Net Worth Calculator
Calculate your total net worth by subtracting your liabilities from your assets. Track your financial health and plan your wealth-building journey.
What Is Net Worth and Why Does It Matter?
Net worth is the total value of everything you own (assets) minus everything you owe (liabilities). It's a snapshot of your financial health at a given point in time — and one of the most important numbers to track on your wealth-building journey[reference:0].
How to Calculate Your Net Worth
The formula is simple: Net Worth = Total Assets – Total Liabilities[reference:1]. Start by listing all your assets — cash, investments, retirement accounts, real estate, vehicles, and other valuables. Then list all your liabilities — mortgages, car loans, student loans, credit card balances, and any other debts[reference:2]. Subtract your liabilities from your assets to get your net worth.
What's a "Good" Net Worth?
A "good" net worth depends on your age, income, and financial goals. A common rule of thumb is to aim for a net worth equal to your annual income by age 30, 3× by 40, 6× by 50, 8× by 60, and 10× by 67. Remember that net worth is just one measure of financial health — your income, savings rate, and spending habits matter just as much.
How to Build Your Net Worth
Building net worth is simple in theory: increase your assets and decrease your liabilities. In practice, this means saving more, investing wisely, paying down debt, and avoiding lifestyle inflation. Track your net worth regularly to stay motivated and see your progress over time.
Frequently Asked Questions
Net worth is the total value of everything you own (assets) minus everything you owe (liabilities). It's a snapshot of your financial health at a given point in time.
The formula is simple: Net Worth = Total Assets – Total Liabilities. List all your assets (cash, investments, property, etc.) and all your liabilities (mortgages, loans, credit card debt, etc.), then subtract.
Assets include: cash and bank accounts, investment accounts (stocks, bonds, mutual funds), retirement accounts (401k, IRA), real estate, vehicles, and other valuable possessions like jewelry or art.
Liabilities include: mortgage balance, car loans, student loans, credit card balances, personal loans, and any other outstanding debts you owe.
A 'good' net worth depends on your age, income, and financial goals. A common rule of thumb is to have a net worth equal to your annual income by age 30, 3× by 40, 6× by 50, 8× by 60, and 10× by 67.