Generate assets

A liability takes money out of your pocket.

An asset increases the value of your money.

The cash flow patterns of poor, middle-class, and rich people differ based on their assets and liabilities.

Income Sheet:

Income: Money earned from various sources.

Expenses: Mone...

Your net worth gives an overview of your financial situation at this point. It is the difference between what you own and what you owe.

Your net worth is positive if your assets exceed your liabilities.

A negative net worth is when your liabilities are greater than your assets....

Once you've acquired some wealth, you want to protect that from external factors.

You want to keep your assets safe from legal institutions and ensure you don't pay more tax than required. You will have lawyers and accountants to take care of these items.