It’s time once again for a Tako family monthly income and expense report! November was a month for indoor activities, like finishing woodworking projects. We spend a lot more time indoors this time of year…and subsequently, our spending for November was very …err… typical.
A “steady as she goes Captain” kind of month.
Expenses For November
The good ship Tako had expenses for November total $5034.28. As I mentioned last month, our daycare costs have increased — Now we’re sending the youngest a few times a week. It caused a big spike in our spending. You can see it in the monthly expense breakout here:
See what I mean about typical? — This was an unexciting month from an expense perspective. We kept our food costs down by not stuffing our faces, and most of our utility bills didn’t bite in November! (Some months are like that because many of our utilities send bills either bi-monthly or tri-monthly. I guess that cuts down on their billing costs.)
Our Thanksgiving “feast” looked delicious. I didn’t eat any of course. 🙁
Outside of childcare costs (which are optional), our core expenses were only $2899.28. That’s fairly low, and it includes the mortgage!
Next month should end-up being a higher-cost month as more utility bills land. That, and we’ll have some additional holiday spending to account for. Usually we end up eating some fancier meals in December. We splurge a little bit with family on things like dungeness crab or fancy sushi dinners.
On an annual basis, our 2016 expenses totaled $49 thousand dollars… and there’s still one month left of 2016! Originally when I projected 2016 expenses for the year, I estimated about $48k.
Yikes! I was WAY off! We’ve now exceeded my projections, and still have an entire month to go! By the end of December our annual expenses will probably reach $55k.
So how did we do income-wise?
Dividends For November
November had to have been the most unexciting dividend month we’ve seen in a long time. We had no dividends paid in the month of November! This is the first time it’s happened in 2016!
So for everyone out there looking for a big fat dividend payment this month — Sorry! Most companies only pay out dividends quarterly, and in our case, this resulted in nothing for November.
We did have a little interest income from our money market funds, so I’ll include that tiny amount of income here:
I guess $25 is better than a big fat zero!
For the entire year, our annual dividend numbers are looking much healthier.
When I look at table it makes me both sad and happy….Sad because we won’t meet our original goal of living completely off dividends. I have to take responsibility for that…I didn’t manage to get enough of our excess cash invested and our dividend income is lagging behind where I wanted to be.
But I’m also Happy because $39k in November is nothing to sneeze at!
December promises to be a really big dividend month…probably pretty similar to what we saw in September. That means dividends will exceed $7,000 and put our annual dividend income total close to $46k!
November Portfolio Changes
Gosh, after those lame dividend and expense reports, I’m wishing I had at least *something* exciting to report in this section for November!
Unfortunately, I don’t!
With the election happening, and the Trump rally/Santa Claus rally following closely behind, I decided to wait things out and made no changes to the portfolio.
In my opinion, markets were already quite expensive before the big rallies, and now even more so. The S&P 500 earnings yield is now 3.9%, and the PE ratio is over 25. Meanwhile the 10 year Real Interest Rate is only 0.44%. That feels really expensive to me.
I’m going to wait until Santa Claus has finished his run this year, then I’ll start investing excess cash again in 2017. Usually by that time, all that bonus money will have been spent or invested back into the market. Sanity should prevail…or perhaps a little sobriety.
On the bright side, our net worth also reached new highs. While I’ll wait until 2017 to report the official number, I can already tell you we’re getting close to a total net worth of $2.5 million. That’s a big increase from our 2015 total.
Next stop — $3 million!
[Image Credit: Flikr]