What is Net Worth?

 
As simple as "Net worth" may seem to explain, there are people who do not fully understand what it means and how its calculated. Some people believe that someones net worth is their physical cash and it can easily be disbursed but in actuality there is more to it. Look for example Mark Zuckerberg (Facebook Co Founder) who's net worth is estimated to be around 17billion only have 150 million in cash (mentioned from Bloomberg). Net worth (sometimes called net assets) is the total assets minus total outside liabilities of an individual or a company. Net worth is stated as at a particular year in time, in personal finance net worth (or wealth) refers to an individual's net economic position; similarly, it uses the value of all assets (long term assets) minus the value of all liabilities.

Investopedia explains 'Net Worth'

Consider a couple with the following assets - primary residence valued at $250,000, an investment portfolio with a market value of $100,000 and automobiles and other assets valued at $25,000. Liabilities are primarily an outstanding mortgage balance of $100,000 and a car loan of $10,000. The couple's net worth would be therefore be $265,000 ([$250,000 + $100,000 + $25,000] - [$100,000 + $10,000]). Assume that five years later, the couple's financial position is as follows - residence value $225,000, investment portfolio $120,000, savings $20,000, automobile and other assets $15,000; mortgage loan balance $80,000, car loan $0 (paid off). The net worth would now be $300,000. In other words, the couple's net worth has gone up by $35,000 despite the decrease in the value of their residence and car, because this decline is more than offset by increases in other assets (such as the investment portfolio and savings) as well as the decrease in their liabilities.

People with a substantial net worth are known as high net worth individuals, and form the prime market for wealth managers and investment counselors. Investors with a net worth (excluding their primary residence) of at least $1 million - either alone or together with their spouse - are considered as "accredited investors" by the Securities and Exchange Commission, for the purpose of investing in unregistered securities offerings. A company that is consistently profitable will have a rising net worth or book value, as long as these earnings are not fully distributed to shareholders but are retained in the business. For public companies, rising book values over time may be rewarded by an increase in stock market value.

