Net Worth

It's very scary opening up your wallet and showing the world how much you're worth. Firstly, it forces you to face tough questions about whether you've made the right decisions in life. Secondly, it opens you up to judgement and criticism from others. It can be brutal.

But I think that by making small changes how we treat money, we can make big changes in how and when we retire. So I want to show everybody that even somebody like you – an ordinary person – can retire early.

In the chart below I plot my net worth over time. Net worth is defined as all my assets (e.g. house price, stocks and bonds, cash) minus all my liabilities (e.g. mortgage, credit card balance). In order to reach my goal of $2.5m net worth by 2033 and I must outperform the dashed line.

Net Worth Over Time

And in the chart below I plot my income and expenses over time. There won't be a one-to-one relationship between income/expenses and net worth, as net worth is also influenced by investment returns. It goes without saying that I'd really like my income column to be substantially higher than my expenses column.

Monthly Income & Expenses

Finally, the chat below plots my investment portfolio performance over time. Currently my superannuation is invested in the Hostplus Index Balanced fund and my investment portfolio is split 50/50 Australian equities and international hedged equities index funds.

Investment Performance