Financial Planning Worksheets
Spending Worksheet
The purpose of a spending plan is to track and manage finances effectively, ensuring that income is allocated towards essential expenses while also allowing for savings and discretionary spending. Creating and adhering to a spending plan will enable individuals and organizations to understand their financial situation, prioritize spending based on needs and goals, identify areas where spending can be reduced or eliminated, ensure that there is enough income to cover expenses, save for future goals and emergencies, and avoid accumulating debt or overspending.
Debt List
Creating a debt list is a fundamental component of financial planning, helping individuals understand their financial obligations and enabling them to manage and reduce their debt burden over time. By listing each creditor and debt separately, individuals can organize their debts clearly and systematically and help ensure that all obligations are accounted for. Seeing all debts listed together gives individuals a clear understanding of their financial situation. A debt list also serves as a tool for setting specific financial goals, such as paying off certain debts by a particular date and getting out of debt completely.
Personal Balance Sheet
A personal balance sheet is a powerful tool that offers valuable insights into an individual’s financial health. This financial statement provides a snapshot of an individual’s financial position at a specific time. It lists assets, liabilities, and net worth. Net worth is calculated by subtracting total liabilities from total assets. After accounting for debts, it represents the individual’s overall financial health and the value of their financial resources. A positive net worth indicates that assets exceed liabilities, while a negative net worth indicates that liabilities exceed assets. Consistently updating and reviewing a personal balance sheet is essential for maintaining financial stability and working towards long-term financial goals.
