Understand where you stand today — so you can move forward with confidence.

If Skill 1 was about dreaming forward, this one is about getting grounded.

You need to know where you’re starting from.
Because if your goals are the destination, your assets and liabilities are your current location on the map.

And most people are guessing.

💭 Why it matters

Here’s the truth:
You can earn great money and still be financially stuck.
You can feel behind but actually be ahead.

That’s why you need a tally.

Because until you know what you own and what you owe, you can’t make smart moves.

What gets measured gets managed.
And what gets tallied gets transformed.

🧱 What you’ll do in this step

You’ll list out:

• Assets – Everything of financial value that you own

• Liabilities – All debts and obligations you currently owe

Then you’ll categorise and label each one to give yourself a clear, structured picture of your financial position.

This isn’t a spreadsheet exercise — it’s a self-awareness exercise.

🎯 What it gives you

By the end of this step, you’ll have:

• A clean, simple overview of your net worth

• Clarity on how strong your foundation is

• Insight into where your money is sitting and where it’s leaking

• A base to build better decisions on (debt payoff, investing, saving)

This is the step where uncertainty gets replaced by clarity — and clarity is motivating.

✅ How to tally your assets & liabilities

Follow these steps for a complete picture:

1️⃣ List your assets

Start with what you own. These are the things of financial value in your world.

Common asset types:

• Bank accounts (everyday, savings, offsets)

• Superannuation

• Investment accounts (shares, ETFs, crypto)

• Property (current value)

• Vehicles

• Business ownership

• Other valuables (if liquid or resale-worthy)

Estimate current values as accurately as you can. Don’t overthink perfection — aim for reasonable accuracy.

2️⃣ List your liabilities

Now capture what you owe.

Common liabilities:

• Home loan

• Credit card balances

• HECS/HELP debt

• Car loans

• Buy Now Pay Later accounts

• Business loans or ATO debts

• Personal loans or money owed to family/friends

Again, be honest. This is just for you — but the clearer you are, the more power you have.

3️⃣ Categorise each entry

For clarity, tag each item with a type. For example:

• “Asset – Bank Account”

• “Liability – Bad Debt”

• “Asset – Super”

• “Liability – Good Debt”

This helps you later when making decisions about what to invest in, what to clear, or how to grow your wealth.

4️⃣ Calculate your net worth

Now subtract your total liabilities from your total assets.

Assets – Liabilities = Net Worth

This number isn’t a judgment. It’s a starting point.

What matters is the direction it’s heading in — and we’ll track that over time.

5️⃣ Update it quarterly (or when things change)

You don’t need to check it every week. But make it a habit to revisit this tally every few months — or after a big life or money shift.

💬 Real Story: “We were way better off than we thought.”

“One couple we worked with avoided this step for months. They thought tallying it all up would be confronting — maybe even depressing.

But when they finally did it, they were stunned. Their home had grown in value, they had more in super than they expected, and their debts were manageable.

Their words? ‘We were doing way better than we gave ourselves credit for.’

That one insight gave them the motivation to start saving seriously for their goals.”

🚀 Do it faster with Moolah

Inside the Moolah app, you can:

• Add and categorise assets and liabilities

• View your total net worth instantly

• Track changes over time — so you see momentum, not just numbers

One place. Total clarity.