Your “net worth” is the sum total of all of your assets minus all of your liabilities. All you need to do to figure your net worth is to add up all of your assets and subtract all of your liabilities, and boom! There’s your worth, er, huh, net worth.
In the 52 Weeks To Prosperous Living program, we’ve given you a guidance sheet to figure your net worth, but if you aren’t subscribed to our free program, here’s a list of assets that could be included in your personal balance sheet. I’ve also included a list of liabilities that could be used to figure your net worth:
Most people will want to improve their net worth each year into retirement, and then spend down from there. To do so will require some discipline. You may need to cut spending or find a way to increase income. More income or lower expenses , and better, safer investment returns are your only ways to really increase your net worth.
After developing your net worth worksheet, you’ll be well on your way to your financial goals. I hope you reach them!!!