November Passive Income and Expenses
Another month has passed and it’s time to reveal what the
expenses and passive income were for October. I have been trying to keep up
with what is going on in the overall market and have sat on the sidelines. It’s
been a very busy few weeks for me due to trying to find a better opportunity in
my career. I had filled out several applications and had a couple of interviews
lined up. If all goes well, I could end up in a solid position in the
Information Technology sector making more money than I do at my current full
time and part time position combined. Not only will I be making more money, but
I will also be working a steady 40 hours instead of the grueling 60 hours a
week that I put in. So overall I feel like this move will benefit my well being
and my wallet.
I do
have to give myself a huge pat in the back for the stocks I have picked so far
this year. I stayed away from the energy and financial sector due to the risks
involved. Many times I have wanted to buy up shares of some of the energy
giants and stuck to stocks like Kraft, Dunkin Brands, Walmart, Disney, and
Apple. These stocks have rewarded me fairly well and I only wish I put more
money to work when I had the chance. Even with the S&P down -0.25% on Black
Friday, my portfolio was up +0.86%. So I am giving myself a tip of the hat and
wag of the finger for picking some great companies so far this year. Overall it’s
been a solid year, but I have made my mistakes as a beginner investor as well.
Seadrill (SDRL) was one of those risky stocks I picked up at the beginning of
my journey. I was chasing that yield and I understood the risks. This is why I
only bought 15 shares of that company in the first place. Even if I lose out on
that whopping $550 I invested in them, I still will be up on top.
I am
hoping to finish up the year very strong and I currently have some money
sitting on the sidelines just waiting to get put to work. At this time I have
no intentions of putting my hard earned money into the energy sector. I know
there are some great deals in that sector that are too good to pass up, but I
would much rather have my portfolio continue to dominate the S&P throughout
the year. Companies like YUM, DISNEY, and KRAFT are more appealing to me at
this time. It’s been doing well for me so far so I intend to stick to what I
know. Clearly I don’t know much about the oil industry but I do know people
will be spending money on KRAFT cheese and Star Wars movies for many years to
come. Now let’s take a look at my expenses for the month:
|
Expense
|
Cost
|
|
Groceries
|
$215.61
|
|
*Rent
|
$250
|
|
Student Loan
|
$100
|
|
*Utility Gas
|
$28.16
|
|
General Merchandise
|
$246.20
|
|
Car fuel
|
$99.97
|
|
Restaurants
|
$160.70
|
|
Auto Insurance
|
$108
|
|
Brazilian Jiu-Jitsu
|
$90
|
|
Phone Service
|
$47.81
|
|
Gifts
|
$132.35
|
|
*Dish
|
$39
|
|
*Cable Internet
|
$37
|
|
Post Office
|
$28.50
|
|
*Electric
|
$17.88
|
|
Car Repairs
|
$126.51
|
|
Entertainment
|
$32.86
|
|
Total
|
$1760.55
|
*These are expenses that are split between my significant
other and I.
This month
my passive income was much better than I expected. The passive income made up
for the heavy spending this month. I am hoping that the passive income will
keep increasing every month. December will most like be an expensive month
because of the gifts I intend to buy for loved ones but this is expected. My
intentions are to keep a frugal mindset and finish the year off strong. Now let’s
take a look at the passive income for November.
|
Passive Income
|
Earnings
|
|
Summit Hotel Properties
(INN)
|
$4.75
|
|
American Realty Capital
Properties (ARCP)
|
$3.02
|
|
Hasbro (HAS)
|
$0.42
|
|
Apple (AAPL)
|
$3.88
|
|
YUM (YUM)
|
$1.46
|
|
Kraft (KRFT)
|
$3.87
|
|
1.5% Cash back Credit Card
|
$77.81
|
|
Savings Interest (.95%
APY)
|
$4.41
|
|
CD (1.15% APY)
|
$0.49
|
|
Total Passive Income
|
$100.11
|
This is the
first time that my total passive income has been over $100 in a single month.
This is somewhat of a milestone for me and I am hoping to keep going until I
can finally cover all my expenses with passive income. This will essentially
make me financially independent from the rat race.
Now let’s
take a look at all of the income sources:
|
Income Sources
|
Amount
|
|
R.C. Job (Net)
|
$1,597.44
|
|
I.T. Job (Net)
|
$802.48
|
|
Ebay
|
$144.00
|
|
Dividends
|
$17.40
|
|
Interest
|
$4.90
|
|
CC Cash Back
|
$77.81
|
|
401K
|
$177.74
|
|
Total
|
$2,821.77
|
|
Savings Amount
|
$1,061.22
|
|
Savings Rate
|
37.61%
|
The cash
back rewards have been a great help this month because of all the purchases I
made on Loyal3. These cash back rewards are passive income because I don’t have
to work extra and I am not holding a balance on my credit card. Therefore each
month I am getting free money that I can receive in a paycheck or put it
towards my current balance. I was able to save 37.61% of my total income for
the month which isn’t bad at all. I would love to get to 50% at some point but
this is going to require some more discipline and patience. Now let’s see how
much of my expenses were covered by the passive income.
This is the most
exciting part of this post because I can see how much of my expenses were
covered by my passive income. This month 5.7% of my expenses were covered by
the passive income from dividends, interest, and credit card rewards. I would
love to add rental income to that equation someday but for now I am happy with
my progress.
How well did you do in November?
