Is your net worth equal to your self worth?
Is your net worth equal to your self worth?. This is a question that you, along with many other people are asking. But how will you know the answer to this question?. One way to find an answer to the question is to learn about these two terms: self worth and net worth separately.
By doing this, you will be able to see which one is more important if they are not equal or confirm that they are equal. In the end, you will see not only how important self worth and net worth are but also what happens if they are put up together.
What is Net Worth?
Let us define and be familiar with the first term, net worth. Net worth can be directly associated with financial wealth, assets and liabilities. It is important to be familiar with assets, the total amount of your money may it be on your savings account or cash on your hand plus your investments such as lands, cars, etc. and other sources of your income such as your businesses and part-time jobs.
You should also be educated with your liabilities, the amount of money that you owe other people including mortgages, debts and loans. By subtracting your liabilities from your total assets is the right way of getting your financial net worth. So, with this definition can you think about the answer to the question, is your net worth equal to your self worth?.
What is Self Worth?
Now, it is time to define the second term which is self worth. For some, self worth is just the same as self esteem. But to some self worth is totally different from self esteem. Some had differentiated these two terms from each other by saying that self worth is exactly what you were born with. This means that you have this value for your self since the day you were brought into this world and no one can take it away from you. In reality, you can forget about your self-worth; you will also be able to lose your sight from it but you will never lose it.
Now with the second term defined, it is now time to go back to the question, is your net worth equal to your self worth since the terms net worth and self worth have already been defined.
The answer is no. Your net worth is not equal to your self worth. Your self worth is more important than your net worth. One day you might lose all your financial assets or gain more financial assets, but this does not mean that your self worth will be ruined. Your self worth might be increased but never damaged the same way.
The decisions on whether succeeding in terms of self-worth and net worth usually depend on each other. They normally have effects on each other. Therefore, you can say that these two are interconnected but they are not equal. You have to keep in mind that self worth and net worth can work with each other but they will never be equal.
Here is an example on how self worth and net worth are connected with each other but not equal. There is man who has created and maintained a big company which makes millions of dollars and makes jobs available for people not only in his country but also in the whole world. But there came a time when the economy crashed and the business incurred loses instead of gaining revenues.
People lost their jobs and millions were taken away from him. Because of this his financial net worth has diminished and along with it his self worth became lower too. But there is one thing that he has discovered about self worth.
He gained it again with the help of supportive family and friends by continuously reminding him about the importance his self and his life. And from there he picked up his company and started building it up again.
It is true that once you lost both self-worth and net worth, there will always be ways to get them back but you must remember that you are not going to lose self-worth permanently. You just tend to forget about it because of some problems.