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Wealth Accumulation/Debt Liquidation

Wealth Accumulation/Debt Liquidation -
Definitions, Info & Worksheets

Wealth Accumulation/Debt Liquidation -
Websites

Wealth Accumulation/Debt Liquidation   -
Information and Articles

QUESTION:  How do you
Build Wealth and Avoid Debt?

Spendable Income

1. $Future
2. $Present
3. $Past
4. Increase Net Worth
 

ANSWER:  Account for all 4 within the limits of your "spendable" income!

Confused?  Don’t Know Where to Begin?

Make an appointment with ACS today to meet with an Accredited Financial Counselor to discuss any of the topics presented in this website

                                                   ACS phone :  309-782-0829   or DSN 793-0829   

                                                   ACS e-mail:  Rock-ACS@conus.army.mil

Optional:  Prepare for your session by gathering your information  - PFM Checklist

 

ACS also has educational information on  topics including: debt negotiation, debt settlement, credit counseling, bankruptcy, credit reports, credit scores, amortization tables, basic investing, saving for college and reducing spending

 

Need Online Tools and Information?

  Downloadable Personal Financial Management Article in Microsoft Word or PDF

  Savings to Spend_Missing Piece of your Budget Puzzle 20070208.doc
  Savings to Spend_Missing Piece of your Budget Puzzle 20070208.pdf

  Download Personal Financial Management (PFM) Lesson below

Personal Financial Management (PFM) Lesson

 

 

    

There are four control documents for your personal financial management (PFM):

(1)   Creditors ($ past)

(2)   Non-routine expenses ($ future)

(3)   Total budget ($ present, with past and future) Monthly or Bi-Weekly Spending Plan

(4)   Net Worth Statement (the money you get to keep)

 

Start at 1A and proceed at your own pace.  You can left-click on your mouse to open the files; you can right-click on your mouse to download the files.

 

PDF File

4_1A Class Handout with Numbers Web 20070420.pdf  (pages 1A-5A and 2B-5B2)

 

OR

 

Word, Powerpoint and Excel files

4_1A Class Handout with Numbers Web 20070420.doc (pages 1A-5A)
4_1B BLS CPI Calculator Slide Page 1B Web 20070420.ppt consumer price index ( buying power)

4_2B Net Worth Statement page 2B Web 20070420.xls (net worth)

4_3B Yearly Spending Plan Page 3B Web 20070420.xls ($ future)
4_4B1 PPay Analysis Slide Page 4B Web 20070420.ppt ($ past or PowerPay)
4_5B1 Budget_Spending Plan Page 5B Web 20070420.xls ($ past ,present ,and future integrated with Net Worth)
4_5B2 Budget Balance Remaining Worksheet Web 20070420.xls (supplemental to 5B1)

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Definitions, Information and Worksheets

 

Spendable Income = The money that is available for you to spend (money left over from all income after subtracting taxes, social security and allotments)

 

$Present = routine expenses rent, mortgage, food, cable TV, child care

This spreadsheet lets you integrate your net worth with Future, Present, and Past expenses – and your expenses should not exceed your income – or you are going deep into debt .  (Same as Worksheet 5B1 in the PFM lesson)
Monthly Spending Plan 20070201.pdf
Monthly Spending Plan 20070201.xls

 

 Build your budget based upon your income by the week.  Great for forecasting pay and expenses when you are paid weekly or bi-weekly. 
Monthly Spending Plan in Weekly Bands 20070201.pdf
Monthly Spending Plan in Weekly Bands 20070201.xls

 

How far can your money go?  Use this MS Excel spreadsheet and “count-down” your money so that you do not overspend.  You can list your expenses in priority so the important items are paid for first.  (Same as Worksheet 5B2 in the PFM Lesson.)
Budget Balance Remaining Worksheet 20070201.pdf
Budget Balance Remaining Worksheet 20070201.xls

 

$Past = creditors credit cards, car loans, student loans

 

Creditor Debt List.  Keep track of your creditors to pay them off!  Who do you owe; how much do you owe to them in total; what is the monthly amount due; what is the annual percentage rate (APR)? 
Creditor Debt List 20070201.pdf   
Creditor Debt List 20070201.xls

 

note: “secured” debt is debt that is secured with collateral of some kind, such as a home or car loan.  This means the creditor can repossess the asset that acts as collateral should you default on the loan.  Another  example is a secured credit card:  you deposit $3,000 in an escrow account and your credit limit will be $3,000.  If you do not make payment, the financial institution can take the $3,000 in the escrow account as payment. 

