The Power of Time Valued Wealth

August 2026 was a return to form. Thank God, we held and survived the South Korean tech meltdown. Our portfolio went through the wringer from June 29 through July 29. In fairness, I have to blame our over 60 percent investment in the tech sector. Yeah, I know I have to pull back. The last 90 days felt like we were taking the Spartan Race gauntlet route. The Cocaine Bull and Meth Bear Economy are back (simultaneously). Every day is a new chapter of the good and the bad. In either case, this scenario is showing no mercy to consumers. The only ones making it out beyond 2028 will be the investors. It’s not all doom and gloom. Based on my calculations, we are in for a great year in 2027. However, the less said about 2028, the better.

To kick off the month, my wife and I went to the movie to donate to the Tom Holland and Zendaya trust funds. While the movie was solid, we learned a few things. Some local restaurants are either closed or closing. The culinary quality has tanked, and yet the prices stayed elevated. DC dining options aren’t what they were pre-COVID. Additionally, we spent $30 on two canned drinks. Yep, $30 for a can of Blood Orange and a 196 lemon vodka seltzer. We won’t be back until December for the Avengers. I guess the movie theater experience is now a twice-a-year adventure for me. It’s the principle of it all.

As a consumer, sometimes you’ve got to say “Nah.” In the end, the money was spent, but the lesson was learned. This is not the time to get cute with micro expenses. Households are hemorrhaging money left and right even with inflation coming in 0.1 percent cooler than July 2026. But not enough…

Any good news?

A year later, Mrs. TNFG hates her job again. Alas, it’s part of her journey toward work-life balance. Or more precisely, that it doesn’t exist and the best way to cope is acceptance. With four more months left, the rest of the year is all about health and wellness. Time to level up and slim down before Peru and Colombia.

August Flashback: We were featured in a new Business Insider article titled “The Millionaires Next Door,” written by Noah Sheidlower. Check it out and let me know what you think.

Financial Freedom Measured in a Fourteen-Year Window

For context, let’s go back in time.

My Wife and I started this journey with a combined six-figure debt. We hit absolute zero net worth in January 2018. It was a break-even point when our Assets matched our Liabilities. At the start of the pandemic, our net worth plunged by $50,000 (March 2020). Unlike the naysayers, we stayed the course. By April 2021, our wealth had skyrocketed to $500,000. This led to a feature on Business Insider. Three years later, we hit over $1 million (August 2023). And now, we are up to $2.50 million.

A mere 40 percent away from a $2.5 million investment portfolio. The old FU ratio, where our 5 percent withdrawal would equal $125,000. I can already feel the difference at work. I’m no longer in the pursuit of a promotion (after being denied twice), so I’m just here giving a solid 80 percent performance. Just enough to be more serviceable than most, but not enough to be depended on for leadership. It’s a sweet spot.

These numbers aren’t shared to show off; this is proof that wealth compounds. The wealth journey starts slowly. After that, you are hit with challenges and decisions daily. Each good decision takes you closer to the goal. Each bad decision puts you three steps away. In the end, you are buying back time.

“We are far from where we started.”

A very long way from counting every dollar of the $1k per month I was making, and stretching it to cover bills and pay off debts (March 2012). Growing up poor is a traumatic experience. However, you can’t let it kill your willpower. It happens time and time again. You aren’t the first nor the last person to struggle with this.

The things that helped:

• Free financial apps like Empower (formerly Personal Capital)
• Podcasts: The Money Guy Show with Bryan and Bo, Journey to Launch with Jamilla Souffrant, and Marriage, Kids and Money with Andy Hill
• Strategies: the Financial Order of Operations, and the Net Max Financial Plan

Your life can change drastically. If you are struggling right now, it doesn’t mean you will struggle forever. Become the main character of your story, and learn to add more value to your time.

And learn to avoid future mistakes. Most people fall for the comfort trap. They assume that good times will continue. Be different; assume that your current job can fire you in six months or less. Are you ready to be unemployed? Do you have enough saved up? Can you rough it out for up to a year? And are you willing to make radical changes to your lifestyle, i.e., move to a new city, move back with your parents, and take a job that you consider less than what you aim for?

Sadly, most people don’t think about it. As such, they get caught with their financial pants down when a crisis comes.

