194. Reasons to Track Your Net Worth
It's time to net worth and chill
Our net worth is simply the difference between what we own (our assets) and what we owe (our liabilities). As Investopedia defines it: “Your net worth is the amount by which your assets exceed your liabilities. If your assets exceed your liabilities, you have a positive net worth. Conversely, if your liabilities are greater than your assets, you have a negative net worth.”
Today, Michelle and I dive into why tracking our net worth is so important. Being on sabbatical, I’ve found that tracking my net worth has been incredibly motivating. It’s empowering to see that the money I saved not only provides for my day-to-day needs but continues to grow—even though I’m not actively working. While I haven’t reached retirement yet, knowing that I’ve successfully "bought back" my time through saving and investing gives me a profound sense of peace. I’m also filled with gratitude for past Sammie, who was diligent and responsible with her money!
Here are the top reasons for tracking your net worth that we cover in today’s episode:
1. Watch Your Money Progress
Tracking your net worth lets you see your money in action! As you save, invest, and pay down debt, you'll witness your net worth rise. It’s like watching your financial goals come to life, one step at a time.
2. Catch Errors and Fees
It’s not just about progress—tracking your net worth is about protection, too. By regularly checking, you can spot unexpected fees, bank errors, or other financial issues that might be quietly draining your wallet.
3. Appreciate How Far You’ve Come
Tracking your net worth helps you appreciate the progress you’ve made, even if it’s incremental. Watching that number grow is a reflection of all your hard work and smart financial decisions!
Check out this week’s podcast episode for more details! What surprising benefits have you found from tracking your net worth? Let us know in the comments!
Show Notes
Our Halloween Intro is back for October! Check out this week’s episode to hear this spooktacular version of our normal intro theme.
Community Time
- Thank you for your comments on Episode 188. I'm Too Scared To Quit My Job and for using the term “jobby mindset” haha!! We love that you are listening and finding it useful. Whenever you take the leap, let us know!
Thank you Jess and Kevin for your thoughts on 192. Transformative Lessons from the Summit of Greatness. I love that you are also fans of David Goggins and Taking Souls
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