The M-network and friends are posting about net worth today. Net worth is basically the difference between the positive side of the ledger (assets) and the negative side (debt). There are a lot of different theories on figuring net worth. I have included my house and “0% balance transfer” money. I am not going to reveal every single component of my asset to debt ratio, but without further ado. . . (drum roll ). . . heeerrre it is:
I am worth $2,590. Cash money.
We have assets totaling $197,740, but our liabilities stand at $195,150.
I don’t keep real close track of my net worth generally, but I was pretty shocked to learn that our net work is actually in positive territory. Of course, a lot of this depends on the worth of our home. I believe that we could sell our home for $4,000 more than what we owe for it – this might be an overly optimistic – but it helps my outlook on life to imagine that it might sell for that amount.
Some major drags on our net worth include:
- a car loan of $17,000 for a vehicle that is only worth $12,000
- a home equity loan of $16,000 for who knows what
- only $4,500 in retirement savings
Some positives include:
- our home – at least we have one and we are making the payments
- our retirement savings have doubled in the last year
- our IRS tax refund will probably double our net worth
If you want to read more articles on net worth, check out the following personal finance blogs: