Net Worth 1st December 2017
Our 3 Point Plan is to Pay, Save & Invest
So where are we 1st December 2017:
Our net worth monthly tracker sheet allows us to see on the 1st of each month how we are doing:
1st November 2017: Our Assets minus Liabilities were £16560
At the 1st December 2017: Our assets minus liabilities now stand at £16949
An increase this month of + £389
The increase is due to a combination of paying down, saving more and some small investments. Small but regular payments towards our debt and investing seems to be working. Now we just have to continue building our online/passive income to continue this path.
I am using my Personal Earning Plan to build income for further investments. I am starting to produce a small weekly income from the Click/Casual/Survey Sites. Plan for Jan/Feb/Mar is to make £300 a month.
The mortgage rate increase and a loss of some income has meant that I have to put my head down and work a little harder in 2018 to plug the gap left in our budget.
Why I monitor our Net Worth?
I monitor our net worth for two reasons:
1, to ensure the plan we are following of paying, saving and investing is working and
2, when out and about it stops me from making unnecessary purchases. When I pick something up in a store I am thinking of buying the voice in my head says this wont help towards your net worth often that thought is enough to stop me making the purchase.
We will continue to monitor our net worth throughout the year.
Your Net Worth:
Interested in your own net worth simply take a two sheets of paper:
On the first one write the value of everything you own e.g. house, car, investments, savings, pension value etc.
On the second sheet write down everything you owe so that could be your mortgage, loans, credit cards etc. Then deduct your liabilities (what you owe) from your assets (what you own) that figure is your net worth:
For example: Couple A have a house worth £250K, Pension of £50K, Car valued at £5K and savings of £10K giving them total assets of £315K
They owe Mortgage £200K, Car Loan £3K and have credit card debts of £12K giving them total liabilities of £215K
Assets – Liabilities £315K – £215K gives them a net worth of £100k