Household net worth
Household net worth is the net worth of a couple or family counted as one unit: everything either person owns, alone or jointly, minus everything either owes, with what they hold jointly counted once.
What is household net worth?
Partners hold money in accounts in one name, in accounts in both names, and in property owned together. Household net worth adds all of it. A person's own net worth is a different figure: it counts what is in that person's name and leaves the other's out.
Adding two personal totals that each include the joint accounts counts the joint home and its mortgage twice. The household figure is each person's own items plus the joint items, once.
Who can see an account and whether it counts are separate questions. Household net worth counts what either partner owns, including what one of them keeps private.
How household net worth works, with numbers
Alex has $8,000 in checking, a $150,000 401(k) and a $20,000 student loan. Sam has a $60,000 IRA and a $15,000 car loan. Together they have $12,000 in a joint checking account and a $450,000 home with a $320,000 mortgage.
Alex's own items net to $138,000 and Sam's to $45,000. The joint items net to $142,000. The household's net worth is $325,000. Two personal totals that each included the joint $142,000 would add up to $467,000.
- Alex's own: $8,000 + $150,000 − $20,000
- $138,000
- Sam's own: $60,000 − $15,000
- + $45,000
- Joint, once: $12,000 + $450,000 − $320,000
- + $142,000
- Household net worth
- $325,000
Why household net worth matters
Money moved between the partners, from Alex's checking to the joint account, leaves it unchanged. It moves when income arrives and stays, when money goes to something that isn't counted as an asset, when interest adds to a debt, and when the value of something they own changes.
Visibility doesn't change the sum. If Alex keeps the 401(k) private, the household still has $325,000; what changes is which accounts Sam can see behind that total.
Household net worth in Taiga Finance
In Taiga Finance the Net worth by class report draws one household net worth for both members: the accounts counted in net worth, both people's and the joint ones, stacked in bands such as “Retirement” and “Mortgage”, month by month. An account counted in net worth is in that total whatever its Sharing setting.
On the Accounts page, the “Position” figure is the same household total with no filter on. The list shows a person's own accounts, the joint ones and the other person's accounts shared as a balance only. A private account's value reaches the other person inside the totals.
Net worth by class, in the help center →Key takeaways: Household net worth
- Household net worth is both people's own assets and debts plus the joint ones, counted once.
- Adding two personal totals that each include the joint accounts counts those accounts twice.
- Money moved between partners leaves it unchanged.
- Whether a partner can see an account doesn't change whether it counts.
Questions about Household net worth
How is household net worth calculated for couples?
Both people's own assets minus their own debts, plus the joint assets minus the joint debts, once. With $138,000 in one name, $45,000 in the other and $142,000 held jointly, the household has $325,000.
Do private accounts count in our net worth in Taiga Finance?
Yes. A private account counted in net worth is in the household net worth both people see, and it reaches the other person inside the household and band totals.
Can a couple see one net worth and keep separate accounts?
Yes. Household net worth counts separate accounts along with joint ones. In Taiga Finance the other person sees an account shared as a balance only by its balance, and a private one only inside the totals. With no filter on, the Position figure is the same on both screens.