Earning

What is net worth? A simple answer is that it’s the combination of what you own (your assets) and what you owe (your liabilities). Subtract your liabilities from your assets, and you have your net worth.

Having an emergency reserve is essential for when unexpected life changes happen. Unexpected events can and do happen. Having some extra cash set aside will help you if an occasion arises.

An automatic savings account is a type of savings system that allows the account contributor to deposit a set amount of money into a savings account at pre-determined intervals. Most commonly, this would be in conjunction with the contributor’s regular pay schedule. It allows an individual to automatically transfer a fixed amount into a savings account, usually on the same cadence they receive their paycheck.

Compound interest accelerates the growth of savings and investments over time. The definition of compound interest is – the interest earned on an investment or savings account is reinvested into that same account, earning even more interest.