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Inventory Assets/Liabilities

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You should first start by taking an inventory of your assets and liabilities, otherwise known as your Net Worth Analysis. Add up all assets including physical property, money in checking accounts, savings, brokerage and retirement accounts, and vehicles. Secondly determine your total debt or liabilities which includes your mortgage balance, home equity balances, car loans, student loans you may have outstanding. Child support payments, alimony payments, and credit card balances must be included.

When you take your total assets and subtract your liabilities the balance is your NET Worth. Your net worth is an important measure of your financial health. Your net worth indicates your capacity to accomplish major goals.

Add up all assets (physical property, money in checking,savings,brokerage and retirement accounts)

Determine total debts (mortgage, home equity, cars and student loans, child support/alimony, credit card balances)

Total Assets minus total liabilities = Net Worth

14 thoughts on “Inventory Assets/Liabilities”

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