Net worth?

Question

How does someone figure their net worth? What items would be considered for net worth?

Answer 1

assume that you die today.
1. what is the exact value of your financial assets? (bank accounts, bonds, cd's, stocks, retirement accounts, etc.) subtract any income tax that is due on capital gains.
2. what is the value someone would get if they sold your non-financial assets? cars, real estate, etc. be careful, it's easy to over-estimate the value of your "stuff" that will be sold at garage sale prices.
3. what is the value of your debts? mortgages, credit cards, etc.

your net worth is the difference between your assets and debts. notice that i didn't include any life insurance settlements. if your really want to know your value at death, add that in too.

Answer 2

I don't know at 22...I probably made about 13,000 a year while going to college. I'm 25 now, about to finish my first year teaching. I only make 25,200 a year (but w/ fully paid medical), plus I'll be working another job this summer for 8.60 an hour I just bought a new car (15,000) and have about 8,000 in college debt. I think that's about it. I have been smart and have all my credit cards paid off.

Answer 3

Put a dollar value on everything you own. Add it up. Put a dollar value on everything you owe. Add it up. Subtract debts from assets. The remainder is your net worth.

Everything you own means house, car, personal property, savings, investments, IRA, 401k and anything else that may have value.

Answer 4

At its simplest

Everything you own (Assets, bank accounts, savings, 401k, car, house, etc)
Minus everything you owe (liabilities)
= Net worth.

Answer 5

assets and liabilities

subtract your liabilities from you assets and that would be your net worth...

Answer 6

your home, insurance policies, stocks, bonds, savings, checking, and retirement. Basically anything you can turn to cash quickly if you had too..