The Net Worth Value Add provides a comprehensive balance sheet for a household, showing total assets minus total liabilities to arrive at an estimated net worth figure.
This article walks through every section of the Net Worth report, explains where each value comes from, and outlines what is automatic vs. customizable.
What Is the Net Worth Value Add?
The Net Worth Value Add is a client-facing report that:
Shows all household assets organized by category: Cash/Cash Equivalent, Investable Assets, and Other Assets
Shows all household liabilities organized as Secured or Unsecured
Calculates estimated net worth as Total Assets minus Total Liabilities
Breaks down ownership per client (Client 1, Client 2, and Joint columns)
It is generated automatically using investment account data, physical assets, life insurance cash values, and liabilities.
Note: The Net Worth report must be explicitly enabled for your firm. Unlike Guardrails and Buckets (which are enabled by default), Net Worth defaults to disabled. Enable it under Settings → Value Adds → Net Worth Settings.
1. Header & Branding
Logo
Pulled from your firm's saved company logo
Editable under Settings → Firm Settings
If no logo is saved, the report displays without one
Branding Color
Uses your firm's branding color
Default color is a dark navy
Controls footer borders and accent elements
Report Title
Default title: "Net Worth Report"
Can be customized at the firm level
Editable under Settings → Value Adds → Net Worth Settings
2. Reported "As-Of" Date
Reflects the most recent valuation date found across all household accounts
Fully automatic — cannot be manually edited
Display format: M/D/YYYY (e.g., "2/4/2026")
3. Client Name Line
Pulled from all clients linked to the household
Displayed as: Last, First with superscript ages
Deceased clients are automatically filtered out if at least one living client exists
4. Report Layout
The report has a two-column layout with a prominent net worth figure at the top.
Estimated Net Worth Banner
A green-highlighted box at the top of the report displays the calculated net worth:
ESTIMATED NET WORTH: $1,125,000
This is simply Total Assets minus Total Liabilities.
Left Column: Assets
The assets side shows three categorized sections, from most liquid to least:
Cash / Cash Equivalent — Checking, savings, money market, CDs, and cash accounts
Investable Assets — IRAs, 401(k)s, brokerage accounts, HSAs, annuities, trusts, and other investment accounts
Other Assets — Physical assets (real estate, vehicles, etc.) and life insurance cash values
Right Column: Liabilities
The liabilities side shows two sections:
Liability Type (Secured) — Debt backed by collateral: mortgages, auto loans, HELOCs, equipment loans, etc.
Other Liabilities (Unsecured) — Credit cards, personal loans, student loans, medical debt, tax debt, etc.
Per-Client Columns
Each table shows ownership across columns. For two-client households, you'll see four columns: the item description, Client 1's amount, Client 2's amount, and a Joint column. For single-client households, only two columns appear (description and client amount) — the Client 2 and Joint columns are automatically hidden.
5. The Net Worth Formula
The calculation is straightforward:
Net Worth = Total Assets − Total Liabilities
Where Total Assets is the sum of three components:
Investment accounts — The current value of all included accounts
Physical assets — The value of all physical assets (real estate, vehicles, etc.)
Life insurance cash value — The cash surrender value of permanent life insurance policies
And Total Liabilities is the sum of all outstanding balances across all household debts.
6. Four Data Sources
The Net Worth report pulls from four different types of data. Here's what each contributes and where the data comes from.
Source 1: Investment Accounts
What it shows: Current account values, categorized as Cash/Cash Equivalent, Investable, or Other
Value used: Current account value
Display format: Account type + last 4 digits of account number (e.g., "Traditional IRA - 1234")
Where to edit: Account details page
Source 2: Physical Assets
What it shows: Real estate, vehicles, and other tangible assets
Value used: Asset value as entered
Display format: Asset name (e.g., "Primary Residence") or asset type as fallback
Always appears in: The "Other Assets" section
Where to edit: Asset details page
Source 3: Life Insurance (Cash Value Only)
What it shows: The cash surrender value of permanent life insurance policies
Value used: Cash value — not face amount (death benefit)
Which policies are included: Only policies marked as having cash value (permanent policies like whole life and universal life). Term life policies are excluded since they have no cash value.
Always appears in: The "Other Assets" section
Display format: "Life Insurance - 1234" (last 4 digits of policy number)
Where to edit: Insurance policy details page
Why cash value instead of face amount? The Net Worth report is a balance sheet showing what the household has access to today. Cash value represents what the policyholder could receive by surrendering the policy now. The face amount (death benefit) is what the Beneficiary report uses, because that report focuses on estate planning — what beneficiaries would receive.
Source 4: Liabilities
What it shows: All household debts, categorized as Secured or Unsecured
Value used: Outstanding balance
Display format: Liability name, type, or creditor name (in that priority order)
Where to edit: Liability details page
7. How Accounts Are Categorized
Investment accounts are automatically sorted into three asset categories based on their account type.
Cash / Cash Equivalent
Liquid accounts with minimal investment risk: checking, savings, money market, certificates of deposit (CDs), and cash accounts.
Investable Assets
Investment and retirement accounts, including: all IRA types (Traditional, Roth, SEP, SIMPLE, Rollover, Inherited, Beneficiary), employer plans (401k, 403b, 457b, TSP, Pension), brokerage accounts, joint accounts, trust accounts, HSAs, 529 plans, annuities, and donor-advised funds.
