24/10/2016
Good day everyone. Are you wondering why the rich are getting richer? The broke or poor people are getting poorer? and the middle class seems to be shrinking?
This can be found in specific ways on how they spend their money.
Before we move further, i want to explain this five things so that you will understand me better :
1. INCOME : means money you make
2. EXPENSES : means money you spend
3. ASSETS : means something that pays you
4. LIABILITIES : means something that cost you
5. STUFF : means inexpensive things people buy that they dont need.
Let's go further:
a. who are broke or poor people and how do they spend their money : They are those who live from pay cheque to pay cheque but never have something in their pocket.
They dont educate themselves about assets and liabilities, all they believe in is income and expenses and they use thier money to buy STUFF thinking it cost little but over the years its all they ever have.
b.who are the middle class and how do they spend their money : They are the people society mistakenly think are rich but they are not.
Many of them appear rich but it is what they use their money to buy that keep them as the middle class.
They only buy LIABILITIES. Example let say he/she earn #1000000 per month, out of that he/she pays #250000 debt of last month. he/she also buy another car that cost #1500000. Logically he/she now have a liabilities of #750000 to pay next month.
Meaning : he/she will have to work hard the following month to pay the debt and that keep recycling till they old.
c.who are the rich people and how do they spend their money : They are the people that acquire something that brings money to them, they acquire something called assets that brings in passive income.
passive income means whether they work or not money will continue to flow in day after day, week after week, month after month and year after year.
in conclusion this passive income are online and offline. once you find them, you must be prepared for them and then act on them.
