I'm in a very high votility period in my finances right now. My software seems to be very pessimistic, but I believe it's making predictions on inaccurate information, and things aren't as gloomy as it forecasts.

The software is predicting that my cashflow oscillate around 0 (occasionally dipping into the negatives) indefinitely. Here's why I disagree with it:

• I bought prescription glasses during the end of November 2005 for about $365. The software, being pessimistic, thinks this might be part of a trend, and predicts that I will further spend $150 on eyecare every 2 years. I doubt it.
• The software predicts, based on my previous trend, that I will spend $55 per month on tech gadgets. I also doubt this. My tech gadget purchases were a splurge, and will not repeat. Except for that copy of Guitar Hero I recently bought.
• It's predicting my heating bill based on past trends of November, December and January. Those are cold months. I'm sure the rate will drop during the warmer months.
• It doesn't know about the raise I'm about to receive.

This graph is more depressing, because there is no prediction involved, so there is no optimism or pessimism. It's data about the past. Recall that October and November are trended downwards due to a large sum of money being lent out during that period. If you ignore those, and look up until December, it looked like my net worth was levelling out. Unfortunately, now that the January figures are in, it looks like my networth is actually decreasing. The drop from December to January is about $600. Basically, I gotta cut back on my spending.

I've gotten my investment set up. I've moved $1000 from my chequing account to an investment account, and I have a friend managing the investment account for me. He hasn't done anything with it yet though. I gotta bug him to do something.