The Wealth Canvas: A New Way to See Your Money Journey

The Wealth Canvas simplifies your financial life by showing where you stand and where you're headed. Track income, goals, and emotions to make smarter choices. Use it to shape your wealth journey!

Have you ever tried to figure out your entire money situation? It’s like solving a puzzle where the pieces keep moving! After years of helping people with their money, I created a tool that makes it easier: The Wealth Canvas.

You can create your own Wealth Canvas here:

Enter your data.
Export your overview as image.
Use it for future decisions.

Why You Need a Wealth Canvas

Managing money isn’t just about numbers and budgets. It’s about understanding how you feel about money, where you are now, and where you want to go. Most financial plans miss this big-picture view, but the Wealth Canvas shows it all.

Think of it like a map for your money, all in one place. It’s not just a snapshot—it’s a tool that helps you make smart choices.

How the Wealth Canvas Works: Now vs. Later

The Wealth Canvas is divided into two main parts:

Your Current Situation
Your Future Plans

Before you plan for the future, you need to know where you stand today.

1. Your Current Situation: Where You Are Now

This section helps you see your income, expenses, savings, and feelings about money. Knowing these details sets the stage for growing your wealth.

A. Monthly Money Streams

Tracking your income and spending is key to understanding your cash flow. Are you spending more than you earn? Knowing this can help you make better choices.

Key Questions to Ask:

Where does your money come from? (Examples: paycheck, side jobs, investments)
How reliable is each source? A full-time job might be steady, but freelance work can change.
What are your regular bills? Examples: rent, electricity, streaming subscriptions.
What costs can you cut? Maybe you can switch to a cheaper phone plan or cancel unused services.
Do you have expenses you forget? Annual fees like insurance can sneak up on you.

Break it Down into Three Areas:

Income: Money from your job or investments.
Regular Costs: Bills and subscriptions.
Debts: Loans or credit card balances.

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Tip: Include yearly costs by dividing them into monthly amounts. This gives you a clearer picture.

B. Wealth Position

Wealth isn’t just about money in the bank. It includes things you own and the people you support. This section helps you see all your assets.

Important Questions:

What valuable things do you own? (Examples: your home, car, stocks)
Who depends on you financially? (Examples: kids, parents)
Who might need your help later? (Think about future responsibilities.)
What other assets do you have? Non-cash resources can be valuable, too.

Examples of Hidden Assets:

Skills or Certifications: These can boost your income.
Contacts and Networks: Friends and colleagues who can help you find opportunities.
Digital Assets: Domain names or online content.
Intellectual Property: Patents or creative works.

Wealth is more than numbers—it’s your whole financial world.

C. Emotional Factors

How you feel about money affects your choices. Recognizing your money habits can help you avoid mistakes.

Questions to Reflect On:

What’s your first memory about money? Early experiences often shape lifelong behaviors.
How did your parents handle money? Their habits may influence yours.
What money decisions do you regret? Learning from the past helps avoid future errors.
What makes you feel confident or nervous about money? Recognizing your feelings helps manage them.

Common Emotional Patterns:

Selling investments too soon when markets drop.
Buying things impulsively when stressed.
Ignoring important money choices out of fear.

Look for patterns to better understand your financial behavior.

D. Investment Personality

Your investment style affects how you balance risks and rewards. Understanding your comfort level can shape your strategy.

Ask Yourself:

How do you feel when your investments lose value? This shows your risk tolerance.
How often do you check your portfolio? Frequent checking can signal anxiety.
Are you more excited about potential gains or protecting what you have? Your answer shapes your goals.

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Example: A cautious investor might prefer bonds, while someone willing to take risks might choose stocks or cryptocurrency.

Use this self-awareness to guide your investment choices.

The Wealth Triangle

The Wealth Triangle is a framework to organize your finances:

Foundation Zone: Emergency fund and basic insurance.
Growth Zone: Index funds and conservative stocks.
Opportunity Zone: Riskier investments like startups or crypto.

For more, check out my article: The Wealth Triangle: A Simple Way to Build Wealth.

2. Your Future Situation: Where You Want to Go

This section helps you set goals and plan the steps to get there. Thinking about your future keeps you motivated.

A. Goals and Vision

Clear goals make it easier to stay on track.

Ask Yourself:

What does financial freedom mean to you? Maybe it’s working less or traveling more.
When do you want to retire or reach independence? Set a specific target.
What legacy do you want to leave? This could mean donating to causes or supporting family.

Break Goals into Time Frames:

1-year goals: Small wins like paying off a credit card.
5-year goals: Bigger plans, like saving for a house.
10-year goals: Long-term dreams, like early retirement.

B. Action Steps

Turning insights into actions makes your plan real.

Immediate Steps (Next 30 Days):

Start automatic savings.
Check your insurance coverage.
Track your expenses.

Medium-Term Steps (3-6 Months):

Rebalance your investments.
Review your tax strategies.
Build an emergency fund.

Long-Term Steps (6-12 Months):

Review estate planning.
Adjust your investments as needed.
Rethink your career if it doesn’t match your goals.

Real-Life Examples

Case 1: Sarah, the Inheritor Sarah inherited €500,000 but felt overwhelmed. Using the Wealth Canvas, she:

Understood her emotional ties to money.
Used the Wealth Triangle to structure her plan.
Made a sustainable, long-term strategy.

Case 2: Michael, the Professional Michael earned €150,000 a year but couldn’t save. The Canvas helped him:

See emotional spending habits.
Align his actions with his goals.
Find passive income opportunities.

Common Mistakes to Avoid

1. Waiting for the Perfect Start

Begin with simple steps. Update as you learn.

2. Ignoring Emotional Patterns

Understand how feelings drive decisions.

3. Skipping Reviews

Check your finances monthly. Revisit goals every few months.

Use Digital Tools

The Wealth Canvas works well with apps that track budgets or investments. Soon, I’ll offer a digital version so you can enter your data and download it anytime.

Tip: Apps are great for tracking details, but keep your big-picture view on the Canvas.

Special Considerations

Business Owners

Include your business value as an asset.
Plan for cash flow and succession.

Families

Set education savings goals.
Review your estate plans.

Young Professionals

Focus on growing your skills.
Start an emergency fund and invest early.

Next Steps

Use the Wealth Canvas App.
Fill out your Current Situation.
Take time with the Emotional Factors.
Set clear, measurable goals.
Create action steps.

Remember, the Wealth Canvas is a living tool. Keep updating it as your life and finances grow.

Final Thoughts

The Wealth Canvas, along with the Wealth Triangle, helps you see your whole financial picture. It’s not just about making money—it’s about using money to live your best life.

Continue reading: 10 signs your should overthink your money mindest

Disclaimer: This article is based on personal experience and should not be considered financial advice. Always consult with a qualified financial advisor before making investment decisions.