The KTX train has just left Seoul, and my seat in car #5 is a good place from which to contemplate the year thus far. The weeks of 2026 have been flying by like the concrete and steel buildings outside my window – stop paying attention for a few seconds, and they are gone, only to be replaced by similar, but not identical, average buildings of everyday life. Occasionally, fleeting glimpses of beauty appear as the bucolic countryside briskly passes by, but these scenes vanish far too soon, leaving the viewer with a hint of melancholy at what has been lost.
We naturally focus our attention on the momentary brushes of splendor, while the overwhelming majority of the ordinary lies all around us, unnoticed. Yet I try to appreciate, or at least acknowledge, the comfort and security of the architecture underpinning our lives – not to take the solid ground I’m standing on for granted while I look to the heavens.
I want to update you, my dear reader, on the mundane and magical moments of my life. And so, this written offering will include both:
- My Debt
- My Kid’s Investments
- My DAF
- My Asset Allocation
- My Summer Plans
Paying Off Debt
I wrote about reducing my debt in March of 2025 in the article “I Have Millions of Dollars of Debt,” which outlined my remaining real estate liabilities and how I planned to pay them down as I approached retirement. At that time, my total debt (normalized to a net worth of $10 million) was a nauseating $3,326,656! This was all real estate-related debt, and I updated these numbers in January 2026, showing that I had paid down my debt by 11.8%, to $2,935,178. Again, these numbers are relative to a net worth of 10M.
Paying 12% off in a year sounds great, but it also made me realize how long it would take. Since that time, I have increased my efforts, so I figured it was time for another update. When I can see progress, it motivates me to work harder!
March 2025
June 2026
I have reduced the original debt by another 17.9%, bringing the total debt reduction down to 29.7%! With nearly a third of the debt gone in 15 months, especially without selling any of the properties, I feel much better about paying it down by retirement.
Let’s be clear. I still owe an enormous amount of money, but relative to my net worth and cash flow, it isn’t that bad. I plan to work for the next several years and continue paying down the debt aggressively. I’ll keep you updated.
My Children’s Stock Portfolio
In May 2022, I bought $10,000 worth of stock for each of my three children. I received this money from my mother’s life insurance policy when she died the year before. To teach them about investing, I let each child choose a company, and I purchased roughly 25% of that individual stock and 75% of the total stock market index (VTI). I first wrote about this endeavor and updated their results in January 2025, with A Grandmother’s Final Gift. It’s been nearly 16 months since that article, so here is an update on their performance.
As you can see from the spreadsheet above, each of my children has done well. Tesla is up 55%, Amazon 105%, and Google an incredible 221%. Their individual stock choices have increased in value by an average of 127%. By comparison, the broader US market, represented by VTI, is up 74%. Maybe I should let my kids start picking stocks in my account!
When I told them how much their stock portfolio had risen, they were excited for a few minutes, and we had a nice discussion about stocks and finances. Then they went back to whatever it was they were doing. At least it sparked a brief interest.
When I had them initially pick their companies, the mandate was that they keep the stocks for at least 5 years. I’m trying to teach them to invest and not trade. Since we haven’t reached that time threshold yet, we’ll just hold on and see what happens.
Donor Advised Fund & Charitable Contributions
In the article “Putting My Money Where My Charitable Mouth Is,” I outlined my $231,044 contribution to a DAF I set up with Daffy.org in 2025. This contribution was extremely tax-efficient, since I donated appreciated stock.
I made my first few charitable donations through the DAF earlier this year. It took just a few seconds to look up the charity of my choice and request the donation. Ultimately, it is Daffy, as the custodian, who approves the donation. But each time, the decision to honor my request was made within seconds. I had the option to remain anonymous, and the money was sent to the charity by check, arriving within one week. The whole process was simple and fast.
The money I contributed last year has been invested in the stock market inside the DAF, and despite giving away $17,200 so far this year, my balance has actually increased!
I donated 7.4% of the opening balance, yet still have a balance 2.8% higher. This is exactly what I had hoped for. I plan to contribute additional appreciated stocks later this year, although the 2026 tax changes I outlined in my DAF article will make these donations less valuable from a tax perspective. Regardless, every contribution and investment growth is putting me further along the path towards my ultimate charity goals.
Asset Allocation
I first published my asset allocation in January 2024 and last updated it in September 2025. My concern in ‘24 was that I was overweight in real estate and cash and underweight in securities (stocks/bonds). My original target asset allocation was 50% securities, 20% real estate, 20% business value, 5% cash, and 5% other. I have been working over the last 2.5 years to approach this target.
My net worth has increased in the last nine months, but how has my asset allocation changed? Here it is as of 6-20-26.
Here are the trends since my original post.
I haven’t bought or sold any real estate during this period, but my net worth has grown, so the percentage of my net worth in real estate should have gone down. However, I have been aggressively paying down my primary mortgage and two of the rental property mortgages as I discussed above, which has increased my equity and kept the percentage stable.
I have managed to increase my allocation of stocks/bonds during the past 2.5 years from 21.8% to 30.72%. This change has been offset by a substantial decrease in my business percentage, due to the sale of one business and a markdown of my assessed value for another.
In my original post, 10.3% of my assets were in cash; two and a half years later, it’s nearly 10.9%. While I was able to get it down to 7% briefly, for some reason, I can’t seem to stop accumulating cash! While that’s a good problem to have, it still produces a suboptimal portfolio.
These certainly aren’t earth-shattering changes, and they aren’t all in the direction I want. But you can’t turn a cruise ship on a dime, so I’ll continue to be patient and work towards my target allocation.
Summer Fun
As you probably gleaned from the intro, I’m currently in South Korea with my family. They spent two weeks in Hawaii while I was working, and now we will spend ten days here and twenty in Thailand. I will then fly back to Texas to work again, but I will end the summer back on Oahu with my family.
The goal of buying a vacation home in Hawaii was to establish roots, to accumulate memories, and to build friendships that will last my children’s lifetimes. It was, perhaps, an unusual goal for my wife and me, considering how much we love to travel and explore new places. However, returning to the same place over and over again has given our family a familiarity with Kailua that has only enhanced our experiences. For instance, my kids just attended a sleep-away camp for the second straight year, continuing some friendships and making new ones.
Yet, the call of the wider world has not gone unfulfilled. Two years ago, it was Portugal and Germany; last summer, Japan; and we have obviously returned to Asia this year. Our summer fun is a microcosm of life- while we build our well-established roots in Hawaii, we take time to explore the magic of new experiences.
Conclusion
The first four items in this mid-year update are the boring, structural components; not flashy, but foundational. The roots in the soil that silently support my comfortable financial life. The final item represents the payoff: a flower, fully bloomed, that easily draws the eye, yet is the result of unseen years of persistent, unglamorous cultivation.
How has your year been so far? Let me know in the comments below, and consider subscribing to the blog. If you’re just starting out, focus on the foundational elements of your financial life that may seem boring, but will ultimately support the beautiful moments when they arise. I hope that the second half of 2026 is full of joy and wonder for you and your family.