How to Calculate Your Net Worth

Your net worth is a measure of your financial stability, and knowing your net worth gives you a handle on how healthy you are economically. The way to determine your net worth is simply adding up what you own – your assets, such as account balances and real estate – and subtracting what you owe – your liabilities like your mortgage and credit card debt.

Creating a detailed net worth statement gives you a good idea of where you can do better moving forward. It’s advisable to do this once a year. Our net worth will get you going.