Glossary
Liquid assets
Liquid assets are assets you can turn into usable cash quickly without a major price discount. Checking balances, savings, money market funds, and some brokerage holdings are liquid; homes, vehicles, collectibles, and locked retirement funds are less liquid even if they add to net worth.
Liquid assets matter because they show how much flexibility you have before selling long-term holdings or taking on debt. Cash in checking and savings is usually the most liquid. Money market funds, Treasury bills, and taxable brokerage holdings can also be liquid, although settlement times, taxes, and market volatility can change how usable they feel in practice.
Liquidity is different from total wealth. A household can have a strong net worth through home equity or retirement accounts and still feel cash-constrained if emergency funds are thin. That is why many planners separate liquid reserves from total assets when reviewing a financial dashboard.
In Nethaven, liquid assets can be viewed alongside budgets, upcoming subscriptions, savings goals, and debt payments. That helps answer a more practical question than net worth alone: whether current cash and near-cash balances can support the next few months without disrupting the rest of the plan.
Use this in Nethaven
This term connects directly to how people review money in the app. See portfolio tracking for the related workflow.
Explore Portfolio trackingRelated terms
Net worth
Net worth is the value of everything you own minus everything you owe. It combines cash, investments, property, vehicles, and other assets, then subtracts credit cards, loans, mortgages, and other liabilities so you can see the broad direction of your financial position.
Sinking fund
A sinking fund is money set aside gradually for a known future expense. Instead of treating car insurance, holiday travel, annual subscriptions, or home repairs as surprises, you save a smaller amount each month before the bill arrives.
Cash flow
Cash flow is the movement of money into and out of your accounts over a period of time. Positive cash flow means income exceeded spending; negative cash flow means spending, debt payments, transfers, or investments exceeded incoming money.