Next thing that I would like to review after our Y2016 budget is how well we did in Y2016 regarding saving and investing. As mentioned in the budget our Y2016 saving was 2,3 kEUR. out of which 2,1 kEUR was invested into dividend paying Baltic companies. Part of these investments came from funds received from my job DRIP program, where we invest in our company and if we hold their shares for 3y they double it. Saddlly program was cut and I recieved my last double shares last year in total for amount of ~0,7 kEUR. So our Net change of Share portfolio was +1,2 kEUR growing from 4,4 kEUR to 5,6 kEUR. Still I consider this as a good result. This adds up to investments of 100 EUR/mo. This year we set the goal to invest double that of 200 EUR/mo.
In addition our III pension fund has increased by +1,5 kEUR from 4,6 kEUR to 6,1 kEUR. Around half of the growth came from regular investments and other half was due to increase in its value. These investment can be easily pulled out if I quit my job, so I consider them as saving. I have very attractive offer from my employer. He trasfers 1% of my wage and if I trasfer 1,5% from my own funds, he double that. So in total 4% from my income goes to this fund. This adds up to 63 EUR/mo.
Then we have II pension funds. These funds are untouchable until we reach pension age. We have quite good system here where 2% from my wage is trasfered from my tax payments to State social security (total ~30%), then if I add another 2% States adds another 2% but from average wage. Since my wage is a bit less then average wage I get less, but my wife earns a bit less then average wage so she gets bit more. All in all we get around 6% of our income to II pension funds. This adds up to 107 EUR/mo. On portfolio side it has increased by +1,3 kEUR from 6,1 kEUR to 7,4 kEUR.
All of this adds up to quite visible growth of +4 kEUR from 15 kEUR to 19 kEUR. Very nice figure. Almost there to 20 kEUR line 🙂 If we look at longer perspective Total portfolio has increased from roughly 6 kEUR back in Y2012 to more then x3 times just in 4Y.
If we add up all monthly investments of 200 EUR/mo. into shares, 63 EUR/mo. into III pension fund and 107 EUR/mo. into II pension fund we end up to 370 EUR/mo. Total investments or +4,4 kEUR annually. If to add ~0,5 kEUR of dividends that should be received Net result should land us to 24 kEUR portfolio at end of Y2017. To add up some challenges lets put additional 1kEUR just for fun and have:
Goal #2: Have Total investment value 25 kEUR.