At the end of each month, I’d previously posted passive income & portfolio updates. I’ll continue to do this again soon. But some readers have also asked for details on income & expenses. This series will explore this area each month going forward.

In all posts, I do try to be as transparent possible; however, as a personal preference, I usually do not disclose every single detail or precise numbers. Where possible, for example, percentages are preferable; they help tell a theme or demonstrate correlations and/or cause & effects. Nonetheless, certain areas will still contain the exact details.

Income

My primary source of income comes from my day or 9-5 (more like 8-6) job. On the journey to averaging $1000 a month in passive income, the biggest factor is how much you save. Yes, time and returns play large parts, but how much you save carries the most weight.

Like most Americans, my primary income still comes from earned wages – not investment income. Overtime, like the rest of the US economy, this is gradually starting to change. Not only in terms of income bracket, but sources of income as well. In the long-term, turning that income into assets which can produce additional income is key.

This Month’s Results

Here is a breakdown of this month’s income. Figures are based on net (post-tax) income.

• 9-5 (8-6) Day Job = 88.32%
• Side Hustling = 6.56%
• Passive Income = 5.13%

Expenses

Perhaps not surprisingly, most Americans’ top 3 expenses are housing, transportation, and food. Focusing on these areas that carry the most weight, one could make a positive – or negative – impact on his or her expenses and ability to save.

This Month’s Results

Here is a breakdown of this month’s expenses:

• Housing / Utilities = 0%
• Groceries = 17.84%
• Healthcare = 29.21%
• Dining Out = 16.09%
• Gym / Personal Care = 12.73%
• Phone = 2.64%
• Household Items = 8.81%
• Pet Care = 5.33%
• Travel / Transit = 2.20%
• Clothing / Shoes = 5.15%

With my new apartment’s promotional offers, I enjoyed my second – and last – free month of rent. I did retain and invest most of the savings; however, some of the categories noted above were higher than usual due to moving related expenses. I plan to reduce a few select areas now that I’m in my new place and (almost) finished getting settled in.

The healthcare item will (hopefully) be much lower going forward as well. Overall, I managed to save and invest a decent portion of November’s income.

Savings / Investing Rate = 55%

I managed to save and/or invest approximately 55% of my net income this month; I’ve never reached this level before. Unfortunately, it will be difficult to maintain once rent comes due next month.

But the continued focus on side hustles and other passive income efforts will gradually contribute to an improved savings and investing rate. Clearly, lifestyle approach also plays a significant part.

Related: Side Hustling: The Fruition of (Potential) Frustration

Ways to Increase (or Decrease) Savings Capacity

We previously explored the 3 Balanced Dividends lifestyle approaches that can impact your ability to save and invest:

• (1) All-In Approach
• (2) Moderate Approach
• (3) Screw The World Approach

For a long time, I’d been in Moderate Approach, sometimes tipping into the Screw the World Approach. Now I’m focusing on the Moderate Approach but with certain days or periods of time reflecting the All-In Approach.

Selecting which lifestyle approach to consider is a personal choice. There is no best answer. With many things in life, you’ll likely fluctuate or modify as you learn and live.

Looking Back – and More Importantly – Ahead

The last few months have brought about a whirlwind of change. As things settle down, I’m excited to focus on things meaningful to me: relationships and well-being. Personal finance, as well as fitness, just provide the foundation.

Readers, how are you attempting to focus on what’s important to you? Do you believe increasing your income and/or reducing your expenses can lead to happiness in the other, more important areas of your life? What are your thoughts?

Related:

Backstreet Boys!? Pre-2019 Goals & Planning

Post-March Madness: 5 (Plus) Ways To Find Balance

Balanced Dividends Passive Income & Portfolio

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