The Assets/Debt Tab is where information about the customer’s net-worth is entered, calculated and stored. This is where you can start to get an accurate picture of your customer's financial health.
- Assets include the monetary value of everything a person owns: including cash on hand, account balances, and physical assets that have value such as a home or a car.
- Debts include the monetary amount of the liabilities a person owes money for: such as a car loan, or a mortgage.
A person’s net-worth is typically calculated by subtracting their total asset amount by their total debt amount.
After striking up a conversation with your customers to find out the existing balances of their various financial accounts, click on the Assets/Debt Tab to enter information about their Assets and Debts to get an understanding of a customer’s net-worth.
Entering Assets:
- In the Asset section, click on the blue Plus (+) sign icon to the far right.
- You can also click on the Quick Entry button and skip to Step #3. You will have a drop down menu titled Asset Category will the same choices in Step #2.
- You can also click on the Quick Entry button and skip to Step #3. You will have a drop down menu titled Asset Category will the same choices in Step #2.
- From the Plus (+) sign icon, you have three (3) choices to enter Asset line items:
- Money Bag Icon = Cash
- Graph Icon = Investments
- House Icon = Physical Assets
- After selecting an Asset Type, you can then enter information about that Asset. For each of the three asset types, Change Machine allows you to enter more details about the specific asset type through the Subtype.
- Repeat these steps for every Asset your Customer has.
- After adding and editing your Customer's Assets, you can click Baseline. By selecting Baseline, you are indicating all the Assets have been entered and progress can start being tracked over time. In this way, when you enter any new assets or new account balances in the future, you can compare them to the Initial or Baselined Total of Assets.
Entering Auto Deduct Information:
If your Customer has any money auto deducted from their bank account each month, enter the total amount per month in the Auto Deduct field. This amount can be copied into later months and updated.
Entering Debts:
- In the Debt section, click on the blue Plus (+) sign icon to the far right.
- You can also click on the Quick Entry button and skip to Step #3. You will have a drop down menu titled Debt Category will the same choices in Step #2.
- You can also click on the Quick Entry button and skip to Step #3. You will have a drop down menu titled Debt Category will the same choices in Step #2.
- From the Plus (+) sign icon, will see a screen to enter information about the Debt.
-
- Debt Subtypes: Includes various options to categorize this type of Debt.
- Credit Card Limit/Original Loan Amount: This is the maximum amount of available credit on a credit card or the total amount of the original loan. This can usually be obtained from the customer’s credit report.
- Baseline Balance: This is the current balance of the debt that the customer has on the account. This amount can often be obtained from the customer’s credit report. This is considered baseline because it’s the current balance that you’ll be tracking progress on paying down over time.
- Monthly Minimum Payment: This is the monthly minimum amount that the customer is required to pay for that specific debt account. If your customer does not know this information, you can enter $0.00 here and return to this page at a later time.
- Interest Rate: This is the annual interest rate that the debt account is charging. If your customer does not know this information, you can enter 0% here and return to this page at a later time.
- Urgent Debt: Check this box to denote that this is a debt that is past due, such as rent or utilities, parking tickets or utilities.
- Productive Debts: Check this box to denote that this is a debt for purchases that will increase in value over time, such as a mortgage on a house.
- Collections/Charge-offs: Check this box to denote that this is a debt that is in collections or is a charge-off.
-
- Click Save to save this Debt to the Customer record.
- Repeat these steps to add additional Debts that you Customer has.
- After adding and editing your Customer's Debt, you can click Baseline. By selecting Baseline, you are indicating all the Debts have been entered and progress can start being tracked over time. In this way, when you enter any new assets or new account balances in the future, you can compare them to the Initial or Baselined Total of Debt.
Editing or Deleting Assets or Debts:
- Click on the Date Month of the Assets or Debts you want to edit.
- To edit an Asset or Debt, click on the pencil icon to the far right of the asset or debt you want to edit.
- You can edit an Asset or Debt in three (3) ways:
- Edit Item Baseline: Editing the Baseline Balance edits the amount that was Baselined. This will be reflected in small print beneath the current item Balance.
- Update Month: Editing the Month updates the current Balance for the Date Month that you chose.
- Delete: Deleting a line item deletes it from all previous months in which it was entered. Be sure you want to do this before clicking Delete.