Daily Gains Letter

Net Worth

Net worth refers to what an individual actually has. It is the difference between the assets a person owns and the amount he or she owes to banks or others. A person’s financial health looks to be a stable condition if their net worth is gradually increasing.

If a person has a negative net worth, it means that the person has more liabilities than assets. Keep in mind; Net worth only provides the summary of person’s financial situation at a certain point in time.