HOW TO INCREASE YOUR NET WORTH

 

HOW TO INCREASE TOUR NET WORTH

 Do you want to increase your net worth and escape the vicious cycle?

  net worth is the total value of your asset  minus your liabilities.It indicates how wealthy you are.

By increasing your net worth your are creating a path for your financial freedom,and there are things which your can do to increase your net worth and give it a raise.

 Simply you can do that by getting out of debts and increase your income.

so, we will today look at three simple steps which you can follow and increase your Net worth and gain financial freedom.

 

1) REVIEWING YOUR DEBTS

  Simply take a look at your debts.This is easy look at the number of loans,mortgage you have an you should get a estimate of the figure.Try to get out of that debts as soon as possible.Try paying off your debts with high interest rates fast so than you can lower the interest rates write all your debts in increasing order of their interest rates and close them one by one.If you default, you could risk losing what may be your biggest asset.

2) TAKE A LOOK AT YOUR ASSETS 

  You may not know exactly how much all your assets are worth,Value of assets such as real estate changes with time,But you can get a estimate figure of them.

Your assets may include-

1) YOUR HOUSE-

 Remember your house is your biggest asset it adds a lot of value in your net worth.Try to get your house mortgage free.

2) YOUR INVESTMENT-

  Your investment are also important in giving your net worth a raise.Revew your investment try to make more investment and more importantly they give you return by investing you are making your money to work for you.Your investment may include Stocks,Bonds,Mutual Funds,etc

3)  TAKE A LOOK AT YOUR COLLECTIONS

  Art, fine wines, jewelry, classic cars, antiques—the market for these items will fluctuate, but you can always have an appraiser come help you determine their value.

2) CREATE MORE SOURCES OF INCOME 

 This may sound difficult but it is not you need to create a passive income it will help you to make you more savings and you savings will help you to increase your net worth.

3) Review Annual Costs

   Take a look at things like your insurance and healthcare premiums each year.Compare interest rate see if it can be lowered.Then,Add  the excess money to your savings or to your investment.

 

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