The assets you don’t know about

We’ve covered ‘what’ and ‘why’ assets are. Now for the ‘how.’

While everyone of credit-building age (18) should be focused on acquiring, building, and safeguarding personal assets, the reality couldn’t be further than the truth.

Suffice to say, not many 40-year-olds are adept at managing their financial situation or financial planning. Never mind the 18-year-old set.

Looking one’s financial self in the mirror is an intimidating thought, but our 10 step plan to examine assets you might not know you have will leave you feeling positively empowered.

How?

It’s as easy as 1, 2, 3 (and if it isn’t you can always contact us)

1. Write a list: Begin with the basics, assessing what you already have. Next, you’re going to assemble a list of your current assets to see exactly what you’re working with (or without). You can go the tech route; use an online program or app to keep records, though a pen and paper will do just fine.
2. Know thy physical assets: You’re going to need to separate your physical assets from the tangible items like furnishings, cars, artwork, clothes, and other things you can see and feel, from financial assets on your list.
3. …And thy financial: Financial assets, as you might expect, are intangible properties that represent ownership of insurance policy, bank accounts, and other evidence of value for assets that affect income or wealth.
4. Document your personal information: Including your name, passport number, income tax number (if applicable), the location of the will, and signature help attach you to your assets through establishing a documented connection.
5. Describe your stuff: Especially, describe your items in as much detail as possible.

Things to Include: 

Fair Market Value

Brand and Model Names

Sizes and Condition

Collections Valued by Unit Instead of Item

Photographs Indicating Date Taken

Any Formal Appraisals

Appraiser Contact Information

The five ways to prove your assets

1. Prove you own your stuff: Your list wouldn’t be complete without including evidence of ownership over intangible assets like deeds, titles, certificates, insurance policies, and financial accounts. These should be identified with account numbers and owner details. Also, any person that has the legal authority to manage, sell or otherwise dispose of each individual asset.
2. Fill in acquisition deets: As a general rule, the more costly the item the more likely you’ll need to include acquisition information. If you recall where you obtained some items, include all elements if you can. Details like the name, address, and phone number of the seller, how you came to possess the item, and even receipts are incredibly useful.
3. Geo-tag your stuff: Be sure to include the location of the items, as well as important documentation relating to said items in your personal inventory. Each record names of contact people responsible for accessing accounts, the date opened, and the current status. The location of stock certificates, deeds, mortgages, and certificates of deposit should also be clearly noted.
4. Special consideration cases: Some items on your list might need extra following up or extra care to be maintained in order to maintain the estimate costs of current values. Include these costs.
5. Wave your arms in the air: You’re almost done! Finish up your list by figuring out how to deal with any additional items that didn’t seem to suit either category but needs accounting for. Especially, don’t forget to sign and date your inventory at the bottom!

This has been a Financial Literacy Month blog post from Clinton Wilkins Mortgage Team.

We’re your friendly neighbourhood gluten-free mortgage brokers.

Check us out

Current rates