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Updated February 2026โขโฑ๏ธ 9 min readโข๐ Net Worth
Assets vs. Liabilities: How to Calculate Your True Net Worth
Assets put money in your pocket. Liabilities take money out. Your true net worth is simply assets minus liabilities โ a quick snapshot of your financial health.
Track your net worth in one place
Add assets and liabilities to see your real net worth instantly.
Assets: things that build your wealth
Assets include cash, investments, retirement accounts, home equity, and any item that can be sold or produces income.
Liabilities: the drains on your balance sheet
Liabilities are debts like credit cards, student loans, auto loans, and mortgages. Anything you owe counts as a liability.
Net worth formula
Net Worth = Total Assets โ Total Liabilities
AG
Anand Godar
Financial engineer and founder of QuantCurb. Former fintech data scientist building institutional-grade calculators for everyday wealth decisions.
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