Net worth can be described as one’s assets minus their liabilities.
Tracking one’s net worth periodically is a great way to determine just how healthy one is financially.
Living within your means is one of the best ways to increase your net worth. After all, if you are spending less than you are making, then you are staying in the positive. Your net worth should then increase.
If you are spending more than you are making, then you are going into the negative. Not good!
Who would you rather be the puppy or the clown?