Thursday, 31 December 2015


Financial independence is my name for my monthly calculation of my net worth.

I have been counting and noting my net worth since around the beginning of 2010 (when I found Early Retirement Extreme) but since the way of counting has changed with currencies, debt and what is included, the numbers for net worth are not comparable.

During 2015 however, the calculations for my net worth have been somewhat consistent (except when changing banks and paying all what the tax authorities demanded). I divide my net worth with my estimated annual budget, and the result shows the number of years I can live on my net worth without further income (if and if the increase of costs is supported by revenue/interest from the investments).

During 2015, my FI has moved up and down.
January FI 28,9
February FI 31,13
March FI 31,55
April FI 29,13
May FI29,55
June FI at least 28,82
July  FI29,31
August FI28!
September FI27,61
October FI28,89
November FI29,41
and now at the last day of December 2015: FI28,86

The high point was 31,55 but that is before I prayed close to three annual budgets to the tax authorities. The low point was 27,61 when the markets went low and I almost wet myself for a few weeks. (It is really all for the best not calculating net worth more often than once a month.)

The markets are steadily moving up for my select investments and savings options but they are volatile and although I am really happy and grateful for what I have, I may need to secure them further for next year. I have however managed to live within my annual budget yet another year and it has not been painful at all..

I also still hold a job and save almost an annual budget per year. However, I only work four days a week and I keep a maximum savings rate of around 50%. I have promised myself that if the savings rate goes above 50%, I will cut more of my working hours.


  1. How long do you have to do this at the current ratios? Remember the most important thing is to stay healthy, so don't cause yourself unnecessary stress.

    1. Thanks Jono, health is always the most important. I am looking at the rest of my life and (because it suits my lifestyle) work at least another five years.