Net worth is your assets subtract your liabilities. Okay, if that resonates with you, that's great ! But let me start in more relatable terms.
Your net worth is everything you own minus how much debt you owe. Some spend money like their credit card is limitless or like they don't have a large mortgage in their name. Sure, the bank might not come after you like a shark but that doesn't mean they won't eventually get back the money that you owe them.
Spending habits CANNOT only consider money that you have but has to consider money that you owe. An expensive dress, t-shirt or luxury car should only be purchased when your net worth allows, not when your credit card limit does.
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