Take this self-assessment* and see where you are on your financial journey. There are no right or wrong answers but you will get an idea as to whether you have some work to do!
True or False
- ___ I have a concrete financial goal toward which I am working.
- ___ I know my (or my family’s) net worth.
- ___ I carry no credit card debt from month to month.
- ___ I balance my checkbook every month.
- ___ I have investments in my own name (whether you are married or not.)
- ___ I understand where all of my (or our) money is held, how it is invested, and why.
- ___ I have an emergency fund which would cover my expenses for at lest six months if something catastrophic were to happen (loss of job, loss of spouse/partner, etc..)
- ___ If I’m working, I take full advantage of my company’s benefits.
- ___ If I’m working or otherwise able to, I make the maximum allowable contributions to my retirement plan each year.
- ___ I do not lend money to people I think aren’t likely to repay it.
- ___ I shop on the internet only when I have a specific purchase in mind.
- ___ I avoid shopping when I’m down and blue.
- ___ Even if I don’t prepare them, I review tax returns before signing them.
- ___ I read the investment statements I receive each month/quarter.
- ___ I regularly read newspapers, magazines or articles that help me stay abreast of the markets and financial issues.
- ___ I know what my monthly discretionary spending budget is, and I stick to it.
- ___ Before getting married or living with someone, I would have (or had) open discussions about how we would manage money and finances.
- ___ I would have no problem requesting a prenuptial agreement that would protect my assets (or I have already done so.)
- ___ When it comes to my money and investments, if something doesn’t make sense to me, I am comfortable asking questions.
- ___ I meet regularly with a financial advisor (alone or with a partner) to keep a check on my financial health.
*adapted from the book Nice Girls Don’t get Rich, by Lois Frankel, 2005.