How this calculator works
Net worth is the truest one-number snapshot of your finances because it captures the whole picture at once — not what you earn or spend, but what you've actually built. The formula is simple: total assets minus total liabilities. Everything you own that has value goes on one side; everything you owe goes on the other; the difference is your net worth, and it can be positive or negative. Tracking it over time is the single best way to know whether you're moving forward, because income and spending only matter insofar as they grow this number.
This tool does more than subtract. It shows where your wealth is concentrated, splits your assets into liquid, retirement, and illiquid buckets so you can see how much you could actually reach in a hurry, calculates your debt-to-asset ratio, and benchmarks your total against the typical net worth for your age — turning a single figure into a real read on your financial health.
The method
The liquidity split separates assets you can spend now (cash, taxable investments) from retirement accounts (reachable but penalized before 59½) and illiquid holdings (home, vehicles, other) that take time or cost to convert.
- Assets $620,000 across cash, investments, retirement, home, vehicles and other.
- Liabilities $339,000 across mortgage, auto, student, cards and other.
- Net worth: $281,000 — assets minus liabilities, the headline figure.
- Liquid net worth: $6,000 — what you could reach quickly, once the home and retirement accounts are set aside.
What the number is telling you
A healthy balance sheet isn't just a big net worth — it's a well-structured one. Watch three things: your debt-to-asset ratio (lower is safer; high-interest debt like credit cards is the most urgent to clear), your liquidity (enough accessible cash to handle emergencies without selling assets or borrowing), and the trend (is the number rising year over year?). Benchmarks against your age are motivating but imperfect — they're skewed by housing markets and income, so treat them as a rough guide. The only comparison that always matters is your net worth today versus a year ago.
Frequently asked questions
How do I calculate net worth?
Add everything you own (cash, investments, retirement, home, vehicles, valuables) for total assets, add everything you owe (mortgage, loans, cards) for total liabilities, and subtract. The result can be positive or negative.
What's a good net worth for my age?
It varies widely, but approximate U.S. medians rise from ~$39k under 35 to ~$135k in your late 30s–40s and ~$247k into your 50s. Medians are a rough guide; growth over time matters most.
What is liquid net worth?
The part you could access quickly — cash and taxable investments — minus short-term debt, excluding your home and retirement. Many people have high total net worth but low liquid net worth.
Should I include my home and car?
Yes — they're real assets. Just remember they're illiquid: the equity counts toward net worth, but you can't spend it without selling or borrowing against it.