Suppose that I have the following account balances:
Personal Banking Account $10,000 TFSA $40,000 RRSP $60,000
I would like to calculate my net-worth.
The nuance to this problem is that, the money that is in the RRSP will be taxed when it is removed. How should I estimate how much of that money is mine?
Right now I know that my networth is somewhere between $80k (discounting 50% of RRSP) and $110k (discounting none of the RRSP).
Things to consider:
- I am not sure how much I will make in retirement
- I am not sure how much my RRSP will grow or how much I will contribute to it
I could just discount the money in my RRSP by an arbitrary number like 20% but if there is a better (but still easy) way to do this, I would be interested.