Even though our spending went way up in 2016, our income did, too, and our overall cash net worth increased by $47,000 or 32%.
Where did those gains come from? The vast majority of it was in our retirement accounts.
We contributed just under $17,000 to our accounts (includes pre-tax and Roth IRAs) and our employers matched almost $4,000. And we had nearly $25,000 in market gains. So more than half of our growth happened because of retirement savings that we did prior to 2016. That's pretty cool!
Next year, we are set up to max out my 403(b) as well as our Roth and an HSA (total savings of around $35,000). We've never attempted to match a pre-tax account before so we'll see how that goes. I'm a bit nervous to see how much of a bite it takes out of my paycheck but we've run the numbers and it looks like we should be fine. And it will be very exciting to see the numbers grow! I just hope that it's another good year for the market.