I do not mean to depress you, but I have done my financial analysis for the month of October and now have enough data to compare year to year. Since I started calculating my net worth October 22, 2007, this is the lowest my net worth has been. So much for my goal to reach a net worth of $100,000 by the end of 2008.
October 2008 net worth -9.5%
11/1/07 to 11/1/08 net worth -7%
Extreme stock market volatility
I purchased some stock in February 2008 when the Dow dipped into the 11,300 range and thought I did well for myself. Well, October saw lows in 8,000s from highs of about 10,000. While October ended with the markets up, I will not be holding my breath that my stock values will return from their nearly 40% plunge. My 401(k), rollover IRA and Roth IRA all had a nice downward trajectory that ended up pushing my net worth down 9.5%.
Savings and cash
I keep saving money, but not enough to fill the hole from the stock market. In all cash categories (except the cash kept on hand), the amount of money is up. With gas prices easing at the pump, I can put more money back in savings and build a small cushion of gas cash for extra travel or sudden price jumps before I need to change my spending plan.
I have no predictions about the end of the year and what my account will look like. While my cash position could have been even stronger, I am in stockpiling mode so I did not have the same cash cushion in my spending plan as last month. With my focus on what I need to get done around my house, I did not seek a second job and am unlikely to find one between now and the end of November. I expect a small bonus with my next check, but I also plan a shopping trip for myself this month. We will see how this affects my totals when the month ends.