Update: Net Worth Tracking
I have decided to track my net worth along with my investment performance. My Short-Term goal is to have a Net Worth of $20,000 by the time I turn 18 on February 9, 2011, which is in five and a half months. My Long-Term goal is to have a Net Worth of $1 Million by the time I turn 30 on February 9, 2023.
To be a Millionaire before I turn 30 I would need increase my Net Worth by a rate of 43% every year. I expect to meet this rate very easily for the first couple of years because of the low amount of money at first. For example, increasing $10,000 by 43% will only increase it by $4,300, but increasing $500,000 by 43% will increase it by $215,000 to $715,000. This is how someone with a lot of money can increase their Net Worth by very large sums. For example, there are two people, one has $100,000 and the other has $10,000,000 and they both increase their money by 10%, the person with $100 Thousand will only increase their Net Worth by $10 Thousand while the person with $10 Million will increase their net worth by $1 Million Dollars. If I grew my Net Worth by only 5 percentage points per year I would have over half a million more by the time I turned 30.
Here is a chart of how much money I will have if I grew my Net Worth by 43% every year. Starting when I turned 17 I had $10,000. The number on the left is how much I will have at the end of the year. Age 30 is blank because I want a $Million before I turn 30.
| Year | Age | Net Worth |
| 2009 | 16 | $10,000 |
| 2010 | 17 | $14,300 |
| 2011 | 18 | $20,449 |
| 2012 | 19 | $29,242 |
| 2013 | 20 | $41,816 |
| 2014 | 21 | $59,797 |
| 2015 | 22 | $85,609 |
| 2016 | 23 | $122,279 |
| 2017 | 24 | $174,859 |
| 2018 | 25 | $250,048 |
| 2019 | 26 | $357,569 |
| 2020 | 27 | $511,324 |
| 2021 | 28 | $731,193 |
| 2022 | 29 | $1,045,067 |
| 2023 | 30 |
I will use this chart as my Benchmark.
Here is my Net Worth as of July 15, 2010
| Assets |
| Cash = $7,771 |
| Taxable Investment Account = $2,881 |
| Gift Cards = $230 |
| Tangible Assets = 1,300 |
| Total Assets = $12,182 |
| Debt |
| $0 |
| Total Debt = ($0) |
| Net Worth = $12,182 |
One of the advantages that I have is that I am still young and my money will have more time to compound and grow. I will post an update on my Net Worth every month.
great post