Net Worth Calculator India
Calculate your total wealth by tracking all assets and liabilities. Understand your financial health and compare with age benchmarks.
Your age helps compare net worth with benchmarks
Assets
Your Net Worth
₹99,60,000
Assets exceed liabilities
Financial Health Metrics
Excellent
Cash + Investments - Liabilities
13.2% of total assets
Age 30 Benchmark
Benchmarks by Age:
Liabilities
Asset Breakdown
Liability Breakdown
Understanding Net Worth
Net worth is the true measure of your financial health. It's calculated as Total Assets minus Total Liabilities. Unlike salary, which shows your earning capacity, net worth shows your actual wealth accumulation.
What is Net Worth?
Net worth represents the value of everything you own (assets) minus everything you owe (liabilities). A positive net worth means you own more than you owe, while a negative net worth indicates debt exceeds assets.
Why Track Net Worth?
- True Financial Picture: Shows actual wealth, not just income
- Progress Tracking: Monitor wealth growth over time
- Goal Setting: Set realistic wealth accumulation targets
- Financial Planning: Make informed investment decisions
- Early Retirement: Know when you have enough to retire
Good Debt vs Bad Debt
Good Debt
- • Home loan (builds equity)
- • Education loan (increases earning capacity)
- • Business loan (generates income)
Bad Debt
- • Credit card debt (high interest)
- • Personal loans for lifestyle
- • Car loans (depreciating asset)
How to Increase Net Worth
- Increase Assets: Save more, invest wisely in stocks/mutual funds
- Reduce Liabilities: Pay off high-interest debt first
- Boost Income: Ask for raises, start side hustles
- Cut Expenses: Live below your means, avoid lifestyle inflation
- Invest Consistently: Start SIPs, contribute to EPF/PPF
- Avoid Bad Debt: Don't take loans for depreciating assets
Liquid vs Illiquid Assets
Liquid assets (cash, stocks, mutual funds) can be quickly converted to cash. Illiquid assets (real estate, jewelry) take time to sell. Maintain enough liquid assets for emergencies and opportunities.
Net Worth vs Income
A high salary doesn't guarantee wealth. Someone earning ₹50 LPA but spending all of it has lower net worth than someone earning ₹15 LPA who saves and invests 40%. Net worth matters more than income for long-term financial security.
Asset Allocation Importance
Diversify across asset classes: Keep 6-12 months expenses in cash, 60-70% in growth assets (stocks/equity mutual funds), 20-30% in stable assets (FDs, bonds), and reasonable real estate. Don't put all eggs in one basket.
Frequently Asked Questions
What is a good net worth at 30?
In India, a net worth of ₹10-20 lakhs by age 30 is considered good. This includes EPF, investments, and savings minus any loans. However, this varies based on income, city, and lifestyle.
Should I include my house in net worth calculation?
Yes, include the current market value of your house in assets. If you have a home loan, include the outstanding amount in liabilities. Net effect = House value - Home loan outstanding.
Is a car considered an asset?
Technically yes, but cars are depreciating assets. Include current resale value (not purchase price) in net worth calculations. Many financial experts exclude cars as they lose value rapidly.
What to do if I have negative net worth?
Don't panic! Focus on: 1) Paying off high-interest debt (credit cards) first, 2) Increasing income through upskilling or side hustles, 3) Cutting unnecessary expenses, 4) Starting small SIPs to build assets. It's a journey.
How often should I calculate net worth?
Calculate quarterly or every 6 months. This helps track progress without obsessing over short-term fluctuations. Update values based on current market rates for property, investments, etc.
Net worth vs salary - which matters more?
Net worth matters more for financial freedom. A ₹30 LPA earner spending everything has ₹0 net worth growth. A ₹12 LPA earner saving 50% builds wealth faster. Salary is potential; net worth is actual wealth.
Should I include EPF and PPF in net worth?
Absolutely! EPF and PPF are your assets. Include both employee and employer contributions. While locked-in until retirement, they're valuable assets building your long-term wealth.
What is liquid net worth and why does it matter?
Liquid net worth = Liquid assets (cash, stocks, mutual funds) minus liabilities. It shows how much you can access quickly for emergencies or opportunities without selling property.
Is having a home loan bad for net worth?
Not necessarily. If your house value is ₹1 crore and loan is ₹50 lakhs, your net contribution is ₹50 lakhs (positive). Home loans are "good debt" as property appreciates and you build equity.
How can I reach ₹1 crore net worth by 40?
Start early! Invest ₹25,000/month in equity mutual funds from age 25 at 12% returns = ₹1.76 crore by 40. Combine with EPF contributions, property appreciation, and minimizing bad debt. Consistency is key.