The Personalized Net Worth Calculator (Advanced)

Description

DESCRIPCION 

The ‘Personalized Net Worth Calculator’ is an advanced tool designed in an Excel template that allows you to calculate your net worth in a customized and precise manner. Intuitive and easy to use, this template is ideal for individuals seeking a clear understanding of their current and future financial standing. Whether you are contemplating significant life changes, such as starting your own business, or simply want to manage your finances better, this tool provides a detailed and up-to-date snapshot of your economic situation.

BENEFITS

• Custom Currency Configuration: Adjusts to CAD or USD, allowing full customization based on your financial needs.
  How It Works: Set your preferred currency as the default so all calculations reflect values in your chosen currency.
• Currency Conversion for Individual Accounts:Manages accounts in different currencies and provides a unified summary, essential for those with international assets. How It Works: The template automatically converts account balances in different currencies to the default currency, using updatable exchange rates.
• Exchange Rate Updates: Ensures your calculations are always accurate with updated exchange rates.
  How It Works: Manually update exchange rates as market fluctuations occur to keep your financial data current.
• Net Worth Goal Setting: Sets clear targets and visualizes progress towards your financial goals.
  How It Works: Enter your desired net worth goal and the tool shows what is needed to achieve it.
• Net Worth Visualization Before and After Properties: Provides a clear view of your liquidity, showing how much of your net worth can be quickly converted to cash.
  How It Works: Calculates and compares your net worth with and without properties, helping you understand your financial flexibility better.
• Financial Autonomy Calculation: Assesses how long you could maintain your current lifestyle without income.
  How It Works: Calculates the duration your current assets will last based on your monthly expenses and net worth.
• Graphical Visualization of Net Worth Change: Allows for visual tracking of changes in your net worth over time, facilitating financial planning.
  How It Works: The tool graphs changes in your net worth across different periods, providing a clear visual reference of your progress or adjustment needs.
• Historical Data Saving Function: Enables comparison of your current financial situation with previous periods, ideal for reviewing and adjusting strategies.
  How It Works: Saves financial data in separate tabs within the template for easy access to historical reviews.

KEY FEATURES

• Ability to set default currency in either CAD or USD 
• Ability to set different currency per each individual account (for example, many people have banks accounts in both USD and CAD – the total balances will then automatically be converted to the default currency for reporting purposes 
• Allows you to update the currency exchange rate if/when needed
• Ability to set a net worth goal and see how much remains to reach your desired net worth
• Shows you your net worth before and after accounting for properties – this is useful to see how liquid you are – typically, with properties it takes some time to convert to cash
• Shows you how many months you could maintain your current life style if you stopped earning
• Show you the exact date on which you would run out of money
• Allows you to see your net worth change over time graphically
• Allows you to save a copy of your data in a separate tab so you can go back a review your net worth from prior periods if necessary