Net worth

Net worth is a financial metric that represents the value of an individual, organization, or entity. It is calculated by subtracting liabilities from assets (including cash, investments, real estate, vehicles, and other valuable possessions). Net worth provides an estimate of an entity’s overall financial health and serves as a measure of wealth.

So if you own $100,000 worth of property and savings and you owe $50,000 to the bank in total for your debts, your net worth is $50,000.

If you owe more than your stuff and savings combined then you have negative net worth.