Nov ’18 Income and Expenses

So November flew past – with a combination of holiday and unforeseen circumstances has played a little havoc on what I was expecting to be spending, but that is what life does – throws in some challenges!

Income

So the same pay cheque landed again which was marvelous, and my other half’s ISA continues to power ahead, really it has helped me this year cover a lot of the unexpected costs that have come up. I’ve been doing this now for about 4 or 5 years, and it really is only now that I can really see the benefit, but its bliss!

Expenses

Item Notes Amount
Things I choose not to avoid* Mortgage, Insurance, shared bills etc. – yes, we could move somewhere cheaper, not have insurance, reduce our bills a bit and so on, but we are where we are.  30%
Groceries All the food and other stuff needed for home  3%
Alcohol for home Home alcohol consumption only 2%
Bicycles / Car related Any costs related to either the bikes or the car  5%
Alcohol Out Generally, its the pub….  0%
Eating Out I include purchased lunches in this as well as meals out etc.  2%
Other My catch all for anything I may have missed….  2%
Holidays Any spending related to holidays, flights etc.  10%
Savings Anything left over! This includes money into ISAs, mortgage payments and non relief pension contributions. My company pension comes out before it hits my bank account so isn’t included, nor do I include the “top up” of money when my money goes into my personal pension (i.e. I put in £100, I register it as £100, not the £125 that gets credited in my pension)  46%

* This covers a number of things that I would class as essential for me. Yes, I could move to somewhere cheaper to reduce the mortgage (which in turn would reduce the insurance I have to pay), yes I could reduce my bills by switching energy supplier etc. but it comes down to what I am happy with. There are a few other things in there that are classified as essential that others may object, and so I have just lumped it into there. This has reduced as our mortgage has been redone, and the difference being used to overpay the mortgage, but is still counted by me as savings

So the obvious challenges this month:

Holiday. So a short holiday away was much needed although not the most relaxing was a nice break away.

Car related. It was MOT time this month, and the car needed a few bits doing to it (it is over 10 years old!) which was a bit of a pain, but I knew it was coming up and some of it was planned for.

Lastly, pretty much everything else was on average – helping to the overall savings rate which continues to tick up. Sadly the only way I was able to keep the GTP ISA levels going in was due to not filling any of the emergency funds up. This does worry me because I am not really getting any cash into reserve which is not good.

Having said that, the fact that my other half’s ISA and the GTP ISA are starting to give out some sensible amounts of cash, it should help to smooth some of this.

How was your November?

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Oct ’18 Go T’ Pub Performance

So in October I have to admit I didn’t really look at this portfolio – knowing that CTY will do what it does, and the VWRL will also just keep ticking along. Life continues to throw up blockers to my writing time, so please stay with me 🙂

For the full details over all of the portfolios as a summary please refer to the full month end report – this is specifically looking at what has happened on the Go T’ Pub portfolio only.

So, what activity did we have this month?

  • New Funds added. As always, the regular contribution of £1,100 has gone in
  • VWRL paid out a whopping £103.60
  • No withdrawal was made
  • Left over cash from the previous purchases was left in

Overall performance: The starting value was £25,774.98, with £1,100 in new funds added, and £0 withdrawals, meaning total starting value was £26,874.98. We finished the month on £25,534.68 so the total performance across the whole portfolio was -4.99%.

Ouch, so quite a drop there – but what does that actually look like in terms of the details….

VWRL ETF

So with the drop in the value, plus the extra income from the dividend, it allowed me to purchase a whopping 20 units this month at £62.87 per share, giving an average cost now of £62.52.

On the flip side – £100 quid. For doing nothing. That should cover a meal out this quarter with Mrs. FiL – but I of course wont yet, it will reinvest 🙂 Either way – two quarters in a row its been over £100, or in other words, about £30 a month – that will treat us to a couple of drinks down the pub each month – result!

So, how does this look in pretty pictures I hear you ask?

201810gtpub

So even with the “crash” – having reinvested the dividends, the value is still higher than the contributions – so nothing really to grumble. I can’t believe just how fast the £20k has amassed either – seems to be there in a blink of an eye.

Cash vs. Investment Trust

So now for the fun, and highly not recommended, part. The money from my Cash ISA that was part of my emergency fund that I invested in the market to see what would happen over time.

So, how is it looking?

Cash Now stands at £5,132.34
S&S ISA IT Now stands at £5,037.70

So once again, the value of cash holding it’s.. well… value… is showing through as I sit on a loss of the stock. Given how low it has been over the month, it is a great recovery!

201810cashvsstock

So the rollercoaster continues! I know that next month I should get another dividend which will be reinvested so hopefully this will then make sure it keeps above the original starting value, but let’s see!

Oct ’18 Performance

So October came and went – but did the portfolio? I have to admit I did check it a few times with all the moving around that was going on – but I had to laugh at all the hype in the press about the “crash” and “billions wiped off” etc. etc.

Seriously? It’s only wiped off if you have to sell – and what about the profits people made before this? Anyway…

As I covered in my “How I measure performance” – basically I take the value of the portfolio at the end of last month, add on any contributions for the month, and that was my starting value. End value is the value at the end of the reporting period. Simples 🙂

Perf. Notes
Company Pension -5.10% No income generated as all funds are in growth or reinvested
Personal Pension -5.97% No income generated as all funds are in growth or reinvested
ISA 1 -4.03% No income generated as all funds are in growth or reinvested
ISA 2 -5.13% The performance does not include the income that was paid out into my account
ISA 3 -5.60% Although dividends are paid out, they remain in the ISA wrapper, and will get reinvested for growth. The performance figure includes both the Capital growth, and also income received which will get reinvested.
ISA 4 -4.99% Go T’ Pub ISA
FTSE-100 -5.09% This excludes any dividends
FTSE-250 -6.84% This excludes any dividends
FTSE-All -5.42% This excludes any dividends
S&P500 -6.23% This excludes any dividends
Dow Jones -4.44% This excludes any dividends
VWRL -5.54%
VHYL -3.86%
GBP/USD -1.96% This was taken on the spot rate on the close of the last day of the month. Going forwards I will pick up the exchange rate from www.xe.com for consistency and real life 🙂

So what to make of it all? Surprisingly everything came down pretty evenly – the surprise being the VHYL didn’t drop as much as others.

Am I worried? Nope – the dividends still paid out, I still bought more units and I still think markets are high. Am I going to change anything? Nope.

Did it hurt to see the amount of actual £’s disappear off my networth? Yes… but again it simply means that anything I do buy I buy more of so as I am still growing my networth, now is not the time to worry.

Onwards and upwards – or in this case at least, onwards!

Oct ’18 Income and Expenses

So it appears that it is that time of the month again – another month of my life flown by without me realising, and the inevitability of the grave comes to mind – or is that just because it was Halloween?

Income

I am on a roll here – third month in a row and the taxman hasn’t changed my tax code!

So the same old pay cheque dropped in the bank account for a fleeting visit before all of my direct debits and standing orders went out (savings mostly!).

My other half’s ISA seems to be truly powering ahead now – it is really making a significant (sorry, bad pun I know) impact on the finances, however I can’t claim it for this month as it had to help last month!

Expenses

Item Notes Amount
Things I choose not to avoid* Mortgage, Insurance, shared bills etc. – yes, we could move somewhere cheaper, not have insurance, reduce our bills a bit and so on, but we are where we are.  31%
Groceries All the food and other stuff needed for home  2%
Alcohol for home Home alcohol consumption only 4%
Bicycles / Car related Any costs related to either the bikes or the car  1%
Alcohol Out Generally, its the pub….  1%
Eating Out I include purchased lunches in this as well as meals out etc.  3%
Other My catch all for anything I may have missed….  1%
Holidays Any spending related to holidays, flights etc.  1%
Savings Anything left over! This includes money into ISAs, mortgage payments and non relief pension contributions. My company pension comes out before it hits my bank account so isn’t included, nor do I include the “top up” of money when my money goes into my personal pension (i.e. I put in £100, I register it as £100, not the £125 that gets credited in my pension)  56%

