What this calculator shows you
- Momentum Categories
- See if you are Accelerating, Building, Flat, or Declining based on your trajectory.
- 12-Month Trend Chart
- Visualize your net worth changes over the past year.
- 5-Year Projection
- See where your current momentum will take you.
- Contributing Factors
- Understand what is driving your momentum up or down.
Momentum vs. Snapshot
Your net worth at any moment is just a snapshot. Momentum tells the real story: Are you gaining ground? Is the pace increasing? A $100K net worth with accelerating momentum beats $200K with declining momentum.
The Four States
Accelerating: Net worth growth is speeding up. Building: Steady positive growth. Flat: Net worth is stagnant. Declining: Net worth is shrinking. Your goal is to stay in Accelerating or Building states.
Forces That Drive Momentum
Positive forces: Rising income, increasing savings rate, investment returns, debt reduction. Negative forces: Lifestyle inflation, new debt, emergency spending, market downturns.
Questions people ask
How often should I check my momentum?
Monthly is ideal. More frequent checks create noise from market volatility. Less frequent misses important trends. Set a monthly calendar reminder to update your numbers.
What if my momentum is declining?
First, identify the cause: Is it spending, income, or market returns? Spending and income are in your control. If it is market-related, stay the course unless you need to rebalance.
How do I accelerate my momentum?
The fastest ways: Increase income through raises or side income. Reduce expenses to boost savings rate. Pay down high-interest debt. Optimize investment allocation for your risk tolerance.
Education only, not personalized financial, tax or investment advice. Results are estimates based on the numbers you enter; real returns vary and losses happen.