The Money Muse

This year has been insane for my investment performance. Despite having a particularly expensive year after moving to a higher cost of living city and costs associated with being maid of honor in my sister’s wedding, my net worth continues to soar month after month. I know not all years will be like this, but investing and personal finance are so much fun when things are going this well.

Here are some key numbers from the last quarter:

• Income. My after-tax income from for Q3 2024 was $12.9K. Most of this was from my salaried job, with $1.6K coming from my Etsy shop.
• Investment contributions. Before taxes, I contributed $1.7K to my 401(K), including an employer match. From my after-tax income, I put $1.7K into my Roth IRA and $4.2K into my brokerage account. In total, I invested 51% of my after-tax income in Q3 of 2024. This is a high percentage of my income – I normally aim for around 50% (the Money Guys recommend 25%). For the most part, I invest my money in VTI, Vanguard’s total stock market ETF. This move was inspired by JL Collins’ Simple Path to Wealth (a great personal finance book that I highly recommend!). 
• Investment performance. This was a great quarter for investment performance. My net worth increased $21K (8.6%) in Q3 of 2024, with taxable brokerage account experiencing the highest percentage increase (9.4%), followed by my 401(K) (8.9%), and my Roth IRA (8.7%).
• Spending breakdown. My highest spending category in Q3 of 2024 after paying for my bills ($2K) was groceries ($860), home goods ($810), and pets/pet care ($670). My home goods category reflects a big furniture purchase at the end of Q3. I’m generally very frugal, but I’m willing to spend money on a few very particular things. My partner and I enjoy thrift shopping and antiquing and we found a piece we wanted to invest in. We split the cost of a $1,300 dining room table – our first expensive furniture purchase, but a piece we’re confident we’ll keep for a long time if not the rest of our lives.
• Future plans and goals. With a $10K increase in my net worth from May, I’m that much closer to $250K. I’m going on my sister’s bachelorette trip in July, and we’ve planned it to be as cost-conscious as possible for all the ladies who are attending, but travel spending does have a way of getting away from me. My goal for July is to keep that reined in as much as possible.

It’s been an exciting year for my personal finances, and while I know not every year will be this successful, I’m grateful for the momentum. Investing 51% of my after-tax income in Q3 2024 has helped drive significant growth, and even with major life events and some indulgent spending, my net worth continues to climb. This experience reinforces how powerful disciplined saving and investing can be, even during more expensive periods. Looking ahead, I’m committed to staying focused on my goals while enjoying the process of building long-term wealth!