Where is your Financial Statement?

One of my favorite sayings is that if you fail to plan you have planned to fail.
So what is your financial plan...if you do not have one well you may be in your way to financially failing.

One of my favorite writer tells us that our life’s report card is our financial statement. Do you have a financial statement? How do you know if you are failing or passing if you never get a report card or learn about your financial statement.

Make your own Financial statement
If you do not have a financial statement you can put one together. Use a spreadsheet and list all or your assets on one side and all you debts on the other and include you home loan on the debt side. On your assest side put your savings balance, your checking balance, your cd's and your 401k. Make your debt negative balances and your assets positive. Then add both totals together are you negative or positive. Don't worry too much if your total is negative this is just your starting point and your financial statement just need to get better each year by getting that number positive and larger.

Use your Financial Statement to make your financial goals
Your Financial statement is a great tool to evaluate where you are now and where you want to be in the future. Make sure to share this financial statement with your spouse than you can write down your goals for the year. By sharing this information with your spouse they might have some ideas to increase your assets faster and they may have some ideas on how to reduce spending and get out of debt faster.
Store your Financial Statement and put the date at the top
In a year or every six months update your financial statement and see if your score is better. Is your total better? If yes your are on your way to being in control of your financial life. yea!!