My goals review for 2015


Have been spending some time think about this as I have set personal goals last year which have been reasonably successful. Those based on exercise and travel have not done so well, maybe because I havent had that much free time to invest in this and my focus has ended up on saving and finding a job after the turmoil of the past 8 months of the year.

I have been reading a few blogs, the one that has really taken my interest over the new year period has been MoneyStepper, (thanks Weenie!) this site has been quite interesting reading and the 2015 challenge spreadsheet is something I have downloaded and I am filling in. I have not entered the challenge but will fill this in offline and track my progress through the year. Doing this has made me thing about my financial goals for this year. Based on the information entered for Jan so far, I am running on a 60% savings rate – which is really good and one I want to keep up throughout the year.

My goals this year will include – increasing my net worth and increasing/maintaining a minimum of 60% savings rate.

I changed my investment strategy from active to passive funds during the last year and as a consequence I have seen my income gains (dividends reinvestment) drop as the passive funds are trackers so with the bad market conditions I have actually lost money over the months in which I have been investing. I have been tracking my passive income as well as my savings rate and this has increased nicely this year. Under my passive income tracking, my move on the ISA front has meant that my ISA income has dropped so combined with the poor cash performance, my ISA passive income has dropped a whopping -65%!

I do wonder if any of these trackers will pick up this year as the outlook for the UK index still sounds grim. If this is the case then I will not see any capital growth in the index prices and will continue to only see gains from my active dividend/income funds. The NISA passive income will continue to take a hit and I have been concentrating on this as an ultimate income source so I could give up working full-time. The moment all my NISA income is being re-invested but I can request that this is changed to a payout so I would then get an income stream from my NISA holdings.

My non-NISA dividend income has grown really well over the past year as I have been purchasing income shares and the corresponding dividends have been reinvested when they have reached a sizable re-investment value to make the investment costs worthy.

A lot of these non-ISA shares are from sharesaves when I worked for an old employer. I hold quite a lot of shares from this employer and they have done really well this year, even issuing special dividends.

My non-ISA dividend income has increase 145% between 2013 and 2014 – That can’t continue?

My cash savings has dropped 20% between 2013 and 2014 – which shows that money needs to be placed somewhere else to have any chance of keeping any pace with inflation.

Well I will work on drawing up some more goals and post a summary for the year ahead.


2 thoughts on “My goals review for 2015

  1. Hey, you may as well enter the Moneystepper Challenge – no need to send him actual figures, just what your target savings rate will be and net wealth increase, ie percentages and that’s all that will get publicised!

    As for the downturn in your income since switching to trackers, I think you mentioned that you were heavily weighted with UK trackers and of course, the FTSE 100 did quite badly in 2014. With no guarantee that it will bounce back in 2015, perhaps it’s time you did check out the Tim Hale book and look about switching some of your allocations so you are not too exposed to the UK fluctuations?

    My investment portfolio is 80% trackers and I saw an average gain of 4% by the end of 2014. Funnily enough, the biggest increase were in my bond trackers but I don’t have much in these.

    Good luck with 2015!

    • Hi Weenie,
      Happy new year. I am filling in the MoneyStepper sheet and not looking too bad based on my expensive month – so far my SR is 41% for Jan. Yes, I am moving my investment money around to increase exposure to non-UK funds to balance my opportunities this year.
      I have been predominantly tracking my passive income through last year, which means that this has reduced as I moved out of reinvested income funds onto index trackers. My index trackers have increased over the year but this is only reflected in my net worth which is up over the year too. So things are not too bad, it just doesn’t show in my passive income figures which is the area I have been concentrating on over the past year as I have been using this as an indicator of when I can give up the day job.
      Good luck – will read your blog with interest over the year.

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