Medical Issues, Flat Tires on a Highway, and High Prices Couldn’t Stop Us

I guess it’s an August thing; the month of challenges in a year of micro challenges.

The U.S. is seeing late-summer price spikes and massive unemployment data revisions. The crisis with Iran and other geopolitical turmoil aren’t helping. Last year, President Trump fired Erika McEntarfer, the Commissioner of the Bureau of Labor Statistics (BLS), and now he is battling our closest ally, Canada. It took a year, but Trump nominated Dr. Brett Matsumoto as the next commissioner. We are living in the worst timeline of this multiverse. The best we can do is wait until he renames the planet “Big America.”

The Fed Reserve is setting up for the next rate hike. Investors heard what they wanted to hear; the market buckled and then stabilized. None of this makes any sense anymore. NVIDIA dropped a great quarterly earnings report and carried the market to a solid close. Haters don’t want us to be great, but SpaceX is quietly rebounding. Sometimes you have to win quietly.

All this while, my wife and I caught a flat on the way back up to DC. The long drives aren’t too bad (to Florida) since our daily commute is on the metro, but this one was a challenge. Getting stuck north of Raleigh wasn’t fun under the brutal heat, but we pulled through. This brings our incidental spending for the year to a crisp $4,000. The unexpected happens; we pivoted and adapted. My wife ended up working remotely from a library. I was so fortunately left outside to take care of the dog.

High prices outside mean more opportunities to focus on health and wellness inside. You don’t need more money to start building better habits. Check out TNFG’s Top 3 Best SMART+Er Goal books for inspiration.

Don’t let disaster strike again without a response. Cut back on unnecessary expenses and double down on getting an emergency savings plan. You deserve more than to struggle.

There’s a lot of Shenanigans. However, Are You New to TNFG?

If you are new to my content, this blog post showcases the TNFG monthly Net Worth Breakdown for August 2026. There are always usable financial nuggets and aha moments that might help you along the way. I’m likely the most transparent financial literacy person (influencer of 3) on social media.

Check out how our wealth (Assets minus Liabilities) has been growing since January 1, 2026 (below):

A Million and One Limiting Beliefs in August 2026

“The Man who says he can, and the man who says he can not… Are both correct?” Confucius

He said this over 2,000 years ago. There is truly nothing new under the sun; the rest is merely acceptance. You don’t have to be the strongest, fastest, or most creative. You have to be willing to put in the work. Most people obsess about other people. Overly concerned with what they don’t have while neglecting what they do have.

Life is unfair and unbalanced.

Even though the game is unfair, there are always rules. If there are rules, there is always a trick to the game. My wife and I learned that hard and challenging times are par for the course. They will happen. To mitigate them, you have to start being vigilant and work towards better outcomes today.

You will have to challenge yourself to overcome Limiting Beliefs to change your trajectory. You do that by studying how money works. Here’s a great video on how to double your money:

Going Backwards into Short-Term Debt-Free Territory

We were hit with a $500 rental property fix. On another note, I found out that since 2016, we have spent nearly $50,000 on Amazon deliveries. Have you ever done a review of your purchases?

If $500 per month was invested in Amazon $AMZN or $VOO for the same period, I would have? Under the Amazon scenario, our wealth would have grown by +$150,000. While the Vanguard Total Stock Market ETF approach would be up +125,000. Either way, that’s a wealth differential of +$100,000.

It makes you think. And no, I don’t expect you to stop spending money on Amazon. I’m pointing out the little costs that add up. I’m sure that at least $5,000 to $10,000 was frivolous spending.

Our Investment Portfolio is Up!

As you can see above, our household portfolio dropped twice this year. The first time in March and again in August. But at least we are beating the general S&P. It’s been a drag, but this is where winners buckle down and level up.

To think, I started with a $500 rollover into my 401k in 2014 when I got to DC. Last year, we hit $1M (May 2025), and now our portfolio is north of $1.7M; the net/max financial plan and our strategy are still the same (see breakdown below):

1. Investing to match in the 401(k),
2. Paid down credit card debt aggressively,
3. Increase our 401k contributions until max (i.e. limit $24.5k per person for 2026),
4. Started to invest in a Traditional IRA (i.e., limit $7.5k per person for 2026) and a Health Savings Account (i.e., limit $4.4k per person for 2026),
5. Get more money back during tax season,
6. Nab some dividends if available, and
7. Reinvest whenever possible.

