The Beauty of a Balance Sheet
Get ready.
Greetings Prosperous Souls,
A balance sheet is one of the best ways you can organize your assets and debts. But—ugh, you say—spreadsheets are so boring!
Well, turns out balance sheets can be fun. Allow me to explain:
Organization is Key
In my dad’s Financial Workshop, he teaches that the first step toward Financial Health is simply knowing your numbers.
In sailor’s terms, you can’t sail toward an island unless you know where it is. That’s what lighthouses are for.
A balance sheet is that lighthouse for your finances. It points the way to safe harbor when you’re lost at sea.
A high net worth is your ultimate goal. The higher your net worth is, the more altitude you gain. The higher your altitude, the more freedom and mobility you have to make choices.
Balance Sheet Affluence
A balance sheet allows you to organize your assets and debts (what you own vs. what you owe). When you reconcile these amounts, you get your altitude (net worth).
My dad uses the term altitude because he likens a home’s finances to an airplane getting off the ground. If your net worth is $5,000, then your altitude is 5,000 feet in the air.
However, if you’re like most Americans, your net worth is likely in the negative. Dad calls these households submarines.
They’re stuck in the ocean’s depths. The only way out is to steadily plug away at debt and build savings. This can take a long time.
In my wife’s and I’s case, we were so burdened by liabilities that our altitude equaled negative eighty thousand dollars! We were so stuck that we were right next to the Titanic. If we didn’t receive a miracle, we’d be trapped there for years.
Hard Times Make Strong Families
Thankfully, my wife and I created a plan to get out of debt. We made painful choices and targeted our smallest debts first, then moved on to the next ones after that (the Debt Snowball method). Slowly, our altitude grew.
But here’s the fun part.
Dad helped us create a balance sheet in Google Sheets. He added an equation that automated every answer we put in. Whenever I paid off a bill or added to our savings, our net worth increased. It was so much fun to watch.
I started checking my balance sheet every day. It became part of my routine, right next to reading my Bible, praying, and writing.
Each morning, I’d pop open my balance sheet, input my numbers, and watch my altitude climb. It was so gratifying to see our numbers improve. It gave me hope and made spreadsheets fun. Who’da thought?
Sample Balance Sheet
Here’s a sample balance sheet from my wife and I. It includes the financial overview of two adults (Colleen and I) and our toddler, so three people in total.
I hope this sample inspires you to build your own spreadsheet and keep a close watch on your altitude. 👇🏻
Some Notes on our Balance Sheet
This spreadsheet is from December 2023. Today, our debts are down to forty thousand dollars. That’s a miracle!
It’d be dishonest to say that this progress was because of our own efforts. Many breakthroughs came in the form of windfalls, forgiven debts, and refinanced loans.
One medical provider admitted to making a mistake and deleted our bill altogether. Eleven thousand dollars disappeared with the snap of a finger!
Point is, God put wind to our feet. He honored our pursuit of stewardship—or at least our attempt at it. He came alongside us and imparted strength. This reminds me of the verse:
… [The Lord] said to me, “My grace is sufficient for you, for my power is made perfect in weakness.” Therefore I will boast all the more gladly of my weaknesses, so that the power of Christ may rest upon me. For the sake of Christ, then, I am content with weaknesses, insults, hardships, persecutions, and calamities. For when I am weak, then I am strong. — 2 Corinthians 12:9-10 (ESV)
And this one too:
“Come to me, all you who are weary and burdened, and I will give you rest. Take my yoke upon you and learn from me, for I am gentle and humble in heart, and you will find rest for your souls. For my yoke is easy and my burden is light.” — Matthew 11:28-30 (NIV)
A Brief List of Miraculous Breakthroughs
We witnessed God perform many miracles during our journey. Here are just a few instances that expedited our process:
One medical bill of $40,000 was 100% forgiven.
Another medical bill of $11,000 was 50% forgiven.
A $10,000 medical bill was 100% forgiven, admitted as a mistake.
Donations from friends and family helped us eliminate smaller medical bills.
Refinancing our credit cards allowed us to escape crushing interest rates.
In all, God erased around $70,000 from our liabilities. We’ll never forget that.
Don’t Miss the Live Meeting
Dad’s live discussion is this afternoon at 3:30 PM (CA time). The focus is Chapter 3 of Prosperous Soul Online: Advanced, which talks about the orphan spirit. If you don’t have a copy of his manual, you can find one here. The handout for this week is available here.
Gaining altitude,
Cory De Silva
About: Cory De Silva is an American poet, singer/songwriter, screenwriter, actor, and filmmaker. He has released 2 studio albums, acted in 3 feature-length films, co-written 1 feature-length film, and published a small book of poetry. He is a graduate of CSU Long Beach, and lives in Redding with his wife, Colleen, and their son, Bryght.