By Libby Kane, Tanza Loudenback
If learning how to build wealth is important to you, you’ve come to the right place.
Below, Business Insider has rounded up 10 quick money lessons that will teach you how to master your money – from how to automate your savings to investing in the sharemarket when you’re not an “investor”.
Of course, this isn’t all there is to know about personal finance.
But setting aside a few minutes to tackle these lessons can only put you that much closer to finishing rich.
1. How to calculate your net worth
“Your net worth is a measure of your financial health,” said certified financial planner Mary Beth Storjohann, founder of Workable Wealth.
It’s the result of your total assets minus your liabilities, or the amount you owe, and you should be checking it at least twice a year.
“Net worth can also be used to measure how far you’ve come over time,” Storjohann says.
Here’s the exact method financial planner Sophia Bera uses, as explained in her book What You Should Have Learned About Money, But Never Did:
“I have a spreadsheet that I pull up, I log into my accounts online, and I enter the balance of each of my retirement accounts, savings, investments, and so on. Then I enter any debts and subtract this number from my assets to determine my net worth. If you own a home you can pull the approximate value of your house on Zillow.com, and then subtract your mortgage balance to determine how much home equity you have.”
Click here to read the full article via The Sydney Morning Herald.
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