* This covers a number of things that I would class as essential for me. Yes, I could move to somewhere cheaper to reduce the mortgage (which in turn would reduce the insurance I have to pay), yes I could reduce my bills by switching energy supplier etc. but it comes down to what I am happy with. There are a few other things in there that are classified as essential that others may object, and so I have just lumped it into there. This has reduced as our mortgage has been redone, and the difference being used to overpay the mortgage, but is still counted by me as savings

WOWSER! I knew I had seriously tightened my belt, but 56% (ok rounded up as actually 55.69%). This is my highest EVER savings rate – that’s 3 times this year I have clocked over 50% savings rate

Could I do that level every month? As I was writing this, my view was no. Then I thought back, what did I do in October. One thing I love about writing this blog is it forces me to go back and look at things like this on reflection. I would have said I lived like a hermit, but actually there was the FI meetup, a friends birthday lunch, couple of meals down the pub and a few trips to Majestic / local vintners – so it wasn’t really that bad.

I think I need to challenge myself to do this more, especially for November with Christmas just around the corner!

The things I do nothing about is a bit higher this month due to me taking the income from my other half’s ISA for last month, otherwise it is all steady in absolute terms.

If I am truly honest – I wonder if my alcohol spend is maybe just a little high as it regularly seems to take up some of my income every month – it isn’t healthy, in terms of return on investment (assuming I consume it), it isn’t great either. But you know what? F**k it – I don’t half enjoy it 😀

Overall? A truly stonking month I think I would say after all that – a few more like this and I may even start to repair the damage done to my cash funds earlier in the year!

How was your September?

 

 

Sep ’18 Go T’ Pub Performance

So, once again, I didn’t pay any attention to the GTP ISA again this month (even though I should probably start looking at the charges and maybe move it!).

For the full details over all of the portfolios as a summary please refer to the full month end report – this is specifically looking at what has happened on the Go T’ Pub portfolio only.

So, what activity did we have this month?

  • New Funds added. As always, the regular contribution of £1,100 has gone in
  • No dividends were paid out sadly this month
  • No withdrawal was made
  • Left over cash from the previous purchases was left in

Overall performance: The starting value was £24,669.21, with £1,100 in new funds added, and £0 withdrawals, meaning total starting value was £25,769.21. We finished the month on £25,774.98 so the total performance across the whole portfolio was 0.02%.

So basically things went absolutely nowhere. Even with the money in things just tick along.

So, now for the details….

VWRL ETF

So the standard units were purchased. I bought a further 16 units at £66.52 per unit, making the average cost per unit of £62.49. The average cost starting to keep ticking up, but I guess I can’t complain as all the other units I already have increase as well!

I am in a slightly odd position in that I would love a crash and for the shares to drop to say £40 to allow me to buy huge amounts more, even if it means my current holding drops massively.

Ultimately though, it doesn’t really matter – things will just keep ticking along

So – how does this now look as the graph data slowly builds up?

201809gtpub

So a nice gap developing there between contributions and value. It’s still not as much as I would like but the main thing is that the total value keeps going up!

Cash vs. Investment Trust

So now for the fun, and highly not recommended, part. The money from my Cash ISA that was part of my emergency fund that I invested in the market to see what would happen over time.

So, how is it looking?

Cash Now stands at £5,131.55
S&S ISA IT Now stands at £5,346.64

So far then, the stock is just about keeping its head above the cash side of things (although remember there will be a dealing charge if I need to liquidate which I haven’t really included).

201809cashvsstock

So far the experiment is good – more in the stocks than cash but still a long way from being “comfortable” with the gap as yet.

So far so good…

Conclusion

So the VWRL experiment is still good clocking up units and slowly paying out for beers in the future. The cash vs. CTY is still a little uncomfortable if that was my only cash reserves, but fortunately it isn’t.

Sep ’18 Performance

So September flew by with a holiday meaning I hardly checked my portfolio all month and, you may not believe this, but it made absolutely no difference!

