Money doesn't talk. Numbers do.
Most people guess at their net worth. Some avoid calculating it altogether. But here's what we've learned after years working with Australian households – knowing your actual numbers changes everything about how you make financial decisions.
See how it worksBuild your complete financial picture
Net worth calculation isn't about bragging rights. It's about understanding where you actually stand so you can plan what comes next.
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1
List what you own
Start with the obvious stuff – property, super, savings. Then add the things people often forget: that investment portfolio, the car that's nearly paid off, even equity in a business if you have one.
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2
Face what you owe
Mortgages, credit cards, personal loans, that HECS debt you've been ignoring. Writing it down feels uncomfortable at first. But you can't work with numbers you haven't acknowledged.
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3
Do the maths
Assets minus liabilities equals net worth. Simple formula, but the result tells you whether you're building wealth or treading water. And either answer is valuable information.
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4
Track the trend
One calculation is interesting. Six months of calculations? That's when patterns emerge. You'll spot what's working and what needs attention before small issues become expensive problems.
Why Australian households calculate differently
Net worth calculation in Australia comes with its own quirks. Super balances that are locked away but still count as assets. Investment properties where you need to factor in both equity and rental income. HECS debts that behave differently from other liabilities.
- Superannuation calculations that account for preservation age and contribution limits
- Property valuations that reflect current market conditions in your specific area
- Tax implications that differ based on your residency status and income sources
When to recalculate
Some people check their net worth monthly. Others prefer quarterly reviews. There's no universal rule, but certain life events should trigger a fresh calculation – buying property, changing jobs, receiving an inheritance, or reaching a major birthday.
The real benefit comes from consistency. Pick a schedule that works for your situation and stick with it. Your September 2025 number means more when you can compare it to March 2025 and see the trajectory.
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What we've learned from helping people calculate
Maeve Callahan | Financial Educator, Dubbo
After working with hundreds of Australian households, I've noticed something interesting. The people who struggle most with net worth calculations aren't the ones with complicated finances – they're the ones who keep delaying the first calculation.
There's this myth that you need everything perfectly organized before you start. But honestly? A rough first calculation beats no calculation at all. You'll refine the numbers as you go. What matters is beginning the process and establishing that baseline.
We're running workshops throughout 2025 and into early 2026 for anyone who wants hands-on guidance. Small groups, real examples, no judgment about where you're starting from.
Learn about our approach