OldShooter
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Well to be accurate, the asset side of the balance sheet is offset by the liabilities to get net worth. Be sure to deduct the mortgage on that underwear!If you really think about it, everything you own including the underwear your wearing right now is net worth. Everything is a savings/bank account, everything contributes or deducts to or from your bottom line. Net worth is a business
On a business balance sheet, too, assets are categorized as "current assets" and "long-term assets," aka "liquid" and "illiquid." I think that's an important distinction for retirees. We would all be in a world of hurt if all our assets were illiquid like our houses are.