What is Your Net Worth?

2WTK: Your Net Worth $$$

GREENSBORO, NC -- It's fun guessing someone else's net worth, especially if they're one of your favorite celebrities. For example, of these six singers, who has the most net worth: Taylor Swift, Celine Dion, the Biebs, Queen Bee, Adele or Madonna?

According to Richestlifestyle.com, Celine reigns at $ 630 Million,  Madonna at $520 million and Beyonce at $250 million.

We bring this up because we want to talk to you about your net worth and how to determine it.

Jennifer Schurman, Director of the Finance Academy at East Forsyth HS, explains how to do this.

It's based on your assets..what you have that is worth something. Maybe for you it's your car and what money you have in savings. Next, you factor in your assets, which are your car loan, or student loan and now, the reality is your net worth is in the negative.

Saving money and having less debt seems obvious, but you have less obvious ways of how we go about doing that. One of the main takeaways is tackling debt.

According to USA TODAY, the middle class is getting small. The percentage of families in debt remained unchanged from 1989 to 2007, then saw a 50% increase between 2007 and 2014. That's a huge increase. the reason? The middle class is getting smaller.. mostly because half of all Americans don't own any stock. Investing in the stock market could help ordinary Americans increase their household income, given the right diversification and allocation in their portfolio. stocks are an asset...not a liability.

The two main causes of this are housing and student-loan debts.  One action you can take: consider refinancing your student loan debt.  Many people don't realize that you can refinance a student loan just like you can a house.  Refinancing may help you pay off the debt faster, and pay a lot less interest in the long run.

For more click on Clark Howard

Copyright 2016 WFMY


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