What Is Your Net Worth?

March 8, 2018

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A recent study found that only 25% of young adults know what they're net worth is and that can lead to some financial troubles down the road.  Considering the majority of American have little to no savings it can be an eye-opener for older people too. Simply put, your net worth is is your value assets, such as money in the bank and valuable items you own such as a car or property, minus any debts such as loan repayments. It's important factor to know so you can prepare for unexpected lifestyle changes, such as losing a job, starting a family and even retirement.  If your net worth is a negative number, it should be an alert to make some changes and prioritize the reduction of debt.  Some suggestions include setting yourself an allowance for personal choices and once it's gone, you are done spending.  Although you make money with your job, your income is something you don't own, other than the income you keep, so prepare for the chance your income may go away even if it is highly unlikely.

SOURCE: Daily Mail

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