Another 40 grand climb on top of last month's home-sale-driven improvement of almost 90 grand marked a good start of my new journey on this side of the Pacific Ocean. Admittedly, most of this month's outsized gain is of one-time nature:
- $15,000 net after-tax income as one-time relocation cash bonus
- $8,000 after-tax value of overtime cashout at my last job
- $11,500 stock option gain thanks to MSFT's impressive performance lately (or 9,000 after-tax value)
- $3,800 from other investment gains (or $3,000 after-tax value)
- The balance is regular savings from monthly salary income -- this month's regular savings was suppressed due to setup cost in the new location.
Now I am looking at passing the $400,000 milestone in the next 30 days.
IMPORTANT BALANCE SHEET MOVEMENT DISCUSSION
• Cash & Savings: While this bucket receives most of the one-time income and regular savings, I also redirect part of the significant balance to investments.
• Brokerage: I made some sizable purchase of mutual funds and stocks in the month to redeploy my cash proceeds from the recent home sale to more rewarding venues.
• 401(k): The 2.2% monthly gain is purely market driven -- I am no longer capable of making more contributions.
• Stock Options: MSFT almost gained 2 bucks in the month of November and drove value of my stock option holdings up substantially. Still, none of these options will expire before 2011, so I am more likely to hold them for an extended period of time.
• Receivable (Payable): The decline is due to reimbursement of certain moving expenses.
• Credit Card Loans: The balance includes $16,000 free cash from multiple 0% APR deals, and some recent purchases still in grace period.
• Tax Liability: The increase is triggered by the gain in stock option and other investment accounts.
IMPORTANT PERSONAL FINANCE ISSUES IN MONTHS AHEAD
• AD&D Insurance: When I was reviewing the benefits from the new statutory company I now belong to the other day, I realized the insurance coverage is subpar compared to that from the previous company (the U.S. subsidiary). I already have term life insurance secured for my wife and myself, but I need to acquire some extra Accidental Death and Dismemberment insurance to cover the risks.
• Investment Reporting: Now that investment income is taking a larger portion in my monthly net worth movement, I am working on some new reports to keep investment performance on my radar of monthly reports. Hopefully, I can adopt a new format of monthly report at the start of 2006.
• 2006 Plan: It is planning season again. I will soon start working on my 2006 Financial Plan. Is half-a-million an achievable goal or the bar is too low? I should be able to find out in the next two months.