Financial Planning: Net Worth & Cash Flow Logic

Finance as a System

Spreadsheets track numbers. CLN tracks logic. A spreadsheet tells you your net worth is $247K. CLN tells you why it's $247K, what's at risk, what decisions are pending, and what to do next — all in one scannable view.

Net Worth Snapshot

FINANCE: Net Worth — Q1 2026
    = total: $247,300 (+$18K vs Q4 2025)
    @goal: $500K by 2030 (FIRE target: $1.2M)
    @savings-rate: 42%

    —— ASSETS ——

    | 401(k): $142,000
        @allocation: 80/20 stocks/bonds
        + employer match: 6% (maximized)
    | Roth IRA: $38,000
        @allocation: index funds (VTI/VXUS)
    | taxable brokerage: $52,000
        ! $8K in individual stocks — underperforming index
        @action: consider tax-loss harvesting in March
    | emergency fund: $18,000 (6 months)
    | crypto: $4,300
        ! <2% of portfolio — acceptable risk
        @rule: no new buys, let it ride

    —— LIABILITIES ——

    - student loans: $7,000 remaining
        @rate: 3.2%
        @payoff: August 2026
        * rate < expected market return — no early payoff

    —— DECISIONS ——

    ? open 529 for future kids or invest in taxable?
        + 529: tax-free growth for education
        - 529: locked to education expenses
    ? increase bond allocation to 30% given market uncertainty?

    —— NEXT ACTIONS ——

    . max out Roth IRA contribution ($7,000) by April 15
    . rebalance taxable account (sell individual stocks)
    . review insurance coverage (last reviewed: 2024)

Reading Your Financial Map

Scan the ! lines: two risks, both acknowledged and contained. Scan the ? lines: two decisions that need research. Scan the . lines: three concrete next steps. This isn't a spreadsheet replacement — it's the strategic layer that sits above your spreadsheets.

Monthly Cash Flow Review

CASHFLOW: February 2026
    = net: +$3,200 (income $7,800 − expenses $4,600)

    + salary: $6,500
    + freelance: $1,300

    - rent: $1,800
    - groceries: $450
    - subscriptions: $127
        ! audit: 3 unused subscriptions found — cancel by Friday
    - dining: $380
        * over budget by $80 (valentine's dinner)

    . allocate surplus
        . $2,000 → Roth IRA
        . $1,000 → emergency fund top-up
        . $200 → fun money