Regularly Monitor Your Net Worth
It's important to keep track of your monthly cash flow with a budget, but you also should get in the habit of looking at your bigger financial picture by calculating your net worth. "Net worth is the actual measuring stick of wealth, not your working income," said Chris Peach, founder of personal finance blog Money Peach. "Therefore, checking your net worth throughout the year is a must."
Every three months, he and his wife monitor their net worth by adding up all of their assets (what they own) then subtracting their liabilities (what they owe). For example, if you had assets of $385,000 in cash, investments and your home, and liabilities of $230,000 in mortgage and consumer debt, you'd have a net worth of $155,000.