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The Power of Monitoring Your Rising Net Worth

Do you know your current net worth? Simply put, it’s the total value of what you own minus what you owe. Assessing your net worth annually provides an important benchmark for overall financial health and wealth building progress.

I analyze my net worth each January to quantify my position at the start of a new year. I tally cash accounts, retirement balances, home equity, and any other assets. Then I subtract outstanding debts like my mortgage, student loans, credit cards or car loans.

The first few years I calculated this; my net worth was discouragingly small. But seeing that number motivated me to pay off loans faster, invest more diligently, and curb unnecessary spending.

Fast forward several years and I’m now thrilled to see the exponential growth as compounding interest and continued contributions to investment accounts accumulate. Hitting milestones like surpassing $100k, even $200k net worth felt like monumental financial achievements.

Monitoring your net worth over time provides accountability, showing in stark numbers whether your financial behaviors lead to expansion or contraction. It guides your priorities for the coming year as well.

If you have major outstanding debts, focusing on paying those down more aggressively before accelerating investments may make sense. If you have available funds but low savings, dedicating more to retirement accounts or other assets could be wise.

I enjoy calculating my net worth annually because it reassures me that disciplined saving, smart investments, and achieving major money milestones will help me reach financial independence. The growth over time keeps me motivated to stay intentional with spending and contributions.

Give yourself an annual financial check-up and understand exactly where you stand by tabulating your net worth. Don’t get discouraged if the number disappoints – instead make it the starting line for future growth. Monitoring your progress will help you reach your money goals! Sign up for our newsletter today!

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ChFC(R) RICP(R)
Leon is not your typical financial professional. As a military veteran and former college professor, he brings a strategic, disciplined approach to wealth management, helping successful individuals and families make the most of their financial future. For Leon, financial freedom isn’t just about accumulating wealth—it’s about aligning your assets with your aspirations to create a meaningful, secure retirement. He specializes in simplifying complex financial concepts, providing clear, actionable strategies that empower clients to make informed decisions. With a deep understanding of financial markets, tax efficiency, and legacy planning, Leon ensures that his clients' wealth is protected and optimized for generations to come. His background in the military honed his precision in financial management, overseeing entitlements, pay structures, and benefits for service members. As a college professor, he educated thousands on finance, portfolio management, and debt strategies. This rare combination of experience allows Leon to deliver financial guidance that is both insightful and practical. Leon’s expertise lies in helping affluent clients transition from wealth accumulation to smart, sustainable wealth distribution. He develops tailored strategies that maximize retirement income while preserving assets for future generations. His client-focused approach ensures open communication, proactive planning, and a personalized roadmap to financial confidence. With a reputation for trust and excellence, Leon is committed to helping his clients turn their success into lasting financial security.
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