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Understanding the basics of investing
Income and wealth are related, but it's a complicated relationship
A high income can lead to great wealth â although it doesn't always â but they're not the same thing. Earning money is only part of the equation. What you do with the money you earn has a profound impact on your wealth.Â
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The Difference Between Income and Wealth
- Income is earning money. Yes, it's the primary piece of wealth creation, but income itself is not wealth.
- Wealth is having money. If you have a lot of money, you are rich. If you don't have much money, you're poor.
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"In fact, the confidence of the people is worth more than money." ~ Carter G. Woodson
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