Include rental deposit in net worth?

When calculating your net worth, do you include your rental deposit?

I tend rather not to, as it’s money not readily available to me.

I think you should, it’s part of your net worth… i consider it as a bond allocation

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Agreed. Net worth isn’t limited to liquidity, cash or money readily available.


I do, I count it as illiquid cash. It’s still my money, I just can’t tap it now. I could tap some of it if I moved into a cheaper appartment, or all of it by buying a home or using insurance rather than deposit.

In the grand scheme of things, except at the very start of the path, it’s probably a tiny part of your net worth so it doesn’t move the needle either way.

Edit: the tax office also counts it as part of our assets for wealth tax purposes.


I include it, but as @Wolverine said, it’s only a tiny fraction of net worth.

I always use AXA rental deposit insurance. 3.8%/year and my money isn’t locked and can be invested.

If I had a rental deposit, I would include it in my net worth.

I include it as well, along with a Mobility ‘Genossenschaft’ Share of 1’000 CHF.

There is a good chance that I will have some money like that locked away for the rest of my life, as consequence of a certain lifestyle. But it is mine and belongs on the list. If nothing else it makes a good list for the spouse or heirs if something would happen to me and they need to find all the caches I squirreled away.

A (very) vaguely related topic: How should a home owner account for the increasing market value of his house? If he/she intends to live in it in retirement as well, the house value remains locked away in return for the benefit of living in it. The cash will only become accessible to the heirs or if one moves into a retirement home. I’m obviously not a home owner, and at this magnitude of value there will be ways of benefitting through mortgages or other secured loans.

could be exactly my words :slight_smile:
so yes - include it (even if not realy relevant for your FIRE-Goal)

I’ve never taught to include it as I can’t do anything with this money and because it will end it in another account if I moved to another appartment, unless I’ve bought my house.


I include it in my net worth, since it’s my money, and possible damages will be paid for by my personal liability insurance. Unfortunately my landlord uses a bank which pays zero interest on security deposit accounts.

technically, you should include deposits under illiquid assets but personnally I don’t track it because it’s just 1.5k, which is not relevant for me. Same for household goods, watches, electronics and other “stuff” I need for living - could be listed as assets, but are not really relevant for my NW tracker.

the prevailing practice in this board is to use the newest property valuation you have, less the mortage value. Once you receive an updated property valuation you can then linearly backdate the increase (or decearse) since the last valuation.

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Property valuation for the tax purposes or bank’s one?

I would say the bank’s one, since this should be closer to the realistic market value.

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The landlord can’t legally force you to work with their bank, though they can find another excuse to refuse to rent to you if you bring up the point and it’s probably not worth the hassle and potential tougher relationship already at the start of the lease to try and impose your own bank anyway (simply suggesting it while being ready to back off shouldn’t hurt the relationship).

Does anybody get a meaningful interest rate on such an account? My bank pays 0.01% at the moment :frowning:


I believe Zuger Kantonalbank has something very close to 0% and charges us some account fees, so we are already down 5.- from opening the account 18 months ago…

I would look at having 0 CHF fees these days, not some interest. For instance, I got some interest with BCF over 3 years, maybe 10 CHF, but then they had something like a 30 CHF closing fee when I got back the money. So, I would have been better off with no interest and no fees.


Ah yes…welcome to the club. No interest and about 3 CHF to send the statement every year.

I do count the deposit in my NW because it’s over 10k.

I do include it in my net worth as I am hoping to become house owner in the future and get that money back. For those who will rent till the end of their life, the money should be given to the heirs and thus follow the path of the rest of the net worth remaining… So why not include it?

If there is reason to think that some part or the whole deposit could be withheld by the landlord upon termination of the lease contract, you could include the part of the amount accordingly.

A friend made a deal with the landlord who happens to be a distant family member to have the money invested in funds. Maybe one idea to have in mind when renting directly from the owner?

Small regional banks tend to have higher interest rates and no fees. Unfortunately you generally don’t have a say in which bank is used, as a renter.

The big banks all have little or no interest, as shown here: