Net Worth Calculator

What Is Net Worth & Why Does It Matter?

Your net worth is the single most important number in personal finance — calculated as Total Assets − Total Liabilities. A positive net worth means you own more than you owe; negative means the opposite.

How to Calculate Net Worth

List everything you own (assets): cash, investments, property, retirement accounts, vehicles, gold. Then list everything you owe (liabilities): loans, credit card balances, mortgages. Subtract liabilities from assets.

Benchmarks by Age

• 20s: Any positive net worth is a great start. Focus on eliminating high-interest debt.
• 30s: Aim for 1–2× annual income. Maximise retirement contributions.
• 40s: Target 3–4× annual salary. Diversify across asset classes.
• 50s: Aim for 5–7× salary. Shift toward capital preservation.
• Retirement: 10–12× your final annual salary to sustain a 30-year retirement.

5 Ways to Grow Your Net Worth

• Invest consistently: SIPs and index funds let compounding do the heavy lifting.
• Kill high-interest debt first: Credit card interest (18–36% p.a.) destroys wealth faster than investments build it.
• Add income streams: Side business, rental income, dividends raise the asset side.
• Track annually: Recalculate every 6–12 months. Awareness drives better decisions.
• Avoid lifestyle inflation: Channel salary raises into investments, not spending.

Debt-to-Asset Ratio

Divide total liabilities by total assets. Below 0.5 (50%) is healthy. Above 0.8 signals financial fragility and warrants aggressive debt reduction.