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3 Ways to Keep Financial Documents Organized
Safe-Deposit Box, Filing Cabinet, and your Home Computer
Examples of items you may keep in a safe-deposit box
Pay stubs, bank statements, birth certificates, marriage license
Personal Finance Statements
Provides info about your current financial position and presents a summary of income and spending
Determines what you owe and own
Measures progress
Tracks financial activity
Organizes info required to follow your tax return
Personal Balance Sheet
Net Worth Statement
Difference- What you owe-what you own
Assets
Liabilities
Net-worth
Financial Situation
Define:
Assets, Liquid Assets, Wealth
Assets-Items you own
Liquid Assets-Items that can be quickly converted into cash
Wealth-property that has a money value or exchange value (Savings Account, Real Estate, Market Value)
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