Net Worth
What is Net Worth?
What you own minus what you owe.
Understanding Net Worth
Net worth adds up your assets, such as cash, investments, retirement accounts, and the value of your home, and subtracts your liabilities, such as mortgages, loans, and credit card balances.
It is a snapshot of your financial position. Tracking it once or twice a year shows whether you are moving in the right direction, even when monthly cash flow is noisy.