house. I thought I was going to struggle with money forever. So I’ve already exceeded my expectations.

      My new goal is to be able to get by without a job by age 30 and almost 300 grand would be enough for that. I’m ecstatic by how it’s all progressing. If I keep this up, I’ll be a millionaire by 40!

      Liked by 1 person

  3. Congratulations! Huge milestone, and so quickly, too. There is a “rule” out there that says while your first $100,000 took x years to reach, your second and subsequent should come faster and faster. Keep up the excellent work.

    Liked by 1 person

  4. Well done! Definitely cause for celebration – I know I’ll be popping the metaphorical champers when I get there too.

    I love how you broke it down to exactly how you did it and what other external factors were at play.

    As Mrs ETT says above, the first 100k takes the longest – it’ll be double in no time!!

    Like

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