Week 1: Assessing Your Current Financial Health

Now that new year is here, it's time to get started!

First things first - give yourself a pat on the back for taking the initiative to make this resolution. Being proactive in managing your personal finances is a difficult first step to take, but will put you on the path to financial freedom.


Now let's move on to our topic for Week 1:
Assessing Your Current Financial Health

This week's Activities for Success:

1) Get 3 friends to join you in this resolution

Get Your Friends to Join!
Tweet Your Resolution
2) Fill out the Net Worth Calculator

3) Check your credit reports

Before you can determine what your financial goals are, you need to take a look at where you currently stand.
Whether you have $1 or $1 million, taking a step back and assessing your current financial situation will set you up for success down the road.

Take a few moments to fill out this net worth calculator (you'll be taken to another site). After you have finished this exercise, write down your "total assets", "total debts" and "What's My Net Worth?". Keep these in a safe place- you'll want to have them down the road!



Don't worry if your net worth is low, or even negative. Remember, this Personal Finance Resolution is designed to help educate on how to set and reach your financial goals. If you're already retired and have $10 million in the bank, this is not for you!

Another useful activity this week is to check your credit report. Making sure that your credit report is accurate is a very important step in taking control of your personal finances.

As a result of the Fair Credit Reporting Act (FCRA), all three nationwide consumer reporting companies - Equifax, Experian and TransUnion - must provide you with a free copy of your credit report once every 12 months. We recommend spacing this throughout the year - getting one of the free reports every 4 months.  Visit AnnualCreditReport.com to begin and remember that this is a free, government-mandated service that will never ask for payment.

This week's Activities for Success:

1) Get 3 friends to join you in this resolution

2) Fill out the Net Worth Calculator

3) Check your credit reports

Terms Used in this Issue:
assets
debt
net worth
credit report
Fair Credit Reporting Act

Remember, the biggest hurdle that people face in keeping a resolution is a lack of motivation, so make sure to have your friends join you!
By InvestorGuide Staff

Copyrighted 2016. Content published with author's permission.

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