How to Compute Your Net Worth (and Why It's the Only Number That Matters)

Most people track their income. Very few track their net worth — and that's a mistake, because income is what you earn while net worth is what you actually keep.

You can earn ₱100,000 a month and have a negative net worth. You can earn ₱30,000 a month and be quietly building real wealth. The number that tells the truth is net worth.

The formula is simple

Net worth = What you own − What you owe

• Assets — cash, savings, investments, real estate, vehicles, business equity
• Liabilities — home loans, car loans, credit card balances, personal debts

Subtract the second from the first. That's it.

Try it right now

I built this calculator so you can run your number without leaving the page. Nothing is saved or sent anywhere — it's all in your browser.

What to do with the number

The value isn't the number itself — it's the trend. Compute it today, then again in 6 months. Is it going up?

• Going up → you're keeping more than you spend. Keep going.
• Flat → you're earning but not building. Time to look at savings rate.
• Going down → spending or debt is outpacing you. This is fixable, and the sooner the better.

Track net worth quarterly. It's the single best habit for staying honest with yourself about money.

The next step

Once you know your number, the questions get interesting: How do I grow it faster? How do I protect it from a setback? That's where a real plan comes in.

If you'd like a second set of eyes on your numbers, book a free consult — no pressure, no jargon.