The Money Muse

As the year progresses, I continue to focus on my long-term financial goals, staying disciplined in my investing strategy despite the ups and downs that naturally come with market fluctuations. In Q2 of 2025, I saw progress in both my income and investment performance, with some positive developments in my side hustle as well. While my primary source of income still comes from my salaried job, I’m seeing some growth in my Etsy shop, and I’m excited to continue building my income streams as the year unfolds. Here’s a closer look at my Q2 progress and the steps I’m taking to stay on track.

Let’s dive in:

• Income. My after-tax income for Q2 2025 was $15K. About 83% of this was from my salaried job, and the remaining 17% was from my Etsy shop. Q2 on Etsy was better than Q1 – especially after I realized that Etsy had mistakenly taken down about half of my listings, which resulted in lower page views and sales than I was expecting in Q1. Now, that this has been resolved, things feel like they’re back on track, and I expect more sales the rest of the year!
• Investment contributions. Before taxes, I contributed $1.9K to my 401(K), including an employer match. From my after-tax income, I put $1.7K into my Roth IRA and $5.1K into my brokerage account. In total, I invested 45% of my after-tax income in Q1 of 2025. 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. My net worth increased $33.9K (+12%) in Q2 of 2025, with my taxable brokerage experiencing the highest percentage increase (+15.4%), followed by my 401(k) (+14.8%), and my Roth IRA (+13.2%). I felt pretty down as I was writing my Q1 2025 wrap up, even knowing that downturns are inevitable – but, thankfully, the market seems to have recovered quickly this time. While this isn’t the highest percentage increase I’ve recorded while writing these wrap-ups, it is the second highest – and the highest dollar amount increase!
• Future plans and goals. I will be moving in Q3 or Q4 of this year, and my cost of living will inevitably increase. Right now, my portion of rent is about 10% of my gross income. I was really lucky to find such a good deal in my area, and I hope to pay no more than 15% of my gross income for rent in my next place. Keeping my cost of living low has been instrumental in being able to save so much of my income. It’s important to me to continue to be able to do so.

Q2 of 2025 has been a strong reminder that consistency, patience, and a focus on long-term goals are key when it comes to building wealth. Despite the challenges of balancing increasing costs and unpredictable market swings, I’ve been able to stay committed to my investment strategy, seeing growth in both my financial portfolio and side hustle. With the upcoming move and the potential rise in living costs, it’s even more important for me to maintain my discipline and stick to my financial plan. By continuing to prioritize savings, keeping my cost of living low, and investing wisely, I’m confident I’ll stay on track to meet my financial goals, no matter what the future holds.