Financial Statements – Not Just for Business

Financial Statements.  You might think that this applies only to businesses.  My experience is that sometimes an individual’s assets and income exceeds that of a business yet little attention is devoted to analyzing the reports for an individual.  You need to treat your personal finances like a business.

There are two financial statements that you need.  One is a Statement of New Worth which lists your assets and liabilities and the other is a Cash Flow Statement.  There are many outstanding applications that can generate the information you need.  Quicken, Mint and your online banking reporting are examples.