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    #16
    Originally posted by GREENBACK View Post
    Along these lines. I've heard that a pension should not be counted as part of your net worth. Can anyone explain that or is that just a rumor?
    I would not include it as net worth because
    a) the pension is not yours- it belongs to the entity which is paying you a portion of the pension per month.
    b) the pension goes away when you or spouse dies
    c) it is not a tangible thing you own (not shares, not property, not anything else).

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      #17
      Originally posted by GREENBACK View Post
      I've heard that a pension should not be counted as part of your net worth.
      I agree with Jim. A pension is not an asset that you own. That would be like counting your future Social Security benefits in your net worth since that is a government pension.
      Steve

      * Despite the high cost of living, it remains very popular.
      * Why should I pay for my daughter's education when she already knows everything?
      * There are no shortcuts to anywhere worth going.

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        #18
        That makes sense. I always look at my statement and my pay stub and see what I have and wonder about it but that explains a lot.
        "Those who can't remember the past are condemmed to repeat it".- George Santayana.

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          #19
          I see our net worth every month when I pay bills - I use Quicken to track all our assets. Portfolio value gets updated over the web, so I don't need to see monthly or quarterly statements to view the recent carnage.
          seek knowledge, not answers
          personal finance

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            #20
            Originally posted by disneysteve View Post
            I agree with Jim. A pension is not an asset that you own. That would be like counting your future Social Security benefits in your net worth since that is a government pension.
            I think it depends on the pension (granted-there are different rules for different pension plans). Most of the pensions I am familiar with you pay a percentage of your salary into it. If you leave the company before you are eligible to retire you may be permitted to keep the money on account and take a deferred pension or you could take out your contributions in a lump sum.
            If you pass away before you get a chance to collect the pension, your beneficiary gets your contributions (unless they are eligible for a survivor benefit).
            While you may not get to count your future benefits in net worth, I think you could count your employee contributions if you are in a pension plan from which you can take a lump sum distribution (if you left before qualifying for a pension) ....

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              #21
              Bleh. Mine went down $14,823 in 2009, mostly in our retirement accounts.

              I track it monthly, here:
              TBH household net worth

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                #22
                Same net worth, which is depressing considering I saved about $40k.
                LivingAlmostLarge Blog

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