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I have been on a debt payoff journey for six months, and at times it gets frustrating. Sometimes I feel that I am not making enough progress. But there are moments when I feel like I am going at a great pace.
I have been looking for a way to track my savings and debt payoff progress and recently learned about tracking your net worth. This gave me the idea to create a tracker that can be used to track your net worth each month. I want to share the Net Worth Trackers with you as a freebie and tell you how to track your net worth!
To get your Net Worth Savings Challenge, click the link below to begin the download!
Net Worth TrackerWhat Is Net Worth?
Net worth is the total value of an individual’s assets minus their liabilities. It represents the amount of money someone would have if they sold all their assets and paid off all their debts.
- Assets = resources or property that have value that you own. Examples of assets include land, buildings, money, stocks, patents, and intellectual property.
- Liabilities = financial obligations or debts that a person owes to others. Examples include debts, loans, accounts payable, and taxes owed.
Why is Net Worth Important?
Net worth is important because it provides a snapshot of a person’s financial health by subtracting their liabilities from their assets. It can help you with financial planning, goal setting, and making informed decisions about investments, debt management, and saving for retirement.
How to Calculate Your Net Worth
To calculate your net worth, you need to add up all of your assets (such as cash, investments, and property) and then subtract your liabilities (such as mortgage, loans, and credit card debt). The resulting number is your net worth.
Net Worth = Assets – Liabilities You can use a spreadsheet or online tools to track changes over time and set financial goals. Regularly reviewing your net worth can help you make informed financial decisions.
How Often Should You Track Your Net Worth?
This will depend on your financial situation and how often you think that you should track your net worth. I have been tracking my net worth monthly because I am paying off debt and saving money. If there are no changes in your assets and liabilities, then you may not need to track your net worth as often as I do. Or you may want to track your net worth more often than me.
Free Net Worth Trackers
To help you calculate and track your net worth I created two net worth trackers. They can be used to track your monthly and annual net worth.
To get your Free New Worth Trackers, Click the link below to begin the download:
Net Worth TrackerPlease feel free to check out the free budgeting resource library that has all a bunch of budgeting trackers to help you transform your finances: Free Budgeting Resource Library.
It’s Time to Get Financially Fit!
Now that you know what net worth is, how to calculate your net worth, and how often you can track your net worth, it’s time to get financially fit! This means transforming your finances so that you can reach your goals. To get to a place where you are no longer worried or stressed about money.
I hope the net worth trackers make it easier for you to review your financial situation and make any changes that you need to improve your finances. Please share this post with someone who is eager to get financially fit! Don’t forget to connect with me on social media: @thesavingbutterfly
