An asset that produces income.

It's crazy how people can make a lot of money and still become broke before they die. We have stories of some rich people who are circulating online and they have the same thing in common. They are all spending money on lifestyle and they don't play long-term with their money. The funniest part is that some of these people even have financial advisers but they fail to listen to them, they keep accumulating liabilities which later bankrupt them. Some of these people invest in an asset but not the one that brings about cash flow. They invest in things like wristwatches, diamonds, or gold and these are good assets but they are not cash flow.

Most of these people invest in assets that do not give them cash flow and they spend a lot of money daily, this makes them broke in the long run and they are forced to sell their assets before they reach full maturity because the money they are spending nothing is replacing it. They sell their asset just to get by in the meantime and within a few years, they have sold all their assets. They don't have assets that produce income and instead of them using the money that they gather from the assets they sell to buy cash flow assets for themselves, they keep sponsoring their lifestyle and keep paying for their liabilities.

An asset that produces income

People spend money, mostly only on the things that they fantasize about, most people focus on shiny things, buying things that make them feel important and this is because when they are broke they have long for it, when money comes, they want to satisfy their urge. One thing people fail to control is their want because it is unlimited, and if we can't control it and focus on things that truly matter we might not be able to maintain being rich. Sometimes to become rich is not hard but to be able to maintain it for the rest of your life is the hardest part, and the only way you can build wealth that will stand the test of time is by buying assets that produce income.

There is nothing bad in spending your hard-earned money, no matter how much you are frugal you will always have one or two liabilities, but life is easy when we don’t only depend on our salary or one stream of Income alone, Life is easy when we have assets that also give us income and this way It is easy for us to manage our lifestyle and  also provide many streams of income. This will not only help us to seize opportunities, It will also help us to become richer, and our wealth will be able to stand the test of time. This way we can build wealth without selling most of our assets because our assets are putting money in our pockets, the money is used to reinvest in assets again creating endless income.

Thanks for your time.

Posted Using InLeo Alpha