Net worth is a calculation of all debts subtracted from all expenses.
Assets – Liabilities = Net Worth
Understanding your net worth with an itemized view
We can also give an itemized account of your net worth. This is an audit of each of your accounts, all of your debt and what the grand total is.
- Money in your bank accounts
- Money in your savings accounts
- Total value of your investments
- Your car(s) values
- Current market value of your home
- Any business interests (ownership, partnership, etc)
- Personal property that can be easily liquidated
- Insurance policy value (cash value)
- Main mortgage
- Other mortgages
- Car loans
- Credit card balances
- Student loans
- Liens or judgements against you
Same as before – add up all assets, add up all liabilities, and subtract the liabilities from the assets.