Enter the total assets and total liabilities into the calculator to determine the total equity.

## Total Equity Formula

The following formula can be used to calculate a total equity.

TE = A - L

- Where TE is the total equity ($)
- A is the total assets ($)
- L is the total liabilities ($)

To calculate total equity, subtract the total liabilities from the total assets.

## Total Equity Definition

Total equity is defined as the difference between the total assets value and the total liabilities value.

## Total Equity Example

How to calculate total equity?

**First, determine the total assets.**Measure the total assets value.

**Next, determine the total liabilities.**Calculate the value of all liabilities.

**Finally, calculate the total equity.**Calculate the total equity using the formula above.

## FAQ

**What is total equity?**

Total equity is the total monetary value a business owns after all liabilities are taken into account.