Net Worth & Goals

Here's what you need to know about calculating your liquid net worth. I'm talking about the actual cash you can access right now, not your house or your 401(k). Your liquid net worth is the cash and cash-equivalent assets you can access right now—after subtracting your debts. Unlike total net...

Liquid net worth is the value of the assets you can turn into usable cash relatively quickly, minus your liabilities. That sounds simple until you get to the edge cases: Does a brokerage account count? What about a 401(k)? Your house? A CD with an early-withdrawal penalty? That is where...

Ready to take charge of your financial future but not sure where to start? Are you a financial dreamer looking to take control of your money and overcome financial struggles? If so, setting short-term financial goals is the perfect way to start. Here's something powerful: breaking your big financial aspirations...

The biggest lesson in The Millionaire Next Door is not “buy a used car.” It is that income and wealth are two very different things. Thomas J. Stanley and William D. Danko found that many people who had accumulated substantial wealth looked surprisingly ordinary because they spent less than...

You’ve probably set a financial goal before. Maybe it was to "save more money," "pay off debt," or "invest for the future." You started with a burst of motivation, but a few months later, that motivation faded, and the goal was abandoned. You're not alone, and it's not a...

Want to know where you actually stand financially? Not what you think you're worth, but what the math says? Use the free net worth calculator below. After 30 years as a financial planner, I've watched hundreds of clients turn their finances around just by tracking their net worth every quarter....

To calculate your net worth, add up what you own and subtract everything you owe. The formula is simple: assets − liabilities = net worth. But especially once retirement is getting closer, I don't want you to stop at that one number. A $1 million net worth can mean $900,000...

If you're wondering how much you should have saved by 21, there isn't one honest national number that tells you whether you're on track. A 21-year-old living at home with $4,000 saved can be in a stronger position than someone with $10,000 saved and a $7,000 credit-card balance. The better...

Long-term financial goals are the big money outcomes that take years to reach: retirement, a home, education, debt freedom, financial independence, a business, or a legacy for your family. But naming the goal is the easy part. The hard part is that most people have several good goals competing for the...

Alright, let's have a frank conversation. For over 25 years, I’ve seen more people get lost in their own finances than I’ve seen get lost in the woods. And the reason is always the same: they have no map or financial game-plan. The process of setting financial goals is...