Personal Net Worth Calculator

By Stock Research Pro • November 22nd, 2008

While many people judge their financial success by their annual income, a better test is in determining how much they have- their personal net worth. Your net worth is a current snapshot of your financial state. It is a single number that represents your financial health and it can be a useful tool in measuring your financial progress over time.

Net worth is easy to calculate as it is simply the difference between your assets and your liabilities.

Net Worth = Assets – Liabilities

Assets are the things that you own and liabilities are what you owe. For example, your home (if you own one) is as asset, while what you owe on your home is a liability. The difference between these is your net worth on that asset, and the difference between all of your assets and your liabilities is your worth.

Knowing your personal net worth and understanding what it means for planning purposes is vital to your financial success.

Average Net Worth in the United States

If you have ever wondered what your personal net worth should be, based on your age, you’re not alone. Many people want to know how they “measure up” financially. The list below displays the average net worth results from a survey conducted by the Federal Reserve in 2004. Although this doesn’t tell you what your net worth should be, it can you an idea of what the average net worth is for the different age ranges.

Under age 35 = $73,500

Age 35 – 44 = $299,200

Age 45 – 54 = $542,700

Age 55 - 64 = $843,800

Age 65 – 74 = $690,900

Age 75+ = $528,100

Increasing Your Personal Net Worth

Some of the best ways to increase your personal net worth include: accumulating savings equal to at least six months of household expenses; maximizing contributions to your retirement accounts; developing a systematic plan to reduce your debt.

More information on the importance of your personal net worth


The above information is educational and should not be interpreted as financial advice. For advice that is specific to your circumstances, you should consult a financial or tax advisor.


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