As I covered in my “How I measure performance” – basically I take the value of the portfolio at the end of last month, add on any contributions for the month, and that was my starting value. End value is the value at the end of the reporting period. Simples 🙂

Perf. Notes
Company Pension -0.86% No income generated as all funds are in growth or reinvested
Personal Pension -2.12% No income generated as all funds are in growth or reinvested
ISA 1 -0.38% No income generated as all funds are in growth or reinvested
ISA 2 -1.00% The performance does not include the income that was paid out into my account
ISA 3 1.69% Although dividends are paid out, they remain in the ISA wrapper, and will get reinvested for growth. The performance figure includes both the Capital growth, and also income received which will get reinvested.
ISA 4 0.02% Go T’ Pub ISA
FTSE-100 1.05% This excludes any dividends
FTSE-250 -1.85% This excludes any dividends
FTSE-All 0.53% This excludes any dividends
S&P500 0.41% This excludes any dividends
Dow Jones 1.90% This excludes any dividends
VWRL -0.17%
VHYL -0.06%
GBP/USD 0.58% This was taken on the spot rate on the close of the last day of the month. Going forwards I will pick up the exchange rate from www.xe.com for consistency and real life 🙂

So what to make of it all? Pretty much nothing to see as things just plod along apart from my IFA managed pension, which plummeted (not a surprise given the markets and where this is invested), and my ISA seems to do ok.

Things just tick along, money goes in, dividends pay out, and the slow progress just keeps going on. I still have a long way to go to make the FI point, but it keeps going.

How was your September?

Sep ’18 Income and Expenses

So September really did fly by – particularly with a 2 week holiday in there, and some colleagues on holiday making the day job busy, I really couldn’t tell you much of what happened!

I’ve had to do a little “jiggery pokery” this month, but I will explain as I go through.

Income

Ok, so for the first time this tax year, I have had two months in a row with the same income from my salary, and no new letters from Mr. Taxman – woohoo! I have also added in two months of income from my other half’s ISA – pulling forward what would normally be used for October to help cover some of the extra from holidays, All in all makes a bit of a higher monthly income, for which I will suffer a little in October.

Expenses

Item Notes Amount
Things I choose not to avoid* Mortgage, Insurance, shared bills etc. – yes, we could move somewhere cheaper, not have insurance, reduce our bills a bit and so on, but we are where we are.  29%
Groceries All the food and other stuff needed for home  3%
Alcohol for home Home alcohol consumption only 0%
Bicycles / Car related Any costs related to either the bikes or the car  0%
Alcohol Out Generally, its the pub….  0%
Eating Out I include purchased lunches in this as well as meals out etc.  1%
Other My catch all for anything I may have missed….  13%
Holidays Any spending related to holidays, flights etc.  10%
Savings Anything left over! This includes money into ISAs, mortgage payments and non relief pension contributions. My company pension comes out before it hits my bank account so isn’t included, nor do I include the “top up” of money when my money goes into my personal pension (i.e. I put in £100, I register it as £100, not the £125 that gets credited in my pension)  44%

* This covers a number of things that I would class as essential for me. Yes, I could move to somewhere cheaper to reduce the mortgage (which in turn would reduce the insurance I have to pay), yes I could reduce my bills by switching energy supplier etc. but it comes down to what I am happy with. There are a few other things in there that are classified as essential that others may object, and so I have just lumped it into there. This has reduced as our mortgage has been redone, and the difference being used to overpay the mortgage, but is still counted by me as savings

Holidays – you may wonder why that isn’t a higher number, but our monthly savings into the holiday fund really did “save our bacon” – without it my savings rate would be close to zero. In addition, from our remortgage we got a refund which also helped towards paying for the holiday.

Other – also high this month for a variety of reasons (some car and other item repairs needed which were unplanned) – not ideal but shows I can cope with some strains on the finance.

All in all what felt like a very painful and spendy month – but I have taken the hit this month for everything, so next month I should balance back to normality for the first time since the end of last year! I have still had to keep dipping into my cash reserves to make sure my ISA keeps building up and this does worry me, as I need to change that!

How was your September?

Remember: This Friday (19th October), there is a FI London meetup in The Old Bank of England from 17:30