Liquid Assets Calculator

Liquid assets are cash or assets that can be quickly converted to cash with little to no loss in value.

These include cash on hand, checking and savings accounts, money market funds, publicly traded stocks, bonds, ETFs, and mutual funds.

The key characteristic is that you can access these funds within days without significant penalties or price volatility.

Your liquid net worth is calculated by subtracting your liabilities from your liquid assets—representing the actual cash you could access quickly in an emergency.

Having adequate liquid assets provides financial flexibility and security when unexpected expenses arise.

Whether it's a medical emergency, job loss, or urgent home repair, liquid assets allow you to handle these situations without going into debt or selling long-term investments at unfavorable prices.

Financial experts recommend maintaining an emergency fund of 3-6 months of essential expenses in highly liquid accounts.

Single individuals should aim for at least 3 months, while families with dependents should target 6 months or more.

Self-employed individuals may need 9-12 months due to irregular income patterns.