What is another term for net worth?

Net worth is commonly referred to as owner's equity in financial contexts. This term represents the difference between the total assets owned by an individual or entity and the total liabilities owed. In essence, owner's equity reflects the value that would remain for the owner if all liabilities were settled, making it a critical indicator of financial health.

This aligns closely with concepts used in accounting and finance, where owner’s equity is often found on the balance sheet. It helps individuals and businesses understand their financial position and the value they hold after accounting for any debts. Thus, recognizing owner's equity as synonymous with net worth is rooted in fundamental financial principles.