Intentional Living – Investing while Paying Off Debt in 2026

	Tax Deferred or Tax-Free		Matching Contribution	Total
His and Hers 401ks	Tax Deferred	$49,000	$11,000	$60,000
His and Hers ROTH IRAs	Tax-Free	$15,000		$15,000
His and Hers Health Savings Account	*Tax-Free	$1,000	**$1,000	$2,000
After-Tax Brokerages M1 Finance	Taxable	$14,000		$14,000
Total Investment Contributions				$91,000

Dwindling Wealth. Here’s the market screenshot so far (below)

More Winners than Losers (for now?). Keep buying low and #HODL (Hold for Dear Life):

Investing Goal remaining from September to December 2026

Since we are investing while paying off debt, it’s a long way to Victory, but it’s been rewarding. The goal by the end of this year is to secure approximately $80,000 in investment contributions. We are investing a significant amount, primarily because it reduces our tax liability for the year.

My wife and I aren’t skipping on fun. We have a few trips coming up from Peru/Colombia in October, South Carolina/Florida in November, and a trip back to Brazil in February 2027. We are opting to use our dollars differently.

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Here’s the Monthly Wealth Summary:

There was a moment when I thought we were going to close at $3,000,000. And then, the market started to hate on tech stocks. August was a big win (+$162,598) to counter the massive losses in July (-$227,804.30). We saw a total wealth increase of 6.55% or $164,523.

Our home equity declined a bit. I still think we have more of a desirability crisis versus a true affordability crisis in the US. People are still fighting; there are more benefits to owning your home vs. Renting. Especially with rent going up at least 40% since 2019.

The financial nerds hint at the S&P recapturing an extra +5% toward year-end. No matter what happens next, you need a great financial plan that helps you build generational wealth.

What’s working toward wealth creation and what’s working against it?

Prices are going up just about everywhere.

After all the Federal Reserve rate hikes, inflation is slowing down. It took a while. Why? Turns out Americans are spending a lot. This is becoming a game of attrition.

On average, my household spends $7,250 monthly (up $1,250 from last year’s average). But this was a bit higher since we prepaid for travel. Most of these dollars go toward housing costs, travel, car expenses, and food. Money is flowing in and out of our hands. We have $3,000 of mandatory debt repayments (two mortgages and one auto loan). Where most people mess up is adding more liabilities on a whim. The worst are the types of liabilities that add more recurring liabilities.

My wife and I will have to pay off the car loan ($25,000) and rental mortgage ($35,000) before considering a new home. If we are lucky, we can sell the primary and pay off $160,000 in liabilities in one go. Here’s hoping I can take out the second car insurance since my mom said she isn’t using the car. However, she thinks I should buy her a new car. I don’t want to, so I’m dodging her. Hey, you can’t help everyone all the time while you are trying to rebuild your emergency stash.

The power of “No” is real and necessary.

Takeaways for August and the journey to time wealth

Growing up is hard. Let your destination match your mindset.

While it might sound mean, in truth, we will all have to grow up one day. Make today the day when you start to believe in yourself, your family, and your trajectory. For better or for worse, you have to act because the world is a stage.

What are our next wealth-building steps to close out the year?

Travel is our drug of choice.

Beyond that, here are our overarching goals for 2026:

1. Keeping our expenses where they should be. All about “Not equating happiness and social acceptance based on the money you spend.“
2. Add $14,000 in M1 Finance, focusing on Growth and Passive Income that generates at least $5,000 in dividends in 2027. Check out the portfolio in real-time. If you like the platform and want to start investing, I have the $ 10-for-$10 referral if you need it. *Terms apply – https://m1.finance/SYdqDJ2SyADC.
3. Shooting for a sustained investment rate with the push for a $2.5M Portfolio (by YE 2027). To help monitor your savings, cash flow, net worth, investments, retirement, and more, FREE with Personal Capital! Sign up with my link & get a $20 Amazon gift card. *Terms apply. https://pcap.rocks/lawrencegonz

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