Net Worth
We are into the New Year and looking back at 2009 I realize I spent a great deal of time crunching numbers and tracking how we are doing in paying down our mortgage. It is definitely motivating.
In spite of all of the number crunching I do, I have never looked at our net worth or bothered tracking it. Just like everything else, it cannot be managed if it is not being measured. We don’t have a great number of assets or liabilities so keeping track of our net worth should be relatively easy. For simplicity I have combined our information. Our assets and liabilities as of January 1, 2010 are as follows:
Assets:
House: $396,000
Two Rental Properties: $420,000
Pension Plans: $223,000
RRSPs: $135,000
Bank Accounts: $8,000
Two Vehicles: $30,000
Total Assets: $1212000
Liabilities:
Mortgage on House: $249,500
Mortgages on Rentals: $358,000
RRSP Loan $7,300
Total Liabilities: $614,800
NET WORTH: $597200
We are going to concentrate on paying down the mortgage on our home, and tracking our net worth will be secondary. We will look at it again in a year and project there will be a 10 – 15% increase.
