We’re five and a half months into 2022 and I think I can count the amount of green stock market days on my fingers. If you’re the type to check your 401k balance regularly or to watch the stock market daily (I am) it’s been super depressing. My overall investment accounts are down $300k from December. Ouch.
Two months ago I turned up my 401k contributions as the market started to dive. I’ve leaned into the dip. Despite my company stock dropping with the rest of the market, I’ve been regularly selling vested RSU’s and converting the influx of cash into shares of VTI. I’ll hit the 401k max for 2022 with my second June paycheck and then focus on making sure I hit the Mega Backdoor Roth max before congress kills it off.
I’m bummed to see my company stock, which had been trading in the 700’s struggling to stay in the 400’s, but my company is still doing great, my job is secure, and money is money. I’m thankful to be so lucky. This market wont be here forever.
On the home front, I’m still planning to start my three year kamikaze run at paying off my mortgage in August. Although I have a super low 2.625% mortgage and everyone keeps telling me it’s a better idea to invest the money, current mortgage rates have shown me that I never want to have to get a mortgage again. The thought of having to buy a different house than the one I want because of the rate the bank charges for interest is sickening to me. I’m still investing a ton of money each year. I just like the idea of diversifying and paying down the house as well.
I recently came across this quote:
“Like Warren, I had a considerable passion to get rich, not because I wanted Ferraris — I wanted the independence. I desperately wanted it.”
Charlie Munger
Munger has also been quoted as saying (paraphrasing) that he only ever set out to get financially independent, he just wildly overshot his mark.
While I can only hope to have the same problem as Charlie Munger in overshooting my mark, the quote about desperately wanting financial independence finally gave me the words I needed to describe my obsession. It’s a desperate need to be financially independent in any market, good or bad. Things may look bad right now, but it’s not my first rodeo, and money invested now should make a huge impact later.
Freed by 50 