What is a good net worth for my age?

A common benchmark is: expected net worth = (age x annual pre-tax income) / 10. At age 30 earning $60,000, the target is $180,000. However, this varies greatly by circumstances, student debt, and cost of living.

Is my home equity an asset?

Yes. Home equity (market value minus mortgage balance) is typically the largest asset for middle-class households. However, it is illiquid, meaning you cannot easily spend it without selling or borrowing against it.

Should I include my car in net worth?

Include it at current market value (not what you paid). Cars depreciate rapidly, so their contribution to net worth shrinks over time. Some financial advisors exclude depreciating assets for a more conservative view.

How often should I calculate net worth?

Quarterly or annually is sufficient. Monthly fluctuations in investment and real estate values can be misleading. Focus on the long-term trend rather than short-term movements.

Is negative net worth always bad?

Not necessarily. A recent medical school graduate may have -$200,000 in student loans but high future earning potential. Negative net worth is concerning when it is growing worse over time or caused by consumer debt.

Net Worth Calculator

Add up everything you own, subtract everything you owe — your number tells the real story of your finances.

Net Worth Calculator

Calculate your total net worth

Sum your assets minus liabilities

Cash & Savings ($)

Investments ($)

Property Value ($)

Total Debts ($)

Formula

Net Worth = Total Assets - Total Liabilities

What Is Net Worth?

Net worth is the single most honest snapshot of your financial life. It's calculated by adding up all of your assets — cash in checking and savings accounts, investment portfolios, retirement accounts like a 401k or IRA, the current market value of real estate you own, vehicles, and any other valuables — then subtracting all of your liabilities, which include your mortgage balance, car loans, student loans, credit card balances, and any other debts you owe.

Unlike income, which only shows what's flowing in right now, net worth shows the cumulative result of every financial decision you've ever made. A high income doesn't guarantee a high net worth — someone earning $200k a year but spending every dollar still has a net worth of zero. Tracking your net worth over time is the clearest way to see whether you're actually building wealth, holding steady, or sliding backward. Most financial planners recommend calculating it at least once a quarter.

How to Calculate Your Net Worth

1List every asset you own along with its current market value — include bank accounts, investment accounts, retirement savings, real estate equity, vehicles, and any other valuables.
2List every liability you carry with the current payoff balance — mortgage, car loans, student loans, credit cards, personal loans, and any other outstanding debts.
3Enter your totals into the calculator and click Calculate to see your complete breakdown.
4Review your total assets, total liabilities, and net worth — then save or screenshot the result to track your progress over time.

The Net Worth Formula

Net Worth = Total Assets − Total Liabilities

Assets:
  Liquid:       cash, savings, checking accounts
  Investments:  stocks, bonds, mutual funds, ETFs
  Retirement:   401k, IRA, pension, Roth IRA
  Crypto:       Bitcoin, Ethereum, and other digital assets
  Real estate:  home value, rental properties, land
  Personal:     vehicles, jewelry, collectibles, valuables

Liabilities:
  Mortgage balance (not monthly payment — current payoff amount)
  Car loans
  Student loans
  Credit card balances
  Personal loans / lines of credit
  Any other debts

Always use current market values for assets (not what you paid) and current payoff balances for liabilities (not the original loan amount). Re-run the calculation every quarter to see your trend — a rising net worth over time is the clearest proof that your financial plan is working.

Real-World Net Worth Examples

Young Professional — Net Worth $17,000

Assets: savings account $8,000 + 401k balance $22,000 + car market value $15,000 = $45,000 total assets. Liabilities: student loan balance $20,000 + car loan balance $8,000 = $28,000 total liabilities. Net worth: $45,000 − $28,000 = $17,000. This is a strong start — positive net worth in your 20s with growing retirement savings puts you ahead of most peers.

Family Homeowner — Net Worth $335,000

Assets: home market value $400,000 + investment accounts $150,000 + savings $70,000 = $620,000 total assets. Liabilities: mortgage balance $260,000 + car loans $25,000 = $285,000 total liabilities. Net worth: $620,000 − $285,000 = $335,000. Home equity is the biggest driver here — as the mortgage is paid down and home value grows, net worth climbs steadily.

Pre-Retiree — Net Worth $1,730,000

Assets: home value $550,000 + retirement accounts (401k + IRA) $1,100,000 + savings and cash $200,000 = $1,850,000 total assets. Liabilities: remaining mortgage balance $120,000 = $120,000 total liabilities. Net worth: $1,850,000 − $120,000 = $1,730,000. At this level the retirement nest egg is well-funded, and paying off the mortgage over the next few years will push net worth close to $1.85M.

Frequently Asked Questions

What is a good net worth at 30, 40, or 50?▾

A common benchmark is to have saved roughly 1× your annual salary by age 30, 3× by 40, and 6× by 50 — but these are guidelines, not hard rules. Your net worth depends heavily on your income, cost of living, and financial goals. More important than hitting a specific number is seeing your net worth grow consistently year over year.

How does home equity count toward net worth?▾

Home equity — the difference between your home's current market value and your remaining mortgage balance — absolutely counts as an asset. If your home is worth $400,000 and your mortgage balance is $260,000, you have $140,000 in equity that goes into your net worth. Keep in mind that home values fluctuate, so use a realistic current market estimate rather than your purchase price.

Should I include my 401k in my net worth?▾

Yes. Your 401k, IRA, Roth IRA, and any other retirement accounts are real assets that belong in your net worth calculation. Some people prefer to calculate two numbers — one with retirement accounts and one without — to see how much of their net worth is liquid versus locked up. But the standard net worth definition includes all retirement assets at their current account balance.

What is the median US net worth?▾

According to the Federal Reserve's Survey of Consumer Finances, the median net worth of US households is approximately $192,700 (2022 data). The mean is much higher — around $1,063,700 — because a small number of extremely wealthy households skew the average. Net worth also varies dramatically by age: the median for households under 35 is around $39,000, while for households 65–74 it's approximately $410,000.

How can I grow my net worth faster?▾

The most effective levers are: (1) increase income through raises, side income, or career moves; (2) reduce high-interest debt aggressively — every dollar of debt paid off increases net worth by one dollar; (3) invest consistently and let compound growth do the heavy lifting; (4) avoid lifestyle inflation — keep expenses steady as income rises; and (5) track your net worth quarterly so you stay motivated and catch problems early.