Other Assets
Any account type that doesn't match the Cash/Cash Equivalent or Investable patterns, plus all physical assets and life insurance cash values.
Important: HSAs and Cash Patterns
Health Savings Accounts (HSAs) are categorized as Investable — not Cash/Cash Equivalent — even though the name contains "Savings." The system checks for HSA-specific patterns before checking for savings patterns to prevent misclassification.
Similarly, "QCD IRA" is categorized as Investable, not caught by the "CD" cash pattern, because IRA patterns are checked first.
8. How Liabilities Are Categorized
Liabilities are automatically classified as Secured or Unsecured based on keywords found in their type, name, and creditor fields.
Secured (Backed by Collateral)
Recognized keywords include: mortgage, home equity, HELOC, auto, car, vehicle, boat, RV, equipment, property, real estate, land, construction, and any liability explicitly labeled "secured" or "collateral."
Unsecured (No Collateral)
Recognized keywords include: credit card, personal loan, student loan, medical debt, collections, tax debt, IRS, payday loan, utility, line of credit, and any liability explicitly labeled "unsecured."
Default Behavior
If the system can't determine the category from any of the liability's fields, it defaults to Unsecured and shows the item in the "Other Liabilities" table. This keeps ambiguous items visible for review rather than placing them in the Secured category.
Edge Case: HELOC
Home Equity Lines of Credit (HELOCs) are specifically handled as Secured even though they contain "line of credit" (which would otherwise match the Unsecured pattern). The system checks for HELOC and home equity keywords first.
9. Ownership Columns
Each asset and liability is assigned to a per-client column based on ownership.
How Column Assignment Works
One owner matching Client 1 → appears in the Client 1 column
One owner matching Client 2 → appears in the Client 2 column
Two owners → appears in the Joint column
No owners or 3+ owners → defaults to the Joint column
Single-Client Households
For households with only one client, the report automatically hides the Client 2 and Joint columns, showing a simplified two-column layout.
10. Account Inclusion & Exclusion
The Net Worth report has its own inclusion rules, different from both Guardrails/Buckets and Beneficiary.
Key Difference: Cash Accounts Are Included
Unlike Guardrails and Buckets (which exclude cash accounts), the Net Worth report includes checking, savings, money market, and CD accounts. They appear in the "Cash / Cash Equivalent" section. This makes sense — a balance sheet needs to show all assets, including cash.
Excluded Account Types
The following account types are excluded from the Net Worth report (same exclusions as Guardrails/Buckets):
529 plans
Coverdell ESAs / educational savings accounts
Custodial accounts (UTMA/UGMA)
Inherited IRAs and beneficiary accounts
Note: These education, custodial, and inherited accounts are excluded from Net Worth but included in the Beneficiary report, which has the broadest inclusion rules.
11. Common Questions
Why doesn't the net worth match what I expect?
The most common reasons:
Education accounts are excluded — 529 plans and ESAs don't appear on this report
Custodial and inherited accounts are excluded — UTMA/UGMA and inherited IRAs don't factor in
Life insurance uses cash value, not face amount — Only the surrender value is counted, and only for permanent policies. Term life has no cash value and doesn't appear.
Liabilities may be categorized differently than expected — If a liability appears under "Other Liabilities" when you expected it under "Liability Type," the system may not have recognized it as secured from the available keywords in the liability's type/name fields
Why is a liability showing as unsecured when it should be secured?
The system classifies liabilities based on keywords in the liability type, name, and creditor fields. If none of those fields contain a recognized secured keyword (like "mortgage," "auto," or "HELOC"), the liability defaults to unsecured. Check the liability's type field to ensure it accurately describes the debt.
Why don't I see life insurance on the report?
Life insurance only appears if the policy has cash value (permanent life insurance like whole life or universal life). Term life policies have no cash value and won't show on the Net Worth report. Also, policies need to be marked as having cash value in the system.
Why are there only two columns instead of four?
For single-client households, the system automatically hides the Client 2 and Joint columns, displaying a simplified two-column layout.
12. Firm-Level Configuration
Setting | Where to Edit | Default |
Enabled | Settings → Value Adds → Net Worth Settings | Disabled (must opt in) |
Report Title | Settings → Value Adds → Net Worth Settings | "Net Worth Report" |
Disclaimer Text | Settings → Value Adds → Net Worth Settings | Default disclaimer |
There are no rate settings for the Net Worth report — it is purely data-driven from account values, asset values, insurance cash values, and liability balances.
13. Footer & Disclaimer
Footer
Displays firm contact details:
Address
Phone number
Website
These are pulled from Settings → Firm Settings and separated by dots.
Disclaimer
The disclaimer is built dynamically and includes lead advisor names
Custom disclaimer text is editable under Settings → Value Adds → Net Worth Settings
If no advisors are assigned, the disclaimer will explicitly state: "NO ADVISORS ASSIGNED"
In Summary
The Net Worth Value Add is:
A complete balance sheet — combines investment accounts, physical assets, life insurance cash value, and liabilities into a single view
Four data sources — pulls from accounts, assets, insurance, and liabilities automatically
Ownership-aware — breaks down every item by Client 1, Client 2, or Joint
Automatically categorized — assets are sorted into Cash/Investable/Other and liabilities into Secured/Unsecured based on type keywords
Firm-customizable — title and disclaimer can be adjusted in Settings
If numbers don't match expectations, the most likely explanations are excluded account types (529s, custodial, inherited), life insurance using cash value instead of face amount, or liability categorization based on available keyword data.