Forbes Richest Celebrities

	Name	Pay	Money Rank	TV/Radio Rank	Press Rank	Marketability Rank	Social Rank
1	Oprah Winfrey	$77 M	14	2	10	25	19
2	Lady Gaga	$80 M	9	7	2	65	3
3	Steven Spielberg	$100 M	2	12	6	4	89
4	Beyonce Knowles	$53 M	33	1	5	25	5
5	Madonna	$125 M	1	13	25	73	22
6	Taylor Swift	$55 M	29	9	11	41	7
7	Bon Jovi	$79 M	11	35	47	25	17
8	Roger Federer	$71 M	17	45	7	41	33
9	Justin Bieber	$58 M	27	4	4	96	1
10	Ellen DeGeneres	$56 M	28	31	46	19	9
11	Hugh Jackman	$55 M	29	32	27	14	32
12	Jennifer Lopez	$45 M	42	21	15	21	14
13	Rihanna	$43 M	44	10	1	60	2
14	Coldplay	$64 M	20	50	37	41	11
15	Tiger Woods	$78 M	12	19	9	86	47
16	LeBron James	$60 M	25	22	17	76	20
17	Simon Cowell	$95 M	3	56	31	68	43
18	Katy Perry	$39 M	51	23	16	32	4
19	David Beckham	$47 M	39	40	26	39	16
20	Robert Downey Jr	$75 M	15	64	54	4	68
21	Leonardo DiCaprio	$39 M	51	33	24	4	35
22	Tyler Perry	$78 M	12	51	67	50	34
23	Channing Tatum	$60 M	25	54	41	36	40
24	Kobe Bryant	$62 M	23	43	36	75	23
25	Dwayne Johnson	$46 M	40	60	49	4	27
26	Ryan Seacrest	$61 M	24	34	71	50	29
27	Tom Cruise	$35 M	56	5	3	56	39
28	Mark Wahlberg	$52 M	35	58	48	4	53
29	Seth MacFarlane	$55 M	29	37	55	37	54
30	Donald Trump	$63 M	21	18	38	95	59
31	Cristiano Ronaldo	$44 M	43	47	8	92	6
32	Jay-Z	$42 M	45	3	14	71	66
33	Dr. Phil Mcgraw	$72 M	16	39	62	68	64
34	Glenn Beck	$90 M	7	26	87	90	62
35	Will Smith	$23 M	73	44	33	1	12
36	Ben Affleck	$25 M	69	8	12	4	78
37	Rush Limbaugh	$66 M	18	16	66	87	71
38	David Letterman	$42 M	45	17	35	41	77
39	Lionel Messi	$41 M	48	49	19	88	10
40	Adam Sandler	$37 M	55	74	57	4	13
41	Angelina Jolie	$33 M	59	14	20	32	76
42	E.L. James	$95 M	3	68	51	100	79
43	Toby Keith	$65 M	19	75	83	54	45
44	James Patterson	$91 M	6	89	70	78	57
45	Howard Stern	$95 M	3	52	95	93	73
46	Carrie Underwood	$31 M	61	56	64	14	28
47	Kenny Chesney	$53 M	33	64	92	41	41
48	Usain Bolt	$24 M	71	29	22	60	26
49	Jennifer Lawrence	$26 M	67	20	21	32	88
50	Drew Brees	$51 M	36	79	69	41	61
51	Rafael Nadal	$26 M	67	63	18	67	25
52	Phil Mickelson	$49 M	38	77	44	50	81
53	Ashton Kutcher	$24 M	71	41	60	54	18
54	Sofia Vergara	$30 M	62	52	73	25	50
55	Peter Jackson	$50 M	37	66	30	78	94
56	Serena Williams	$20 M	75	48	23	47	52
57	Jon Stewart	$16 M	79	11	59	39	51
58	Jerry Bruckheimer	$80 M	9	89	100	73	85
59	Kanye West	$20 M	75	25	29	99	21
60	Jerry Seinfeld	$32 M	60	61	91	21	44
61	Michael Bay	$82 M	8	84	84	97	94
62	Maria Sharapova	$29 M	66	72	34	65	36
63	Dr. Dre	$40 M	49	85	82	64	30
64	Jennifer Aniston	$20 M	75	36	58	1	97
65	Tom Brady	$38 M	53	69	56	57	69
66	Kim Kardashian	$10 M	91	15	28	98	15
67	Charlie Sheen	$10 M	91	28	45	60	31
68	Calvin Harris	$46 M	40	95	79	90	37
69	Rachael Ray	$30 M	62	81	93	21	48
70	Kristen Stewart	$22 M	74	37	13	83	80
71	Gwyneth Paltrow	$10 M	91	46	40	14	70
72	Sean Hannity	$30 M	62	6	86	84	72
73	Meryl Streep	$7 M	97	27	32	4	92
74	David Guetta	$30 M	62	99	68	76	8
75	Stephen King	$20 M	75	80	63	25	55
76	Christopher Nolan	$40 M	49	76	42	81	94
77	Gordon Ramsay	$38 M	53	97	65	58	67
78	Manny Pacquiao	$34 M	57	82	81	60	56
79	Tina Fey	$10 M	91	30	61	19	81
80	Mark Burnett	$63 M	21	100	99	89	91
81	Gisele Bundchen	$42 M	45	85	88	80	65
82	J.K. Rowling	$13 M	88	59	50	37	58
83	Alec Baldwin	$8 M	96	24	39	47	75
84	Emma Stone	$16 M	79	67	43	25	97
85	Charlize Theron	$15 M	83	69	53	14	87
86	Neil Patrick Harris	$15 M	83	78	94	4	49
87	Suzanne Collins	$55 M	29	97	89	94	93
88	Floyd Mayweather	$34 M	57	92	90	85	42
89	Mila Kunis	$11 M	90	61	52	14	97
90	Sandra Bullock	$14 M	86	69	75	1	97
91	Danica Patrick	$15 M	83	55	74	53	74
92	Amy Poehler	$7 M	97	42	72	32	81
93	George Lopez	$12 M	89	94	98	21	38
94	Ray Romano	$16 M	79	89	96	4	90
95	Kevin Hart	$14 M	86	92	97	58	24
96	Zooey Deschanel	$6 M	100	88	77	25	46
97	Louis C.K.	$16 M	79	82	84	68	63
98	Melissa McCarthy	$10 M	91	72	76	47	81
99	Joss Whedon	$25 M	69	95	80	82	86
100	Miranda Kerr	$7 M	97	87	78	71	60