Personal Finance

What is your net worth?

  • Last Updated:
  • Jun 20th, 2017 12:40 pm
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Poll: What is your net worth?

  • Total votes: 194. You have voted on this poll.
$0 - $50,000
 
23
12%
$50,001 - $100,000
 
14
7%
$100,001 - $200,000
 
27
14%
$200,001 - $300,000
 
15
8%
$300,001 - $500,000
 
32
16%
$500,001 - $750,000
 
18
9%
$750,001 - $1,000,000
 
15
8%
$1,000,000 - $1,500,000
 
14
7%
$2,000,000 - $3,000,000
 
11
6%
$3,000,001 +
 
25
13%
Deal Addict
Nov 2, 2013
4473 posts
740 upvotes
Edmonton, AB
fccoup wrote:
Jun 15th, 2017 9:33 pm
Net worth without age doesn't tell alot...

$500k at 25 = super successful

$500k at 65 = almost below avg
But now, you have people in their 30s closing on the $1M mark... but could very well be in the negative in the mid 20s as they're still in school and/or investing into something, especially if it's a business.

Law school people can be at -100K in some cases before they are done school and then articling.

I make high income... 24... admit my net worth is about only $15K. But my total post-secondary education is about 6 years. Someone putting those 6 years working (especially in trades) would likely be worth a lot more.
Banned
Jun 3, 2017
10 posts
2 upvotes
Sanyo wrote:
Jun 15th, 2017 9:43 pm
Depends. How much did you bring into the marriage? (she doesnt just get half like that)... if both brought nothing then sure half.
Wrong. In a divorce, she gets half.
Deal Addict
Feb 9, 2009
3941 posts
1647 upvotes
twinpeaks181 wrote:
Jun 16th, 2017 12:47 am
Wrong. In a divorce, she gets half.
Nope she doesnt (exception is a matrimonial property).. not gonna spend forever wasting my time on this... you can pick up the phone and simply consult with a family lawyer to get your answer.
Member
Aug 7, 2014
277 posts
73 upvotes
Sanyo wrote:
Jun 16th, 2017 1:08 am
Nope she doesnt (exception is a matrimonial property).. not gonna spend forever wasting my time on this... you can pick up the phone and simply consult with a family lawyer to get your answer.
Nope, she may get an equalization payment, in addition to share of the matrimonial homes, at least in Ontario.

Property division for married couples

When a married couple separates, usually each spouse keeps their own property but they share any increase in the value of their property that happened during their marriage. Usually this means that one spouse must give the other spouse an "equalization payment".

Each spouse must calculate his or her "net family property" (NFP). To do this, each spouse adds up the value of his or her property (less any debts) on the date of separation and subtracts the value of his or her property (less any debts) on the date of marriage. The spouse with the higher NFP then pays the other spouse half of the difference. This is the equalization payment.

Special rule for matrimonial homes:

A "matrimonial home" is a home where a married couple had been living together just before they separated. There can be more than one matrimonial home, for example, a cottage could be included.

When calculating a spouse's NFP, the value of his or her property on the date of marriage does not include any home that is a matrimonial home on the date of separation. This means if the same spouse still owns the home on the date of separation, his or her NFP will include the home's total value, not just its change in value during the marriage.

Special rule for gifts and inheritances:

Any gift or inheritance that a spouse received during the marriage is not usually included in their NFP calculation. But if the gift or inheritance was used to buy or help pay for a matrimonial home, it is included.

Special rule for Canada Pension Plan credits:
These credits are not included in the NFP calculation because they are divided separately.
http://www.cleo.on.ca/en/publications/p ... ed-couples

These automatic property sharing provisions only apply to married spouses. If you are in a common law relationship, you are not entitled to an equalization payment, but may be entitled to a payment from your spouse to pay you back for a direct or indirect contribution to property that he or she owns. These claims are referred to as trust claims.
https://www.attorneygeneral.jus.gov.on. ... _property/
Deal Addict
Apr 19, 2010
1385 posts
370 upvotes
I love how net worth turned into "your wife gets half" turned into lets talk about the legalities of divorce.

If you people are that worried your wife will take "half" of what you have...leave now, because your marriage is obviously built on doubt/paranoia.

When I stated my net worth, I included my wife as she is an equal contributor in our household. She has a pension, RRSP, TFSA, etc. Why wouldn't you count your "total household net income" versus just yours?

Lets not be nitty gritty!
Member
Aug 7, 2014
277 posts
73 upvotes
kanewtz wrote:
Jun 16th, 2017 8:59 am
When I stated my net worth, I included my wife as she is an equal contributor in our household. She has a pension, RRSP, TFSA, etc. Why wouldn't you count your "total household net income" versus just yours?

Lets not be nitty gritty!
Some may agree with you definition of "your net worth" to mean a household (not personal or individual) net worth.

