My First "Real" Net Worth Update (and Stock Sale!)

I had a few personal finance firsts this week.

First, my net worth update. I'm at $40,688 right now, which is probably a bit inflated because I have $1500 worth of bills (most of it is my rent) being paid tomorrow, but it sure does feel good to see a number over that magical 40 mark, if only for now. I'm also realizing that as long as I stay consistent, always doing these updates on the last day of the month, that slight inflation won't matter. I'm really looking to track month-to-month change, not the actual numbers and my bills tend to be due around the same time every month, so as time goes on, my method will still give me a good idea of how I'm doing.

Second, it was my first time actually losing money in the market. That's right... from 10% up at the beginning of the week, I am now actually slightly below my initial investment. I made a deal with myself that this was money I could "afford to lose" (since it's retirement money and I'm still a long ways away from retirement), but it's still a little disheartening. I'm still sitting tight and waiting for the recovery, but it doesn't feel so great to look at all that red.

On the bright side, my company's stock actually skyrocketed through the slump. Since the price was good and I'm going to be way overvalued in my company's stock if I hold on to everything, I decided to sell. I made some money on the deal, but this also means that 2006 was my last year of simple taxes. Come next April, I'll be learning all about short and long term capital gains whether I like it or not.