Here are my 2012 net worth highlights:
- My net worth ended 2012 at another all-time high, up 15.9% versus the previous year which was very close to the S&P 500 return of 16.0%. Note that this includes my entire net worth -- including the value of items that didn't go up during the year (like my house, my cars, and cash investments), which weren't inconsequential in total value. It also includes my savings during the year.
- In addition to this gain, I added a liability to my net worth. My kids are in high school now and college isn't that far off. I have always included the value of their 529s in my net worth, but now that those dollars will be spent within the next several years, it's time for me to recognize the expense side. So I created a liability for college costs. I booked a good amount of costs in this year, so much so that if I had not included it, my net worth would have been up another 1.8% to 17.7% overall.
- I had record net worth highs for nine of the twelve months in 2012. That certainly made for a nice year. :)
- This year's performance brings the compound annual growth rate of my net worth to 14.52% over the past 16 years when I started tracking it in 1996.
- If my net worth continues growing at this rate, I should hit my crossover point in three years. In addition, I made up ground I lost last year in my retirement net worth goal and now I am a bit ahead of projections.
- My growth projection for 2013 is actually a bit lower than that at 11.8%. It includes an 8% growth estimate for my investments plus savings from both my income as well as my rental real estate holdings.
One of my resolutions last year was to concentrate my donations on fewer charities. I certainly accomplished that this year. In addition to my church, here are the charities FMF supported in 2012: