Net worth · 5 min read
How to Calculate Net Worth
Calculating net worth is a balance sheet exercise: one list for what you own and one list for what you owe.
By Syvoq Editorial Team, Product, methodology, and review ·
Key takeaways
List assets at realistic values
Include cash, bank accounts, investments, retirement accounts, property equity, vehicles, and valuable items. Use values you could reasonably defend today.
List liabilities in full
Include credit cards, loans, mortgages, unpaid taxes, personal loans, and other balances. Use the current payoff balance where possible.
Separate useful subtotals
Total net worth is useful, but investable net worth can be more useful for financial independence planning because it excludes harder-to-spend assets like a primary home.
Use one date, one currency, and no double counting
Choose a month-end or another date you can repeat and collect balances as close to it as practical. Convert foreign-currency accounts with one documented exchange rate. For a jointly owned asset, include only the share that belongs in the balance sheet you are building, and match it with the corresponding share of the debt. Consistent boundaries make later comparisons trustworthy.
Avoid common duplicates. The cash in a brokerage account may already sit inside the brokerage total. A pension fund should not also appear under investments if the first figure included it. Your home enters as an asset at a realistic value and the outstanding mortgage enters separately as a liability—do not add “home equity” as a third item. Keep a short note beside estimates so next month uses the same approach.
Total net worth
Includes suitable estimates for property and other meaningful assets alongside every debt balance.
Liquid net worth
Focuses on cash and assets that can be accessed reasonably quickly, minus near-term liabilities.
Investable net worth
Separates the portfolio available for long-term goals from a primary home and personal-use possessions.
Worked example
Including a home correctly
A home worth €240,000 with a €180,000 mortgage adds €60,000 of equity to net worth, not the full property value by itself.
Common mistakes
Mixing estimated future values with current balances.
Ignoring taxes or selling costs for assets that would be expensive to liquidate.
Changing the method every month, which makes the trend less meaningful.
Sources and limitations
Educational content, not individualized financial advice. Confirm material decisions with an official source or regulated professional.
About the editorial team
Syvoq Editorial Team
Product, methodology, and review
The Syvoq editorial team builds the product, maintains the methodology behind each calculator, and reviews every guide against official Portuguese and European sources before publication or update.
Editorial standards →Action steps
Keep the snapshot current
Bring every account into one net-worth view
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