This blog is going to meliorate your understanding about money.
To anyone who wants to be a millionaire or a billionaire someday, you need to know the basics of what it takes to be where you want to be in the next five or ten years.
Let’s jump into what I have for you today.
That is, the four major, yet basic aspects of money: Income, Expenses, Assets and Liabilities.
This is the money gained after providing a service. Some people make a lot while others make pennies. How massive your income can be, depends on a few things.
- The value of the service or goods you’re rendering to people.
- The number of services you offer.
- The number of people who benefit from the service you render.
- You’ve got to pay attention to all or some of these factors If you really want to exponentially grow your income.
These are the things that sucks most of your income away. That doesn’t mean expenses are bad; some are worth paying for, due to the convenience it brings to our livelihood.
Tuition, healthcare, shelter, clothing, good food, potable water, electricity, books, some household appliances, and many more are all worth your money.
One important thing that needs to be done, is, to keep all expenses in check.
Here is why. Expenses can transcend your income; that is not a good financial place you want to be at.
I love this part so much. Do you want to know why?
Assets can exponentially grow your income, from 0-100%. I experienced this fact when I started my first business.
Definition for assets.
They’re the things money can be used for and with the right effort and skillsets applied, generates a ton of money in return over time.
Some assets you can start using your money for are Businesses, Investments, Self-improvement books, Technology, High-income skills and many more.
Here comes our final part…
I guess by now we all have an idea about what liabilities are.
If not… here is my definition.
Liabilities are things that take money out of your pocket and never ever brings back the money taken, but rather takes more than you expect.
I won’t point out some of the liabilities you need to be aware of… Instead, I want you to take some time to analyze everything we’ve talked about.
Secondly, list out the ones you’re struggling with.
Lastly, give me your answer in the comment box below to get direct support from me.
I appreciate your audience.