Net Worth Calculator

Net worth is the foundation of personal finance measurement. It answers the one question that matters most: if you liquidated everything you own and paid off every debt, what would be left? The formula is straightforward — assets minus liabilities — but what makes it powerful is using it consistently over time.

Most people think about their finances in terms of income and monthly expenses. That perspective misses the full picture. High earners can have negative net worth if they spend everything; moderate earners who save consistently often build more wealth than higher earners who don't. Net worth captures the cumulative effect of financial decisions made over years.

When calculating assets, always use current market values, not purchase prices or sentimental values. Your car bought for $35,000 five years ago might be worth $18,000 today — that's what belongs in your calculator. For real estate, use a realistic current market estimate or a recent appraisal. For retirement accounts, use the current account balance.

On the liabilities side, use outstanding balances, not original loan amounts. A $200,000 mortgage with $160,000 remaining is a $160,000 liability. The discipline of tracking liabilities declining over time — while assets grow — is one of the most motivating aspects of regular net worth calculation.