![]() ![]() Start projecting and tracking your current and future net worth today with the NewRetirement Planner.ĭisclaimer: The content, calculators, and tools on are for informational and educational purposes You might not always like what you see, but you will be assured about where you stand and what you can do to improve your situation. But, it can also come from not knowing exactly what you have and the nagging doubts that it simply won’t be enough.īy tracking net worth, you are taking more control over your financial destiny. Sure, financial stress can be a matter of not having enough resources. Stress often comes from feeling that something is outside of your control. Less Stress and a Greater Sense of Control Put it in your calendar, on your to do list, or set reminders. Hint: Select a day of the week or month to track your net worth. ![]() When you track your net worth, you are giving attention to your financial life, which will help focus you on what really matters. It will also help you achieve the future you want. It is an easy task that will get you to think about your money and the decisions you are making today. Net worth tracking is an incredibly simple habit that will improve your financial health, now and in the future. It Is a Simple but Impactful HabitĮxercise is a habit that improves physical health. Hint: Save, invest and avoid high-cost liabilities. Tracking current net worth can help you move toward your long-term money goals faster by enabling better financial decision-making. What actions have or will increase your value over time. And, measuring net worth enables you to see what really matters. Net worth gives you a metric to improve over time. To achieve goals, you have to know where you are now and know where you want to be. If you can’t measure it, you can’t improve it. Track Your Net Worth to Make Better Financial Decisions to Achieve Your Goals Most importantly, you can assess if you are on track to achieving the life you want to live. (The NewRetirement Planner enables you to run scenarios and project your future financial health with almost any possibility you can imagine.) Projecting and tracking future net worth enables you to assess your future financial security under a variety of conditions. This enables you to project what happens if you keep doing exactly what you are doing? If you reduce expenses and save more? If inflation persists? If you buy a second home? If you retire early? Tracking future net worth requires that you make a financial plan. What do you want for your future finances? And, how are you going to get there? If current net worth is like how many push ups you can do, then your projected net worth is all of your possible health goals and a plan for achieving them. Tracking Your Future Net Worth Enables You to See Your Financial Trajectory It is akin to measuring how many push ups you can do as a measure of your physical health.Īnd, just as the number of push ups you can do is a reflection of your diet, hydration, physical fitness, heart health and more, net worth assesses everything related to your financial health, particularly the relationships between your income, spending, debts, and saving. Tracking today’s net worth is a simple way to assess your current financial health. Today’s Net Worth is an Important Indicator of Financial Health Consider your net worth at every year in between.Appraise your net worth at your longevity.Assess in which year you are wealthiest.The NewRetirement Planner will show you your current net worth as well as a reliable projection for your net worth in every future year. Calculating future net worth can be a little trickier, but it is arguably much more important. It also factors in your anticipated financial decisions (saving rates, new debts and additional investments) as well as appreciation, depreciation, inflation, and rates of return.Ĭurrent net worth is a simple formula. Your future net worth is a projection of your current and future assets and liabilities. However, your future net worth may be what’s really important. Most net worth apps focus on tracking current net worth. Your current net worth is everything you currently owe (all debts and liabilities, including your mortgage) subtracted from the value today of everything you own (assets, cars, homes, and investments). How to Measure Net Worthįirst, decide if you want to know about your financial situation today (current net worth) or, what you will have in the future (your net worth over time). So, tracking net worth is an easy way to assess your overall current and future financial well being. Your net worth (your assets minus your liabilities) is an important snapshot of your entire financial life. ![]()
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