Net worth
Difference between what you owe and own.
Track your net worth over long periods, it’s an effective way to see if your finances are moving in the right direction.
What is your net worth and why is it important?
Why your net worth
is important ?
If your net worth consistently increases, then you’re moving in the right direction.
Calculate
Net worth.
The first step in calculating your net worth is adding up your assets and liabilities. Your assets include anything of value that you own, while your liabilities include anything you owe. Once you’ve added up your assets and liabilities, just follow this basic formula:
Assets - Liabilities = Net worth
