Learn how to assess your net worth, compare it wisely, and build a financial strategy to meet your long-term goals.
What is net worth, and how do you calculate it? How can you use it as a tool to set realistic financial goals? Hosts Sean Pyles and Sara Rathner discuss how to define and calculate net worth, why it’s normal to have a low or negative net worth in your 20s, and how it evolves over time. They begin with a discussion of why net worth matters, with tips and tricks on assessing your current assets and liabilities, identifying realistic financial benchmarks, and staying focused on personal goals instead of comparisons.
Charlene, a listener from Texas, joins Sean and Sara to discuss comparing net worth to peers and using it as a motivational tool. They discuss how benchmarks vary by age and location, the difference between averages and medians, and practical ways to build wealth through strategic saving, retirement planning and investments. Charlene also shares her disciplined approach to saving and her aspirations for financial independence and an early retirement, and how net worth relates to her progress towards achieving her goals. Sean and Sara address the concept of net worth beyond just 401(k) balances and the potential pressure of societal expectations on financial milestones, with information that could serve as a guide for listeners aiming for similar goals.
Then, podcaster, social media influencer, and author Vivian Tu, also known as "Your Rich BFF," joins Sean to discuss wealth-building through passive income and active career decisions. They discuss the importance of making your money work for you, the psychological barriers to seeking higher income, and the significance of securing a meaningful raise or position shift every two years. She shares her insights on transitioning from Wall Street to digital media, democratizing financial knowledge, and cultivating a mindset for wealth accumulation.
Average net worth by age: how do you compare? https://www.nerdwallet.com/article/finance/average-net-worth-by-age
In their conversation, the Nerds discuss: net worth calculator, how to calculate net worth, financial goals, comparing net worth, personal finance tips, saving for retirement, building wealth, assets and liabilities, financial health, financial planning, budgeting, emergency fund, retirement accounts, 401k savings, net worth benchmarks, wealth management, financial independence, passive income strategies, high-yield savings accounts, investment accounts, debt payoff, early retirement, net worth by location, financial comparisons, money mindset, wealth accumulation, understanding net worth, financial success, personal finances in your 20s, financial security, how to save money, financial tools, paying off loans, money management, financial literacy, personal savings, and long-term financial planning.
To send the Nerds your money questions, call or text the Nerd hotline at 901-730-6373 or email podcast@nerdwallet.com.
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Net Worth and Chill: How Your Wealth Measures Up and Vivian Tu’s Tips for Financial Success | NerdWallet's Smart Money Podcast - Listen or read transcript on Metacast
