Personal Assessment Part 2:

Once you have your monthly expenses recorded, look through your pay stubs to see what your net income is for the month. The easiest way to calculate it is to look at your bank statements or the physical cheque that you are given. This is your net income for the pay period.

**Semi Monthly:** easy, take your net income and multiply by 2. That is your monthly net income.

**Bi-Weekly:** If you get paid the same thing every two weeks, your monthly net income is your net amount on your cheque multiplied by 2.17. Since there are two additional pay periods in the year (on top of the regular twice per month), getting the right number is a bit tougher. If you want to do the math to figure it out yourself, there are 52.1775 weeks in the year, divide by 2, and you have 26.08 (or 26) pay cheques, divided by 12 is 2.17. If you calculate 52.0 weeks, you will get 2.166 (round up to 2.17.

**Weekly:** Multiply your weekly income by 4.33 to get your average monthly income.

**Irregular hours with payroll:** Take the amount of the YTD on your pay stub’s net income and divide it by the number of weeks since the first of the this year. You could also divide by the number of months to get your monthly average. If it is the 15th of September, you would divide by 9.5 to get your monthly income.

Your monthly net income is now done, do it for the household to find your family monthly net income. Since it is assumed that your household shares income, you will share your expenses as well.

Savings is calculated by subtracting your monthly expenses from your monthly income. If you have a positive savings, greater than zero, than you have options that are different that if your savings is a negative.