Net Worth Calculator

Net worth = everything you own - everything you owe. Assets are counted at what they would sell for today, not what they cost. Debts are the balances remaining, not the original amounts. Liquid net worth counts only cash and investments against short-term debt, leaving out the house and the cars - it is what you could actually reach quickly.

Should I include my house?

Yes, at its market value today, with the mortgage balance in the debts. That makes your home equity part of your net worth, which is correct. But look at the "net worth outside the house" line too: equity in the home you live in cannot be spent without moving.

Do I count my car?

Count its resale value, not what you paid, and put the loan balance in the debts. Many people are upside down on a car - owing more than it is worth - and this is the calculation that shows it.

What about furniture and clothes?

Leave them out. They would sell for a fraction of their cost and counting them just inflates the number without telling you anything. The rough test is whether you would insure an item separately.

Is a negative net worth bad?

Not on its own. A newly qualified doctor with student loans and a first mortgage will be deeply negative and in excellent shape. What matters is whether the number rises over time. Work it out twice a year and watch the direction.

How do I raise it?

Only two levers exist: own more or owe less. Paying 500 dollars against a credit card raises your net worth by exactly 500, guaranteed. Investing 500 raises it by 500 today and possibly more later. High-interest debt first, because that return is certain.

What is a good net worth for my age?

There is no honest single answer, because it depends on income, cost of living and whether you were paying for education or supporting family. The age-times-income-over-ten rule shown above is a rough marker, not a verdict. Comparing this year to your last year is more useful than comparing yourself to anyone else.