Tracking my Net Worth vs. Investable Assets

5857531897_6c5d81a424_zI’ve been thinking a lot over the past few months about how I track my financial goal on this site. Up until now, it’s been the total amount of money I have in my savings and retirement accounts (which is everything except my checking account). That’s what I had in mind when setting my “Ten Years to Half Million” goal. It makes sense to me, since it’s all my money that’s liquid and could actually spend (even though most of it is tied up for 19 more years and you know that I would never pay the penalty before that).

But lately, I wonder if it makes sense to track my progress with net worth. After all, I own my home and it is the most valuable asset I have. However, I don’t plan on selling my condo for a very long time (if ever), so will I ever realize its actual worth, or will the value forever be just on paper? I also owe a very large sum of money in my mortgage…shouldn’t that be incorporated into the numbers?

I think there are valid arguments for both methods of tracking. So, since I can do anything I want with this blog (AH! I am so powerful!), I’m going to add net worth to my monthly updates for a while and see if that satisfies me. Stay tuned for one in just a few days.

One awesome fact is that my current net worth puts me more than half way to my ten year goal! WHAT?! Craziness, I say! Will I need to change the name of this site to “Ten Years to One Million” in a few years time? I would be totally OK with that.

P.S. Once I have my net worth posted, the Rockstar Finance blog (who runs another site I liked called Budgets Are Sexy) has a post listing the net worths of over a 150 personal finance bloggers. I think I’ll add mine to the mix!

(Image: ImagesMoney)

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