The idea of computing your net worth can seem intimidating. It sounds awfully accounting-ish and formal. When it’s just for your own information, it’s easy.
Take a piece of paper or a spreadsheet. Write down the value of your big stuff:
Home if you own it (https://www.zillow.com/how-much-is-my-home-worth/),
Other real estate,
Bank account balances,
Brokerage account, IRA, 401k, (just use the most recent statement. Doesn’t need to be exact to the penny.)
The amount you could get for your car, jewelry, and collectibles if you sold them, (If you guess, guess low.)
Anything else I haven’t thought of.
Add it up.
Write down everything you owe:
Mortgage,
Credit cards, personal loans, car loans, medical and dental bills, (this does not include current utility bills, only debts)
Anything else I haven’t thought of.
Add it up.
Subtract the amount owed from the total of assets.
If the amount is negative, it’s probably a good idea to work on reducing the amount of debt you have.
If it’s positive, you’re way ahead of many people, so keep on!
Adventures in Frugal Living 