Income and Expenses, Savings Rate for Q2 2015

July is already halfway through and the first half of the year is already history. The first half-year was on a personal level as expected, and the financial situation occurred any surprises. So now is the time to look at how I managed during the second quarter, and how my journey towards financial independence is progressing. As I mentioned in my first income / expenditure report, I will make a summary on a quarterly basis, because my months in the case of income are very different. This will give me a better view of the overall situation and hopefully will inspire some of my blog readers.

Here are my numbers for Q2:

All revenues are reported net of taxes.

During the second quarter of the wage income was very good. I get paid every two weeks, in April this year hit a three salary payment days, in addition April and June, both month includes extra earnings of two weekends which I was working. Because of those things wage income in April and June are higher than normal. Expenditure in April was slightly higher than average, due to my short vacation on Easter in Central Europe.  

My goal is to save about half of my wage income and invest those wisely. In the second quarter I was able to save more than half mainly due to reasons of higher wage income, my saving rate of wage income was 60.32%. When I take into account also the dividend income, my savings rate rises to 73.80%.

One thing that I will follow with great interest is the dividend income and expenditure ratio, because it is the most important thing on my way towards to the financial independence. 

The second quarter was great for me, my dividend income covered all my expenses. On the whole, I am very pleased with my achievement in the second quarter.

Let's take a look how was my first half of year:

  

My expenses were an average of 1220 Euros and my salary was an average 2570 Euros per month. As you can see, during the first part of year, I was able to save more than half of my wage income, precisely 52.62%. Of the total income my savings rate in the first half of the year was 66.14%

Thanks to the excellent second quarter, over 80 percent of my expenses I was able to cover with the dividend income during the first half of the year.

I look forward to what the next quarter will look like. Dividend income will probably be higher than in the first quarter. (Extraordinary Kraft dividend) Wage income likely to be close to normal (2k EUR per month) and expenditure hopefully a little less than at the beginning of the year, although the vacation (5 weeks) is usually a period when money is spent more as at other times.

Thanks for stopping by! 

Photo Credit: Stuart Miles/FreeDigitalPhotos.net