Net Worth Calculator
Calculate your total net worth by entering your assets and liabilities.
Enter your assets and liabilities below.
Assets
Liabilities
The Formula
Assets: cash, investments, property, vehicles
Liabilities: mortgage, loans, credit cards
Liabilities: $240,000 (mortgage) + $8,000 (car loan) = $248,000
Net Worth = $169,000
What Is Net Worth and Why Does It Matter?
Net worth is the single most comprehensive snapshot of your financial health: everything you own minus everything you owe. Assets include savings accounts, investment portfolios, retirement accounts, real estate, vehicles, and other property with value. Liabilities include your mortgage balance, car loans, student loans, credit card balances, and any other debt. The difference is your net worth. Tracking it over time — even roughly, once a year — tells you whether you are actually building wealth or just earning and spending without getting ahead.
Total Net Worth vs. Liquid Net Worth
Total net worth includes everything — including illiquid assets like home equity and retirement accounts that you cannot easily access. Liquid net worth strips those out and counts only assets you can convert to cash quickly: checking, savings, and taxable brokerage accounts. Both numbers are useful. Total net worth shows your overall financial picture. Liquid net worth shows your financial flexibility in an emergency or opportunity. Most people have a much larger total net worth than liquid net worth once home equity and retirement savings are included.
How to Build Net Worth Over Time
Net worth grows in two ways: accumulating assets and eliminating liabilities. Early in your career, paying down debt is often the faster lever. Over time, consistent investing in tax-advantaged accounts like 401(k)s and IRAs compounds into significant wealth. The most important factor is consistency — small, regular contributions to savings and debt payoff, sustained over years, outperform sporadic large efforts every time.
Frequently Asked Questions
Should I include my home in my net worth calculation?
Yes. Your home equity — current market value minus the outstanding mortgage balance — is a genuine asset. Use a reasonable estimate of market value (Zillow, Redfin, or recent comparable sales in your area). Just recognize that home equity is illiquid, meaning you cannot access it without selling or borrowing against the home.
What is the average American net worth?
According to the Federal Reserve's Survey of Consumer Finances, the median US household net worth is around $192,700 (2022 data). The mean is much higher — approximately $1.06 million — because a small number of very wealthy households pull the average up dramatically. The median is a more realistic benchmark for most households.
How often should I calculate my net worth?
Once a month works well for people actively working toward financial goals. Once a quarter is sufficient for most. At minimum, calculate it annually at the same time each year to make consistent year-over-year comparisons. Many personal finance apps like Monarch Money or Copilot track it automatically by syncing with your financial accounts.
Should I include my car in net worth?
Yes, at its current market value — check Kelley Blue Book or Carmax for an estimate. Also include any outstanding auto loan balance as a liability. Keep in mind that cars depreciate quickly, so their net contribution to your net worth decreases over time as value drops while loan balances (hopefully) fall too.
Is a negative net worth a crisis?
Not necessarily, especially for young adults with student loans or recent home purchases. A negative net worth is concerning only if it is not trending in the right direction. If your net worth is improving each year — even slowly — you are on the right track. The goal is consistent upward movement, not hitting a specific number by a specific age.