Reply to FYI: Don't include home equity in net worth

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[quote=Anonymous][quote=Anonymous][quote=Anonymous]I count my home equity as part of my big-picture net worth, but [b]I separately calculate assets that make money for me in retirement, and that calculation excludes home equity and 529 plans[/b].  One nice thing about home equity is you can sell your house and use it for end-of-life care someday, so you don't have to worry that if your retirement assets only generate $200k annually but you think you'll need $300k annually in the last few years for quality assisted living.    [/quote]

529s are kind of a gray area to me.

I'm glad most here have rejected the OP's stupid "your house doesn't count" argument - and frankly, I'm surprised because I had the impression that this asinine view had more support here.  However, 529s are a little different.  They absolutely count as part of your net worth when following the strict definition.  But they are essentially just pre-paying an expense and for a good which has no resale value.[/quote]

Isn’t all savings technically pre-paying an expense? I mean, otherwise, why save? [/quote]

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