26 Dec 2006 | Comments | Wealth Management | Comments feed

Net Worth vs. Age

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Net Worth = Asset - Liability

To increase our net worth, we must accumulate more assets and reduce our liability.
In order to acquire more asset, we must have more savings.

Savings = Income - Expenses.

In order to increase Saving, we must increase our income and reduce our expenses.

We can plan and plot our graph of Net Worth vs Age. Which one is similar to yours?

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