Announcement

Collapse
No announcement yet.

Post your 2021 Year in Review and 2022 Plans

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • Post your 2021 Year in Review and 2022 Plans

    I thought this was a fun exercise and I liked looking back on my last year's plan for this year to see how things match up. Link to last year's thread to see if you posted and see how well you did with your plans.

    https://forum.whitecoatinvestor.com/...and-2021-plans

    Net worth progression (calculated on the first of every month):
    Dec 2020 - $2.4M
    March 2021 - $2.96M
    June 2021 - $3.31M
    Sept 2021 - $4.53M
    Dec 2021 - $6.12M (I'm probably closer to $5M now with the recent TSLA pullback and I'm not sure how much I'll pay in taxes as I'm always trying to find ways to defer realization to next year)

    Last year I was fortunate and lucky to hit my FI goal 7 years earlier than I thought I would. My goal for this year was to make progress towards fatFIRE and through risk/leverage and more luck, I sped towards that goal pretty quickly. I continued my options selling/investing strategy and so far it's still going well. My biggest change in my portfolio from last year's allocation was to simplify things. Instead of having a variety of stocks representing sectors, I decided to simplify things by slowly allocating towards 50% TSLA/50% QQQ/TQQQ.

    Even though I liked my job and could see myself living and working in a rural area for the near future, my wife reached her breaking point and couldn't stay there any longer. Reaching my FI target early in the year, it gave us options. So I told my employer our plans to leave and worked out part time coverage as a bridge for income security while we figure out what to do next. While winding down at work, the options selling income continued to do well and now it seems like I won't need to return to work after this year of part time coverage. During the GME madness I did overextend my account and did get margin called due to changing requirements which was fun (... not). However, it was a valuable lesson about managing buying power, risk, and leverage.

    We moved closer to family and now she's much happier (and therefore I'm much happier). She's now working at the local hospital for our health insurance and to give her a routine of some sort. I'm still providing part time call coverage for my old job 1 week a month and I'll likely fully step away from practice after this year. Otherwise I continue to sell my options and 'day trade' so I can meet trader tax status for deductions and take multiple breaks through the day to walk our dog.

    Goals for 2022. I hit my fatFI number much quicker than I thought I would and hope it continues going forward. I enjoy watching CNBC along with various people on YouTube, following Tesla news, and coming up with various options strategies so I plan on continuing to trade for fun and to see how far I can get. My trading activity allows me probable tax deductions which I'll run through my CPA. Then I'll look into forming an LLC taxed as an S Corp to see if it's worth it for me. Otherwise, hopefully we'll be able to feel more comfortable travelling soon and start visiting all our bucket list destinations!

  • #2
    Beginning of year:
    Investments: 217k
    Mortgage: 608k @ 3.275 30y
    Emergency Fund: 24k

    Today: (still short my Dec 31 paycheck)
    Investments: 411k
    Mortgage: 576k @ 2.75 30y
    Emergency Fund: 50k

    It’s my fourth year out. Our portfolio is very simple: 100% Equities (except for a small 401a that I don’t control - about 70% total US/30% Int). Will add 10% bonds when portfolio hits 500k. Some big financial milestones we’ve hit:
    Have EF where we want it.
    NW increased by more than salary (counting home appreciation).
    We’re able to lump sum enough into our mortgage to get it below 80% LTV and refi into 2.75%.
    Started 529s for our kids (put the state max deduction in for this year)
    Started a HDHP and HSA. In spite of some unexpected expenses, we came out ahead so wife is fine continuing in the same plan.
    Started regularly contributing to a taxable account.
    With refi at 2.75% and inflation, temporarily started putting extra mortgage payments into taxable.
    Non-financial stuff: Daughter who was delayed at birth has caught up. Officially became members at church. Published in a top journal.

    Goals for 2020:
    Take nice trip with only wife.
    Save 50% of base salary.
    Continue to tithe.
    Continue to fund 529s.
    Lose 1lb/mo.
    Run a 1/2 marathon.

    Comment


    • #3
      We had big goals for 2021 and I'm happy to say we stuck to them! We invested 200k this year and while I only check investment accounts on NYE each year, I think that'll put us at or nearly at 1M invested. I know that's NBD on this forum but considering I'm 6.5 years out and combined income post residency was ~250k our first 4 years, I never thought we'd get here so fast. So I'm really pleased. We had bonkers appreciation on our primary house and the cabin we bought last year so our NW nearly doubled from 2020. Ultimately we kept our 08 Corolla but plan to upgrade to something electric for sure in 2022. Oh and we also increased charitable giving which is something we're focusing more on in the coming years.

      Goal for 2022: superfund (ish) 529 accounts, 100k to retirement, get EF to 25k, new car, double charitable contributions.

      Comment


      • #4
        Nysoz don’t be modest, you forgot to list your December 2019 NW.

        Will update my 2021 later when I have more time. I totally forgot about last years thread.

