How to calculate your net worth
A plain-English guide to working out your net worth in the UK. The simple formula, a step-by-step list of what to include, and a worked example you can copy.
To calculate your net worth, add up everything you own (savings, investments, pensions, property and possessions) and subtract everything you owe (mortgage, loans, credit cards and overdrafts) — the figure left over is your net worth.
What net worth actually means
Your net worth is one number that sums up your whole money picture. It is simply what you own minus what you owe.
It is not your salary, and it is not how much cash sits in your current account. It is the wider view: your savings, your pension, your home if you own one, minus your debts.
The real value is watching it over time. A single figure tells you little. The same figure measured every month tells you whether you are moving forward, standing still, or slipping back.
The formula
The maths could not be simpler:
Assets − Liabilities = Net worth
Assets are the things you own that have value. Liabilities are the debts you owe. Everything else on this page is just working out those two totals honestly.
If you would rather not do the sums by hand, our net worth calculator does it for you in a couple of minutes.
Step 1: add up what you own
List every asset and its rough value today. Be realistic rather than hopeful — use what something would actually sell for, not what you paid.
| Type of asset | Examples |
|---|---|
| Cash and savings | Current accounts, easy-access savings, fixed-rate bonds, Premium Bonds |
| ISAs | Cash ISAs, Stocks and Shares ISAs, Lifetime ISAs |
| Investments | Shares, funds, general investment accounts |
| Pensions | Workplace pensions, personal pensions, SIPPs |
| Property | Your home, buy-to-let, a share of a property |
| Vehicles and valuables | Car, motorbike, jewellery, anything worth a fair amount |
For your home, a recent estimate from a property portal or a local agent is close enough. For a pension, use the current value or transfer value on your latest statement. You do not need to be to the penny — you need to be consistent, so you compare like with like each time.
Step 2: add up what you owe
Now list every debt and its outstanding balance. This is the part people are tempted to skip. Do not — the honesty is what makes the number useful.
- Mortgage — the amount left to pay, not the original loan
- Personal loans and car finance
- Credit cards and store cards
- Overdrafts
- Buy now, pay later balances
- Money owed to family or friends
Student loans are a grey area. In the UK they are repaid through your salary and written off after a set period, so many people leave them out of a personal net worth. If you include yours, be consistent and include it every time.
Step 3: do the sum (worked example)
Here is a made-up example to show how it comes together.
| Item | Value |
|---|---|
| Savings and Premium Bonds | £12,000 |
| Stocks and Shares ISA | £9,000 |
| Workplace pension | £41,000 |
| Home | £265,000 |
| Car | £7,000 |
| Total assets | £334,000 |
| Mortgage remaining | £198,000 |
| Car finance | £5,000 |
| Credit card | £1,500 |
| Total debts | £204,500 |
| Net worth | £129,500 |
So in this example, £334,000 owned minus £204,500 owed leaves a net worth of £129,500. The pension and the home do most of the heavy lifting, which is normal.
Mistakes that throw the number off
A few common slips make net worth less useful than it should be:
- Forgetting pensions. For many people their pension is their single biggest asset. Leaving it out can hide most of their progress. See our guide to ISA and pension tracking.
- Guessing property wildly. Being too optimistic about your home flatters the figure and makes month-to-month changes meaningless.
- Ignoring small debts. Overdrafts and buy now, pay later add up. Leave them in.
- Double counting. Money in a Cash ISA is one line, not two. Do not list the same pot twice.
- Comparing too hard. Your number against your own past is what matters. See what a good net worth looks like for context, not as a scoreboard.
Doing it as a couple or on your own
If your finances are shared, you have a choice: track your net worth as a household or as an individual. Both are valid, as long as you are consistent.
A household figure adds together both partners assets and debts, including two pensions and a jointly owned home. This is the version that matches national statistics, which are measured per household, so it is the fairer one to compare against benchmarks.
An individual figure counts only what is yours — your sole accounts, your pension, your share of any joint assets and debts. Some people prefer this because it stays true even if circumstances change. Whichever you pick, do not switch between the two, or your trend line will jump for no real reason.
What to do once you have the number
The figure itself is only the start. The point of calculating it is to act on what it shows.
- If it is rising, keep doing what works and consider stretching your savings or pension contributions a little.
- If it is flat, look at where money is leaking — expensive debt, or cash sitting in accounts paying nothing.
- If it is falling, check whether it is a one-off (a big planned purchase) or a pattern worth addressing.
Small, boring, repeated actions move the number far more than any single dramatic decision. Clearing a credit card, nudging up a pension by one percent, moving idle cash to a better rate — each one shows up on the line.
How often to update it
Once a month is plenty. Any more often and you are just watching normal ups and downs; any less and you lose the trend. Pick a day — payday works well — and check in then.
Doing it by hand in a spreadsheet works, but it gets tedious, and a missed month breaks the line. You also have to remember to log every account, which is where forgotten pots slip through. A tracker built for the job keeps everything in one place so nothing is missed and the total updates as you go.
Oinkly does exactly this. You can learn more about net worth tracking, or start with the free net worth calculator to get your first figure today.
Frequently asked questions
Does net worth include my pension?
Yes. Your pension is an asset you own, so it counts towards your net worth. For many people it is the largest single part, so leaving it out gives a misleading picture.
Should I include my house?
If you own it, yes — include its current market value as an asset and the mortgage still owed as a debt. If you rent, there is nothing to include for property.
What is a negative net worth?
It means you owe more than you own, which is common early in adult life with student debt, a car loan or a new mortgage. It is a starting point, not a failure, and it usually climbs as debts shrink and savings grow.
Is my salary part of my net worth?
No. Your salary is income, not something you own. It affects your net worth over time by letting you save and pay down debt, but it is not counted directly.
What is the average net worth in the UK?
ONS figures put median household total wealth at £293,700, though the statistics body suspended its accreditation in June 2025, so treat it as a guide. See average net worth by age for a fuller picture.