Pick a date – New Year’s Day or your birthday, for instance – and draw up a net worth statement on that day every year. Begin by listing your assets at their current value. This includes your house, your car, your RRSPs, and anything else you own.
Then subtract your liabilities – the amount you have left owing on your mortgage, your credit card and other loans.
What remains is your net worth. If it’s going up year after year, congratulations! You’re on the road to prosperity. If not, it’s time to start asking questions and possibly seeking out some advice.