Do You Earn to Spend?
There is an old saying in Economy that, “Everyone earn to spend and when you need to spend more, you need to earn more.”
Weather you will become rich or struggle financially over the time will depend on where do you spend? Rich people or people on the path of becoming rich mainly spend their money behind buying Assets such as Stocks, bonds, gold, mutual funds, real estate…etc.. While people who spend their money today behind luxurious and high status items will struggle financially in the future.
When it comes to spending money, most of the people will think about buying luxurious cars, expensive clothes, branded watches and electronics. But I ask you that, Have you ever think of shopping around for Assets such as Stocks, Bonds, Mutual Funds & Businesses?
Have you ever spend time behind finding cheap and bargain Investments? NO. And that’s why most of the people in this world struggle financially. They earn to spend only. They want to spend behind those things which will depreciate in its price over the time. And not only this but as long as they hold those high status liabilities, these things will make them expenses of various kinds.
What I want to teach you here is that, understand the 2 basic types of expenses. One is a Good Expense and the other is a bad expense. Any Asset producing expense is the good expense while any liability producing expense is a bad expense.
Rich people always do a good expense. They always acquire assets out of their money and thus over the time they get richer while poor and middle class people do bad expenses and that’s why they struggle financially.
There is an old saying in Economy that, “Everyone earn to spend and when you need to spend more, you need to earn more.”
Weather you will become rich or struggle financially over the time will depend on where do you spend? Rich people or people on the path of becoming rich mainly spend their money behind buying Assets such as Stocks, bonds, gold, mutual funds, real estate…etc.. While people who spend their money today behind luxurious and high status items will struggle financially in the future.
When it comes to spending money, most of the people will think about buying luxurious cars, expensive clothes, branded watches and electronics. But I ask you that, Have you ever think of shopping around for Assets such as Stocks, Bonds, Mutual Funds & Businesses?
Have you ever spend time behind finding cheap and bargain Investments? NO. And that’s why most of the people in this world struggle financially. They earn to spend only. They want to spend behind those things which will depreciate in its price over the time. And not only this but as long as they hold those high status liabilities, these things will make them expenses of various kinds.
What I want to teach you here is that, understand the 2 basic types of expenses. One is a Good Expense and the other is a bad expense. Any Asset producing expense is the good expense while any liability producing expense is a bad expense.
Rich people always do a good expense. They always acquire assets out of their money and thus over the time they get richer while poor and middle class people do bad expenses and that’s why they struggle financially.
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