 

 

The information from this spreadsheet can be used to fill in the following:

1)Net Worth Statement:  “Other loans and notes payable “or “other liabilities “
2)Worksheet 4B1 in Personal Financial Management (PFM) Lesson: “PowerPay”
3)Worksheet 5B1 in PFM Lesson:  Monthly Spending Plan “Other Creditors” (remember to convert to a monthly payment)

 

$Future = future, non-routine expenses  saving for future expenses. Pay Yourself First – Savings to Spend.  Set aside money every paycheck for future non-routine expenses: Christmas, birthdays, anniversaries, going back to school in the fall, and vacations. Now think big:  college, retirement, long term care, emergencies. Are all of these non-routine events (and others you think of) stated in your budget? 

 

Forecast your Pay Yourself First – Savings to Spend as described above (Same as Worksheet 3B in PFM Lesson)
Yearly Spending Plan 20070201.pdf
Yearly Spending Plan 20070201.xls

 

 

Keep track of the money in your savings account. You are putting money away for different reasons, but your savings account just has a total amount in the account.  Use this spreadsheet to track your money by purpose.
Savings Records Worksheet 20070201.pdf
Savings Records Worksheet 20070201.xls

 

Net Worth = the money you get to keep. Your net worth statement is your score card on how well you’re doing in your personal finances. Your goal is to continue to increase your net worth

 

( Same as Worksheet 2B in the PFM Lesson)
Net Worth Statement 20070201.pdf
Net Worth Statement 20070201.xls

 

This spreadsheet lets you integrate your net worth with Future, Present, and Past expenses – and your expenses should not exceed your income – or you are going deep into debt .  (Same as Worksheet 5B1 in the PFM lesson)
Monthly Spending Plan 20070201.pdf
Monthly Spending Plan 20070201.xls

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Wealth Accumulation / Debt Liquidation - Websites

 

Army OneSource Financial Readiness Training -

Provides a practical approach to financial management to gain control over finances and manage money more effectively. The goal of the training is to provide all with the tools to handle money wisely and to make informed purchasing decisions.   Click the link above.  You must have or create an Army OneSource account, then select  Financial Readiness training under “Money Matters” on the left side of the page.

 

QC Dollarwise – Financial Literacy Coordination Group

http://www.qcdollarwise.org/

 

PowerPay-Debt Liquidation Planning Software

 www.PowerPay.org  is a free online tool to help liquidate debt .  It also has PowerSave software for planning and tracking wealth accumulation.

 

 

JUMP$TART - Jump$tart is a national coalition of organizations dedicated to improving the financial literacy of pre-kindergarten through college-age youth by providing advocacy, research, standards and educational resources. Jump$tart strives to prepare youth for life-long successful financial decision-making.

http://www.jumpstart.org/

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Wealth Accumulation / Debt Liquidation – Information and Articles

Money 20061226 PowerPay and Save on line (Indef).doc

Money 20061226 Save and Invest Ed Web Site (Indef).doc

Money 20070205 Book Review_Millionaire Mind.pdf

Money 20080225 Savings Strategies for Youth_Colorado Extension.doc

Money 20080918 Control Your Credit Ads for Young Adults (Indef).doc

Money 20081106 FINRA News Nov 08 Savings and Investing Information (Jan 30 09).doc

Money 20081210 Family Financial Guide 2009.pdf

Money 20090122 Free CD for the Military to Budget and Plan Personal Finances (Indef).pdf

Money 20090126 How To Read an Army LES.pdf

Money 20090205 Smart Investing Guide.pdf

Money 20090323 Military Families PFM Magazine.pdf

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The information presented below is neither an endorsement nor any sort of recommendation.  This information is not intended to replace the advice of a qualified attorney, tax adviser, financial adviser, or insurance agent.  The provided information does not endorse an organization nor make guarantees.  The provided information is not a recommendation; clients are responsible for making up their own decisions.  This information should not be considered an exclusion of other reputable, professional organizations, products or services.  Before making any financial commitment, consult the appropriate professional adviser.  The information is provided only for educating readers in order to broaden their knowledge of options that may be available.  For this educational purpose, the following information is provided.

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