Starting Net Worth: -$2,612
March brought a return to financial normalcy - a month of ‘boring’ finances. Although, sometimes boring can be good. I did my best not to spend any money outside of necessities as I continue saving towards the proposal to my girlfriend. As a result, I managed to spend less than $400 for the month outside of rent and car payments. When you include rent and car payments, my total expenses were $1,757.03. One thing that was unique about March is this was the month I learned that my 401k plan allowed for Roth conversions. A Roth conversion is when you take pre-tax retirement accounts (in an IRA or 401k) and convert them to a Roth IRA or Roth 401k. As a result, you will need to pay income tax on the amount of the conversion when you file taxes next, but all of that money will now be able to grow tax free forever. Since I was 22 at the time, the idea of having all future investment growth be tax free was too good to pass up on, so I converted my entire pre-tax 401k (about $1,800) into my Roth 401k. The most exciting part of this month was that I finally achieved a positive Net Worth!
Ending Net Worth: $90
None of the above information is a recommendation. This blog is purely intended as commentary on things that have happened along my financial journey.