Chuffed2Bits Income

Expected Annual Income

Our expected net annual income is about £56,979.36.

(£4,615.28 + £133) * 12 months = £56,979.36

Income Sources

My income is a combination of dividend and salary taken from my IT consulting business totalling about £4,075 monthly. I also have to account for future tax liability of roughly £3,000 per annum or £250 a month. £4,075 less £250 of tax liability is around £3,825 net monthly income.

Income from the UK

Mr. Chuffed2BitsMrs. Chuffed2Bits
Dividends (from Business)£3,125.00£0.00
Salary£950.00£790.28
Tax Liability -£250.00
Total£3,825.00£790.28
Combined Monthly Income£4,615.28

Mrs. Chuffed2Bits’ post-tax income is about £790.28 from her part time job. Rental properties in the Philippines under her management are netting roughly P9,000 monthly. This is around £133 a month in passive income with the current exchange rate of P67.50 to £1.00.

Income from the Philippines

Mr. Chuffed2BitsMrs. Chuffed2Bits
Rental Properties₱ 0.00 ₱ 9,000.00

I’m not counting dividends from our stock portfolio for time being as dividends received will be re-invested and should be reflected in the total portfolio value.

So there we have it! That’s all our income sources accounted for.

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Chuffed2Bits Net Worth £249,296.87

Net Worth is what you own minus what you owe.

What you own (assets)

  • Properties or Real Estate (house, rental properties, farm land, lot)
  • Jewelries
  • Stocks, Bonds, ETF, Mutual Funds and Trust Funds (based on mark-to-market valuation)
  • Business (based on valuation)
  • Vehicles (Cars, motorbikes)
  • Cash
  • Artwork
  • P2P lending account
  • Business / Start-up Investments (based on market value)

What you owe (liabilities)

  • Mortgage
  • Loans
  • Credit Card Debt
  • Student Loan
  • Bank Overdraft

I’ve done my best to estimate our net worth as of 03 May 2019. Here is the number £249,296.87

I’ve ignored electronics, furniture and jewelries. I have also excluded my business’ liquidation value (I’m 100% shareholder). There’s roughly
£242,886.17 cash and equivalents in my IT consulting business.

Net Worth

The Journey Begins

Who is Chuffed2Bits?

I am in my mid 30s originally from the Philippines, currently residing in London, UK. I am a software engineer. I have been in this industry for over 12 years now. The first 7 years as a permanent employee and the last 5 years as a contractor. My wife is a home-based part time freelance admin. We have one child, he is about 9 yrs of age.  

I am not revealing my identity yet as I don’t want my family, relatives, friends and co-workers to know about my plan to F.I.R.E myself (financial independence retire early). It will definitely raise some eyebrows when they find out. It’s not the norm – go to school, get a decent degree, find a good job and retire at 67. Sod that! I can’t imagine another 30 years of my life stuck in a cubicle. I’m not built for that, I never was. 

Most FIRE blogs I read are US and UK based. I may be the first UK-based Filipino FIRE blogger, so if there are others, please do let me know 🙂

I created this blog as way for us to keep track of our finances and set realistic and achievable financial goals that will hopefully lead us to our ultimate goal – simple and sustainable lifestyle and more time with my family without worrying about money. 

My journey to FI begins!