(BPT) - When they first got together, Andy and Nicole Hill thought they were doing fine financially. They made about $130,000 a year. They bought what they wanted and went out to dinner when they felt like it. When they decided to figure out their net worth, they were in for a shock: It was negative $50,000.
Between their mortgage, student loans and other debts, they owed more than they owned. They knew it was time for a change â so their negative net worth motivated them to achieve financial goals that were important to them.
While you may think ânet worthâ only applies to celebrities and billionaires, everyone has one. Net worth is simply the total of your cash, investments and assets, minus your debts. Knowing your net worth is an important step towards financial independence and wealth building as it provides a picture of your overall financial health, and can help you focus attention on meaningful financial goals.
How this family went from debt to a seven-figure net worth
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How this family went from debt to a seven-figure net worth
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