Who are the high net worth individuals? InvestmentTotal will start writing about the net worth of the wealthiest people in the world. Net worth is the basis of knowing how rich an individual is. How do rich people acquire high net worth? Simple, they make sure that they are buying assets than liabilities. A net worth consist of assets and liabilities, you can’t compute a net worth without having these both.
Assets means the properties or ownership such as stocks, real estate properties such as house and lot or condominiums, businesses, cars, jewelries, money you lend to other people, a certificate of deposits and cash on hand.See Also: Blogging is Hard Work that Pays Off
Definition of Assets and Liabilities
If you look at the dictionary, the meaning of asset is; “anything one owns or any quality one has that is of value or use, the total property of a person, firm or institution, especially that part which can be used to pay debts, the positive items on a balance sheet”.
Reference: The New Lexicon Webster’s Encyclopedic Dictionary of the English Language (Deluxe Edition) page 56 on Asset or as-set
While on the other hand, there are also a liabilities, so what are liabilities? Liabilities are also known as “debts”, which you are legally bound or responsible in paying it.
How to Compute a Net Worth?
To compute a net worth, one must understand and know all his assets and liabilities. Add the total value of your property and subtract to the total of liabilities, example will be written here.
- Certificate of Deposits: $25,000
- Cash on Hand: $13,000
- Money in Your Savings account: $15,000
- Market Stock Price: $50,000
- Market Value of Your Car: $20,000
- Market Value of Your House and Lot: $100,000
- Market Value of Your Jewelries (Gold): $25,000
- Current Business Value (Capital, Stock Inventory, Equipments): $200,000
- Bank Loan: $120,000
- Other Debts (Credit Card): $3,000
Net Worth Computation
- Total Assets: $448,000
- (Minus) Total Liabilities: $123,000
- (Equals) Net Worth: $325,000
Now you know how to compute a net worth and the difference between the assets and liabilities, let start talking the high net worth individuals (the billionaires) such as Bill Gates, Warren Buffett, Henry Sy, John Gokongwei Jr, etc.
Related: How to Have a High Net Worth?
High Net Worth Individuals | Most Wealthiest People in the World
Net Worth Tracked as of October 18, 2014 | Source: Forbes
|High Net Worth Individuals||Age||Source of Wealth||Residence/Citizenship||Net Worth|
|Carlos Slim Helu & Family||74||Telecom,Self Made||Mexico City / Mexico||$79.5Billion|
|Bill Gates||58||Microsoft, Self Made||Medina, WA / USA||$79.4 Billion|
|Warren Buffett||84||Berkshire Hathaway, Self Made||Omaha, NE / USA||$67.2 Billion|
|Amancio Ortega||78||Retail, Self Made||La Coruna / Spain||$56.6 Billion|
|Larry Ellison||70||Oracle, Self Made||Woodside CA / USA||$47.5 Billion|
|Charles Koch||78||Diversified||Wichita KS / USA||$40.6 Billion|
|David Koch||74||Diversified||New York, NY / USA||$40.6 Billion|
|Christy Walton and Family||59||Wal-Mart||Jackson WY / USA||$36.9 Billion|
|Jim Walton||66||Wal-Mart||Bentonville AR / USA||$35.6 Billion|
|Alice Walton||65||Wal-Mart||Forth Worth, TX / USA||$34.2 Billion|
Carlos Slim Helu and Family is the wealthiest man in the world with a net worth of $79.5 Billion. And the most richest woman in the world is Christy Walton with a net worth of $36.9 Billion at age 59.
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