Do I Have Enough Money?
The question on everyone's mind. Do I have enough money? Am I where I am supposed to be? Should I be in a different place? This is a tough question to answer because everyone has a different definition of normal. But here is one thing that is normal that should not be normal, debt.
At one point in everyone's life, you will be in debt. However, that doesn't need to be where you stay. Debt is something most of us have carrying around like extra weight. We don't need it but we have gotten so used to it being there it just kind of stuck. Now, we may have so much debt it is overwhelming to know where to begin.
The first step to establishing this "Do I have enough money?" question is figuring out how much money in the bank you have that is not yours. That's right. How much money do you owe someone else? If you have a mortgage, car payment, or student loans, you're in debt. It may not seem like it because you have money in the bank but here is a good gauge of how good of space you are in...
Ask yourself this, "If all of my creditors came to my doorstep this morning would I have enough money to pay them?"
If the answer is no then you need to start developing an action plan.
One of the best tools that you can use to figure out your overall net worth is personal capital. Personal capital combines all of your accounts and gives you a real time evaluation of your net worth. Net worth is your assets minus your debt. Are you in the positive? Are you in the negative?
From there, you will know if you need to take action to change your current trajectory - "having enough" is when you no longer have debt and you are working towards a savings goal.