        Comment


        • #5
          Originally posted by TheDangerZone View Post
          Nysoz don’t be modest, you forgot to list your December 2019 NW.

          Will update my 2021 later when I have more time. I totally forgot about last years thread.
          I'll update by Christmas Eve. I love these threads. I'm pretty sure I'm happy about how this year went and achieved our goals except one, which were: ~$100k in contributions into retirement accounts, $3k into 529s, $10-$15k to start a taxable account (I know we didn't achieve this unless you count $15k in iBonds for the first time as a taxable account), pay extra $60k (I suspect we’ll do even better), to mortgage to get below jumbo in order to re-fi to a better rate.

          Comment


          • #6
            I’ve never had such a high net worth but at the same time, haven’t felt so poor in years. Between contributing $58k to my solo 401k, 6k to the back door Roth, $3.6k to the HSA (actually haven’t found the cash for this yet), $19.5k to the 457b, 5% to the company 401k (the last two I didn’t think I’d be eligible for… contributing to cash flow problems), stuffing $35k in ibonds through an RLT and sole proprietor entity account, and wanting to work the least I can get away with, I feel like I have zero cash all the time. The pending legislation that could have nixed the mega back door Roth by the beginning of the year along with runaway inflation contributed to more anxiety. I know I need to come to terms with selling off assets in my taxable account, but it’s a difficult shift in mindset.

            Goals in 2022 are pretty similar… fill up back door Roth, hsa, 457b, 35k in ibonds, and 401k/403b. Anything left over, honestly not sure what I’ll do with it (another RE fund? EE bonds? Taxable?). I started signing up for a slew of bank bonuses so I can have some spare cash, hopefully then I can live a little.
            Last edited by Lithium; 12-18-2021, 09:05 AM.

            Comment


            • #7
              Originally posted by VentAlarm View Post
              Will add 10% bonds when portfolio hits 500k. .
              Why? Just curious, based on your age and your comfort with 100% equities now, why change as your investment account grows larger?

              Comment


              • #8
                Originally posted by VentAlarm View Post
                Goals for 2020:
                Take nice trip with only wife.
                Save 50% of base salary.
                Continue to tithe.
                Continue to fund 529s.
                Lose 1lb/mo.
                Run a 1/2 marathon.
                I think I'm reading between the lines here but I love the unsaid goal of inventing time travel.

                Comment


                • #9
                  This year: Still have my health, family, and have everything I could materially want.

                  Next year: Hope to become the first ever person to win the Powerball without playing. I would also like to complete my bucket list item of becoming completely fluent in one language.

                  Comment


                  • #10
                    2021. Fully retired. Did a 160k Roth conversion. Bought 10k Ibonds. Started using Applepay and Applecash. Now have 2 banks and 2 brokerages. Net worth increasing faster than drawdown. Bought a new Lexus.
                    2022. Fully retired. Will do 170K Roth conversion. Buy 10K Ibonds in January. Attend the WCICon in feb. Enjoy my new WCI tshirt and Yeti mug.

                    Comment


                    • #11
                      2021: Good health among all family members. Retired from clinical practice and started full time job in Big Health. Nest egg reached 8 figures. Traveled to Italy for 25th Anniversary in October.

                      2022: Hope for continued good health. Anticipate staying with FT job in Big Health. Expect NW to remain in 8 figures. Expect to travel to Europe in the Fall. Other than son graduating from college in the spring, no significant change anticipated.

                      Comment


                      • #12
                        Originally posted by VagabondMD View Post
                        2021: Good health among all family members. Retired from clinical practice and started full time job in Big Health. Nest egg reached 8 figures. Traveled to Italy for 25th Anniversary in October.

                        2022: Hope for continued good health. Anticipate staying with FT job in Big Health. Expect NW to remain in 8 figures. Expect to travel to Europe in the Fall. Other than son graduating from college in the spring, no significant change anticipated.
                        What does “Big Heath” mean?

                        Comment


                        • #13
                          Originally posted by abds View Post

                          Why? Just curious, based on your age and your comfort with 100% equities now, why change as your investment account grows larger?
                          Short Answer: it’s what my financial plan calls for.

                          I put more cash into the stock market when it declined last April, but I can’t say they I will feel the same way when I have a NW of 800k. I plan to decrease my risk as I approach FI, regardless of timetable as my need for risk will decrease. I will go up to 20% when I hit 1M. My FI number currently is 1.8-2.5M with a paid off house.

                          Comment


                          • #14
                            Originally posted by VentAlarm View Post

                            What does “Big Heath” mean?
                            I am referring to a large health insurance company, that everyone knows, that I choose not to name in social media settings (or forums).

                            Comment


                            • #15
                              2021: sold practice and haven't worked for the last 4 months (probably retired from clinical dentistry)
                              2022: hope to spend more time with family, finally learn to meditate, start journaling, continue reading two books/month, become a pro bono financial advisor for my friends, plan to do a 40k roth conversion

                              Comment

                              Working...
                              X