How to Create a Comprehensive Personal Financial Statement XLS

Managing personal finances can be a daunting task. However, when it comes to achieving your financial goals, having a comprehensive view of your financial position is a crucial first step. Creating a personal financial statement is an excellent way to get started. In this article, we’ll discuss what a personal financial statement is and how to create one in Microsoft Excel.

What Is a Personal Financial Statement?

A personal financial statement is a document that outlines your current financial status. It includes information on your assets, liabilities, income, and expenses. By creating a personal financial statement, you’ll have a clear view of your financial position and can use this information to make informed financial decisions.

Creating a Personal Financial Statement in Microsoft Excel

Here’s a step-by-step guide to creating a personal financial statement in Microsoft Excel:

Step 1: Gather All Your Financial Information

Start by gathering all your financial information, including your bank statements, investment account statements, credit card statements, and loan statements. You’ll also need to gather information on any real estate or personal property you own.

Step 2: Create a New Workbook in Excel

Open Microsoft Excel and create a new workbook. You can start with a template or create a new sheet from scratch. The choice is yours.

Step 3: Create a Table of Assets

The next step is to create a table of assets. This table should include all the assets you own, such as your home, car, investment accounts, and personal property. Make sure to include the current market value of each asset.

Step 4: Create a Table of Liabilities

The next step is to create a table of liabilities. This table should include all the liabilities you owe, such as your mortgage, student loans, credit card debt, and any other loans. Include the current balance and the interest rate for each liability.

Step 5: Calculate Your Net Worth

Subtract your total liabilities from your total assets to calculate your net worth. This number represents your current financial position.

Step 6: Create a Table of Income and Expenses

The next step is to create a table of your income and expenses. This table should include all your sources of income, such as your salary, investments, and any other income. It should also include all your expenses, such as rent or mortgage payments, utilities, food, transportation, and any other expenses.

Step 7: Calculate Your Cash Flow

Subtract your total expenses from your total income to calculate your cash flow. This number represents the amount of money you have left over each month after paying your expenses.

Conclusion

Creating a personal financial statement is an essential step in achieving your financial goals. By having a clear view of your financial position, you can make informed decisions and take control of your finances. By following the steps outlined in this article, you can create a comprehensive personal financial statement using Microsoft Excel.