Assets and Liabilities List — What to Include in Your Net Worth

The hardest part of calculating net worth is knowing what to include. People forget retirement accounts, overvalue their car, include their Xbox, and skip medical debt. Here is a clear list of what goes where.

Assets — What to Include

Category	Examples	How to Value
Cash & bank accounts	Checking, savings, money market, CDs	Current balance
Retirement accounts	401k, 403b, IRA, Roth IRA, pension (vested)	Current balance (log in to check)
Brokerage accounts	Individual stocks, bonds, ETFs, mutual funds	Current market value
Real estate	Primary home, rental properties, land	Estimated market value (Zillow, Redfin, or appraisal)
Vehicles	Cars, motorcycles, boats	Current resale value (KBB, Carvana, not purchase price)
Crypto	Bitcoin, Ethereum, other holdings	Current market value
Cash value life insurance	Whole life, universal life	Cash surrender value (not death benefit)
Business equity	Your share of a business you own	Estimated value or last valuation
Valuables	Fine jewelry, art, collectibles with known market	Appraisal or recent comparable sales
HSA (Health Savings Account)	Medical savings with investment option	Current balance
529 plans	Education savings for children	Current balance

Assets — What NOT to Include

• Furniture: A $3,000 couch resells for $200-400. Not worth tracking.
• Electronics: Phones, laptops, TVs depreciate to near zero within 2-3 years.
• Clothing: Unless you own high-value designer pieces with active resale markets, skip it.
• Kitchen appliances and tools: Low resale value, difficult to sell.
• Future income: Expected raises, bonuses, or inheritance you have not received yet. Only count what you have now.
• Social Security: You will receive it in the future, but it is not a current asset. Some financial planners calculate its present value, but for a standard net worth calculation, leave it out.

Liabilities — What to Include

Category	Examples	How to Value
Mortgage	Primary home loan, second mortgage, HELOC	Current balance owed
Student loans	Federal and private student loans	Current balance (not original amount)
Car loans	Auto financing, auto lease buyout balance	Current payoff amount
Credit cards	All credit card balances	Latest statement balance
Personal loans	Bank loans, peer-to-peer loans, family loans	Current balance
Medical debt	Hospital bills, collection accounts	Amount currently owed
Tax debt	Back taxes owed to IRS or state	Total amount including penalties
Home equity loans/lines	HELOC, second mortgage	Current balance
Business loans	SBA loans, business credit lines in your name	Current balance
401k loans	Borrowed from retirement account	Outstanding balance

Liabilities — What NOT to Include

• Monthly bills: Rent, utilities, insurance premiums, subscriptions — these are expenses, not liabilities. They are ongoing costs, not debts you owe on a balance sheet.
• Future expenses: Next month's rent or estimated taxes you have not yet been billed for.
• Contingent liabilities: Potential lawsuits or obligations that may or may not happen.

Tricky Items

Your home

A home is both an asset and a liability source. The market value goes in assets. The mortgage balance goes in liabilities. The difference (equity) is the net contribution. A $400,000 house with a $300,000 mortgage adds $100,000 to your net worth.

A leased car

If you lease, you do not own the car — it is not your asset. You also do not have a car loan. A lease creates a monthly expense but does not appear on your personal balance sheet (unless you factor in the lease buyout option).

A financed car

You own the car (asset at current resale value) and owe the loan (liability at current payoff balance). Both go on the balance sheet. If the car is worth $18,000 and you owe $22,000, the car has negative equity of $4,000 — it reduces your net worth by $4,000.