Should I include my home and car when tracking my net worth?
Yes, but understand what they mean. Your home and car are assets, so their market value counts, and the loans against them count as liabilities; the difference is your equity. Many people also track a second "liquid" or "investable" net worth that excludes the home and cars, because you can't easily spend your house and a car loses value every year. Both numbers are useful: total net worth shows overall progress, while liquid net worth better reflects money available for goals and eventual retirement spending. Be honest and conservative on car values (use a private-party estimate) and update your home value only occasionally to avoid false precision. Whichever method you choose, use it consistently so year-over-year comparisons stay meaningful.
Educational disclaimer: All content on WealthSerene.com is for educational purposes only and does not constitute investment advice. Projections and calculations are illustrative — actual results will vary based on market conditions, your specific situation, and many factors outside this tool’s scope. Always consult a qualified financial professional for advice specific to your situation. View full disclosures →