I finished doing the prep work for my US taxes, but as I will owe a small amount ($255) I am in no hurry to file early, so I’ll probably file sometime in March or April. Once again, I Roth-converted slightly too much which is what triggered my tax liability. I’m not letting it bother me though because I’m averaging a 1.38% tax rate on my Roth conversions so far, and once it’s converted all future growth will be tax-free (as far as the US is concerned). I also got a 25-30% tax deduction at the time when I contributed, so I’m still coming out way ahead.
I hit a new net worth high point, although I suspect it’s temporary due to a good month in the market. I’m still waiting for the yen to hopefully recover somewhawt against USD so that I can convert my yen holdings in order to invest again. I wish I were able to invest locally, but because of FATCA regulations and PFIC rules it’s all but impossible for US persons to invest outside of the US. Unfortunately, this probably will not change anytime soon.
Here’s a summary of my financial position at this point:
| Description | 01/23 |
|---|---|
| Total Expenses | $3,065.90 |
| Gross Income | $7,258.16 |
| Taxes | $1,563.25 |
| Net Income | $5,694.91 |
| Savings | $2,629.01 |
| Savings Rate | 46.16% |
| Net Worth | $434,779.42 |
Projected time to FI (assuming 6% growth and 4% withdrawal rate): 5 years, 4 months.