Here's my result for the one week challenge I created for myself:
1. To bike 100 miles. My result is 49 miles.
2. To spend $100 on gas and grocery and zero for my lunch. My result is $53.76 on gas, $41 on grocery and $2.09 on lunch. Total $97.
3. To invest $1,400 on stocks. My result $1,727.
4. To spend more time with Paige and spend less time with friends going out.
For my first challenge my result was disappointing because I only logged in 49miles last week, thats 51 miles short. I need to ride my bike more often to save money on gas and for my cardio workout. Here's my week recap:
I logged in 20 miles of biking from home to work and back. Worked my 12 hour shift
I was ready to bike 20 miles but wife wasn't feeling well so I had to drop off my daughter to school, I had no choice but to drive my daughter to school then go straight to work. I did 30 mins of insanity instead for my cardio, I felt its a wasted opportunity to save money on gas every time I had to drive to work but its all good, family comes first. Worked my 12 hour shift.
I had to drop Paige to school again so no bike for me. We played 2 hours of basketball with co-workers right before work. Worked 12 hour shift.
Wife's car battery is dead. We had to carpool and nobody is stopping me to bike that day. I load up my bike on the car and on right after exiting to the freeway to her job I rode my bike to work for 5 miles. It was short than I am used to,didn't even break a sweat as I wasn't prepared for this route for this is the first time Im using this route.
During my break I purchased 5 shares of IBM for $921 and 20 shares of Microsoft for $806.
I feel like Im low on tech stocks on my portfolio and in need to diversify on tech industry. Personally I use Apple products but as an investor seeking for dividends, APPL has a very short history of paying their stockholders dividends. Im still open to buy APPL in a few years time when I see that they are rewarding their shareholders but for the meantime I like MSFT and IBM. Both have a good history of paying dividends to shareholders. Here are their basic infos:
As of: May 29, 2014
Price is: $182
Yield: $4.40 (2.4%)
10 year eps growth rate: 11.7%
10 year dividend growth rate: 14.8%
S&P fair value: $246.90
DDM: $242 (on 10% growth rate), $159 (on 9% growth rate)
As of May 29, 2014 price is $39.96
Yield: 1.12 (2.79%)
10 year eps growth rate: 13.5%
10 year dividend growth rate: 18.7%
S&P fair value: $43.50
DDM: $39.95 (ON 7% GROWTH RATE), $60 (ON 8% GROWTH RATE)
Microsoft had a bull run in the past couple of years, I wish I started investing earlier on MSFT, my entry price for MSFT is $35 but it just won't hit 35 and I can't play the waiting game as I want to have a piece of MSFT.
For IBM, I already own 7 shares before, it went as high as $211 and I wanted to buy on weakness. I want it to go lower but again I can't play the waiting game for it to go down for I can't foretell the future. I kinda hesitated to buy stocks coz the S&P 500 hit an all time high but I have a goal to achieve not just short time but ultimately for my long term goal and hitting the all time high won't stop me from buying stocks. Both are components of the DOW JONES.
After an 8 hour shift from work I had to go straight to my daughters school to volunteer to set up for the upcoming fiesta. It was a nice 10+ mile ride (again its a new route for me so I didn't know how many miles exactly and I stopped using the gps on my phone to count how many miles I am logging in coz I memorize the miles my regular bike commute). I was trying to avoid the 7-11 but I was so thirsty, the school wasn't offering any water that time so I had to swipe my card for a $2.09 gallon of water. My goal was zero for my lunch baon as I bring my lunch regular but I had to gave up and buy something for myself. I had 3 hour volunteer work for school that day setting up for the fiesta.
break time under the shade
I woke up tired with the volunteering work but I still felt like I had to bike. My work is an 18 mile drive. I had to park the car at the bus station half way and bike for 7 miles to work, do an 8 hour shift then rode the bike for another 7 miles to the parking lot. I had to go home to pick my daughter so we can go to the fiesta, I volunteer from 5pm to 7:30 pm while I watched Paige play around her school with her friends.
Paige enjoying the giant slide at the fiesta
I drove halfway again to park the car then to ride the bike when I noticed my bike rear tire is flat! FML! Worked 8 hour shift.
Still no bike, worked another 8 hour shift then went to Ralphs for $41.
Today (Monday) I bought 2 inside tubes for my bike worth $18, sucks, as I hate spending money but its more of a necessity for me. All in all Im happy with the outcome of my one week goal and Im hoping to continue this trend on the months to come. As posted from the last week I spent so much money that I am not proud of, actually I feel bad and embarrass spending that much but we are striving for the better, to become a better person and parent. I will continue to challenge myself regularly to maximize my earnings and to minimize my expenses for I believe thats the key for my financial independence.