What is net worth exactly and how is it calculated?

[MaryJne]

Is it a one time payment per hour or per year

pay minute or per second

im not sure if my teacher or the internet was honest when they explained it

does it differ between boys and girls

[OneViewpoint]

What is the value of all your liquid and illiquid assets?

• Cash
• 401K
• Other Investments like stocks, bonds, precious metals
• House equity
• Cars you own
• Loans you've made to friends and family
• Other...

Now subtract the amount of all your liabilities.

• Credit card debt
• Mortgage balance
• Car loan balance
• Personal loans
• Education loans
• Medical debt
• Other...

The difference is your net worth.

[OneViewpoint]

And yes, your net worth can be a negative number. You can owe more than you have. No bueno.

[WindAtMyBack]

"Net" means that everything is taken into account. You add up the plusses and subtract the minuses, and that gives your net.

Net worth - How much everything you own is worth, minus what you owe.

Net Pay - The same thing as take-home pay. It's the total you make, minus taxes and other deductions.

Net weight - For example if you have a glass of water. If you weigh the whole thing, and subtract the weight of the glass, you will get the net weight of the water.

[Anonymous]

The current value of your cash, real estate and other assets minus your debts. It has nothing to do with income or expenses. You might have paid $3,000 for all your clothes but in terms of net worth they might only be worth $100 right now.

[WhitneySnow]

Net worth is how much everything you own, including cash and bank accounts, is worth. It’s not supposed to differ between boys and girls, but sadly sometimes it does.

[MrOracle]

Your net worth is your total assets (money in the bank, investments, real estate or equity, etc.) minus your liabilities (mortgage, taxes, fees, etc.). In most cases, when you are talking about another person who you don't have complete access to their financial records, you are talking about someone's estimate, and these can be anywhere from fairly accurate to wildly off.

[Maybe_Maybe_not]

I only heard of net worth for companies and billionaires, I suppose it's a thing you're worrying about once you reach upperclass?

[ohsheeT]

Your net worth is the value of every thing you own.

Minus what you owe

[Nikki1989]

The value of everything you own, what is in your bank account minus expenses.

[Anonymous]

Who the f... knows? Your assets + your real estate + shape of your butt maybe?

[Sam1133]

Honey don't be too savage
She is crying in corner 😘

[Kingofkings1992]

Lol. It's how much money you have to your name