But OP talks about the OAS and CPP that he will personally get. And, when a credit card company asks for my personal income and personal net worth, I take it to my portion alone including my share of investment income in the joint accounts, but excluding other family members.
Deal Guru
User avatar
Oct 13, 2009
14218 posts
3412 upvotes
Iqaluit, NU
bout tree fiddy
Firebolt wrote:
Feb 12th, 2016 1:09 pm
give lots of head for sick knee fadez, give lots of lap dances for ca$h wallet fades. Always pop that leg when kissing for dope honey combs, knee lots of mans in the crotch for killer whiskers, low ride like an og for them stacks. And traintracks? Only achievable by a legend in the denim game
Deal Addict
Apr 19, 2010
1385 posts
370 upvotes
psudolam wrote:
Jun 16th, 2017 9:49 am
Some may agree with you definition of "your net worth" to mean a household (not personal or individual) net worth.

But OP talks about the OAS and CPP that he will personally get. And, when a credit card company asks for my personal income and personal net worth, I take it to my portion alone including my share of investment income in the joint accounts, but excluding other family members.
Fair enough statement. Our net worths would be split then $450k each.
Deal Addict
Feb 29, 2012
1796 posts
883 upvotes
Richmond
kanewtz wrote:
Jun 16th, 2017 8:59 am
If you people are that worried your wife will take "half" of what you have...leave now, because your marriage is obviously built on doubt/paranoia.
For this purpose you need to look at things from a legal point of view, as a credit issuer would do:

- Does your spouse have a legal right to some part of the family assets (depending on where you live)? Yes
- Is your spouse legally obligated to pay your debts? No
- Do many marriages end in divorce? Yes

So a credit issuer would be foolish to issue you personal credit based on family net worth.
Deal Addict
Nov 24, 2013
3962 posts
1048 upvotes
Kingston, ON
Your net worth now shouldn't vary on if you theoretically got divorced in the future. That's a material change in circumstances.

A statement of net worth is just a balance sheet. Assets minus liabilities equals equity (or deficit). You can do it on a personal basis, household basis, whatever, but it's only current as of any given date (market could have a Trump impeachment crash or you could get divorced or get sued or who knows... it's not a forward-looking statement). Treating personal as 50% of you+spouse is generally fair, unless there's specific reasons your assets and liabilities are divided.
Deal Addict
Jul 18, 2016
1608 posts
578 upvotes
Faith24 wrote:
Jun 16th, 2017 10:33 am
- Is your spouse legally obligated to pay your debts? No
I don't think that is correct. Your spouse is not legally required to pay your debts secured before you were married. However, any debt and any asset, accumulated by either partner during the marriage, is divisible. In fact, it really isn't particularly logical to say that, yes, you must divide 50/50 assets that YOU created, but any debt YOU accumulate in the marriage is only YOUR responsibility
Sr. Member
User avatar
Mar 9, 2012
559 posts
179 upvotes
Rich people on RFD. Can I get a loan at 5% fixed rate please?
Deal Addict
Jul 18, 2016
1608 posts
578 upvotes
FirstGear wrote:
Jun 15th, 2017 10:08 pm
... 24... admit my net worth is about only $15K.
Nothing to "admit" or be ashamed of. 15K at 24 after spending 6 years in university, is really good. Many are at about -40K because of student loans.
Deal Addict
Feb 29, 2012
1796 posts
883 upvotes
Richmond
bewiseman wrote:
Jun 16th, 2017 11:14 am
I don't think that is correct. Your spouse is not legally required to pay your debts secured before you were married. However, any debt and any asset, accumulated by either partner during the marriage, is divisible. In fact, it really isn't particularly logical to say that, yes, you must divide 50/50 assets that YOU created, but any debt YOU accumulate in the marriage is only YOUR responsibility
If the debt is secured by a joint asset, like a house or car, then sure the creditor has a claim on it. But if it's something like a credit card debt on a card in your name only, then the creditor can't go after your spouse to pay the debt. But putting only one name on a joint asset doesn't protect it from the spouse claiming a share.
Deal Addict
Jul 18, 2016
1608 posts
578 upvotes
Faith24 wrote:
Jun 16th, 2017 11:31 am
If the debt is secured by a joint asset, like a house or car, then sure the creditor has a claim on it. But if it's something like a credit card debt on a card in your name only, then the creditor can't go after your spouse to pay the debt. But putting only one name on a joint asset doesn't protect it from the spouse claiming a share.
Yes, I understand that. However, when assets/debts are divided in divorce, all family assets first go towards paying any debt, accumulated by either spouse, during the divorce.

i.e. If I were married to you, and together we had 100K of assets. You have zero debt. I have 20K line of credit debt, in my name, we accumulated while married. 20K would be subtracted from 100K = 80K, and the 80K would be divided by two - 40K each. If we had zero assets together, you would have to pay me 20K/2, or 10K, to cover your share of the debt. However, the institution holding the LOC, could only pursue me.

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