Calculating your net worth

[David Nacco]

This is a stupid question but do you count things like cars, jewelry, watches, etc. towards net worth

[Joe Splitrock]

@David Nacco you absolutely include personal possessions in a net worth statement. The value is the cash-sale value today (not what you paid for it). Just prepare a statement and itemize everything. Be specific on high dollar items. Don't just say "jewelry" and lump it all together. Itemize the pieces with description of each. Don't play games over-estimating things like jewelry. You should have proof of ownership and insurance to cover anything of higher value. Home owners insurance has limited coverage for jewelry so if you have a fair amount, you need to buy extra insurance. Same with art or any collectibles. 

A bank will absolutely consider anything you own of value as an asset. Anything you can sell to repay them is an asset. That being said, there is a different value placed on cash and cash equivalent assets. Some lenders specifically say cash equivalent for things like reserves.