It’s time for the monthly net worth report! This is a new monthly installment where I’ve begun sharing net worth updates to hold myself accountable as I build wealth and show you how money works in real life.
As a refresher, the reason I stopped doing income reports and instead started focusing on net worth is because your net worth is actually more important. If you’re making a lot of money but you’re still spending all of of it, it doesn’t really matter because you’re still broke.
That being said, I will occasionally share my income on these reports as well so you guys get an idea of how much I’m earning, what’s working and what’s not working.
Let’s just say that July was a goooood month.
Despite moving to my new apartment, increasing my living expenses and all the surprise costs that come up the first few weeks at a new place, I actually recovered everything I lost last month and then some. In fact, we’re up almost $4,000 this month!
Not only that but I have been able to get rid of some previous expenses like a gym membership. I’ve also significantly reduced transportation expenses so I’m not spending that much more.
Here’s what worked in my favor this month.
I earned a lot of money in July.
Earlier this year I committed to earning more money. I’ve been working very hard behind the scenes creating systems, running ads, working with mentors and generally busting my behind since January.
I knew what I wanted to earn and I knew how I wanted to earn it. I also knew it would take a few months before I saw a return on my investments so I had to be patient (because it’s not my first time at the rodeo).
Now, I was already starting to see some ROI in May/June, but when I moved it was as if a fire was lit under my ass to earn whatever I could.
It worked because, as I shared with my email list, I earned over $11,000 last month. Better yet, about $9000 was profit and I do believe that’s the highest profit margin I’ve had in my business up until this point.
Below you’ll find screenshots from my Quickbooks account.
I socked away as much of that $9,000 as I could!
So what did I do to earn this much? Here are a few of the things that worked:
- Charging more money for writing. Because the surest way to get more is to ask for it. This has allowed me to write less while still earning a nice chunk of change which allows me to spend my time focusing on more profitable ventures. Click here to check out my on-demand class on how to make money freelance writing online.
- Filled the seats to my first every group coaching program. This alone will bring in almost $10,000 of revenue once the last installments for payment plans come in. It’s a high-price point offering and since it’s a group offering, it’s scalable. You may recall that I’ve been working on adding more scalability to my business this year so this was awesome validation that I was right on the money. (P.S. Enrollment is currently closed for live coaching, but you can click here to get more info and get on the wait list for the next round.)
- Upped my email marketing and systems game which has increased sales for lower price point offerings.
- I’ve increased my close rate for sales. One of my mentors reminded me that I’m actually really good at sales. I forgot this somewhere along the road of my journey so having the reminder was nice. Once I realized this, I started selling to the point where I was getting credit card information for my group coaching program over the phone. I teach my private coaching clients how to do this as well. Interested in coaching with me? Click here to book a free consult.
The other thing that worked was that I didn’t let trends get in the way. The summer is historically slow in my business so I would slack off. Not this time.
The stock market was on FIYAH.
I’ve said time and time again how it’s not enough to have your money saved in cash. I’ve mentioned that here, here and here.
The truth is you also need to invest money. This gives you a higher return, allows you to make money in your sleep and you take advantage of compounding interest.
Well, July was hot hot hot!
To give you an idea, aside from my automatic deposits, I didn’t get a chance to dump money into my Betterment account until later on in the month. The money that was already in there kept growing without me even touching it.
Being the finance nerd that I am, I’ve read up on what could come next. Apparently, historically speaking, we’re about to enter the worst time of the year for the stock market. However, since July was so strong and 2017 has generally been a good year (seriously, it’s been crazy) then we may not experience a downturn.
Of course, no one can predict the future or the stock market so we’ll just have to wait and see. Regardless, betting on the U.S. has always been a pretty safe bet over time.
Also, in full transparency, most of my progress this much was mostly because I earned more and saved a big chunk of it. This is why lately I’ve been making the argument that if you really want to up your money game you need to earn more money so you can save and invest more.
Even still, watching my investment account grow without me doing anything is pretty sweet. I earned about $300 in my sleep in that account this month. That beats the hell out of the 0.08% return on my regular savings account.
Here are some of the tools I use to help me invest:
Acorns – An app that rounds up your spare change and automatically invests it into index funds. I’m not using it as much as I used to because I’m testing other apps. I’m generally pretty good about investing, but it’s great for people who want to get started even if they don’t have a lot of money.
Dvdendo – Similar to Acorns but geared toward the Hispanic community. I’m testing this app as well. In full disclosure, I’ve done consulting work for them.
And, of course, I’m using Personal Capital to track my net worth every month. It’s free! Click here to check it out.
What lies ahead…
I’m going to continue growing my income over time. After years of scrimping to save, I’ve finally seen the light. It’s easier and more fun to find ways to earn more money. It also allows me to save a hell of a lot more than I’d be able to do otherwise without sacrificing things I enjoy.
The crazy part is this was all mental. All I had to do was make the decision to earn more money and then follow the cues. Often times we’re the only ones standing in out own way.