Every once in awhile, I like to post articles I find that discuss the various issues associated with net worth.
Here are some of the more interesting ones I've run into over the past month along with a few comments from each:
- Buying home called best wealth builder - But maybe no homeowner statistic is as startling as looking at net worth, which is all you own minus all you owe. American homeowners have a median net worth of $184,400; renters are worth $4,000, according to the most recent figures from the National Association of Realtors.
- Even those of modest means can afford a financial planner - Financial planner Brian Jones says he relies on a 'gut feeling' when choosing potential clients rather than simply focusing on their net worth. With a little effort, some people without a lot of money have been able to obtain sound financial advice. Cheryl Burbano, a certified financial planner in Tampa, Fla., says her clients typically have $100,000 to invest. But she also will occasionally take on people who have a negative net worth, such as newly minted physicians who carry hefty student loans. "You just have to build that [debt] into their plan," says Ms. Burbano. "Hopefully they'll get into a positive net worth."
- 'Elderly' exemption benefits the wealthy, not those on fixed incomes - It's no accident that "senior citizen" is now defined as 55. Just take a guess which age group in America has the greatest wealth? In 2001 dollars, the 50-59 age group had a median net worth of $179,000, highest on chart. By contrast, those in their 30s had a net worth of just $37,000. Those in their 60s are worth $168,000, those in their 20s are worth $8,000.
- Schwarzenegger makes tax returns public - Even as he has traded the Hollywood limelight for the political spotlight, Gov. Arnold Schwarzenegger continues to rake in a multimillion-dollar annual income -- nearly $55 million from 2002 to 2004 -- according to tax returns his campaign released Friday. "It is true he still has a lot of money; he's built up a net worth and still has back-ends from movies, but you can't compare that to what he could be still making," said Paul Wachter, Schwarzenegger's accountant. "Sometimes it just amazes me how uninterested he is about it."
- Business Bank of Nevada Targets Higher Net Worth Depositors With New Primetime Money Market Account That's Tied to Prime Rate - "We have developed what we view as an innovative deposit product that will offer higher net worth individuals and business owners greater returns on their deposits," said John Guedry, president and CEO of Business Bank. "In a rising rate environment, this product is guaranteed to provide customers with some highly competitive interest rates every time the Prime Lending Rate goes up. Even in a falling interest rate environment, this product will still provide customers with higher returns than most traditional money market accounts."
- New score rates Americans as 'fair' savers - The net worth of U.S. households — assets minus liabilities — increased 8 percent at the end of 2005, though it was the slowest growth in net worth since a 4 percent decline in 2002. At the same time, household debt grew at the fastest rate in 20 years, according to Federal Reserve data.
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