Net-Worth is the difference between your Total Assets and Total debts.
PS: If you have a pending home loan I would put in debts rather than assets...Even though it may be a conservative estimate of your net worth ,It will show the realistic picture of how far you are from "debt-free" day...
The target is to become a High Net-worth Individual. The first step towards it is to know what your net worth is as of today. Follow the simple steps below to find it. Do not aim to fill it all at once. It may take an hour or two to collect the information.
STEP 1: Open a new spreadsheet like MS-Excel or Google spreadsheet
STEP 2: Mark the first sheet as debt
STEP 3: Mark the second sheet as assets
STEP 4: Compile all the debts in the debt sheet
STEP 5: Compile all the Assets in the assets sheet
STEP 6: Compute the difference between the Total Assets & Total Debts
STEP 7: Update this spreadsheet on a quarterly basis
You can achieve it in two ways...Reduce the Debt and (or) Increase the Assets...
Lets look at which one you need to take-up...in the next post
PS: If you have a pending home loan I would put in debts rather than assets...Even though it may be a conservative estimate of your net worth ,It will show the realistic picture of how far you are from "debt-free" day...