Assets VS Liabilities

Assets VS Liabilities

Robert Kiyosaki the author the one of the one of the New York Times Best Sellers which was entitled ‘Rich Dad, Poor Dad’ was often criticized for this belief that your house is a liability.

He stated – “your house is a liability because it doesn’t generate income for you.”  Robert adds “All your house does is make you spend money, on repairs, your mortgage, taxes etc.”

We are not debating if owning a house is better than renting?  No – but we bet you wouldn’t like Grant Cardone’s take on it.  GC is another big real estate mogul who says that owning on a home is a trap.

GC says “Owning a home is a trap because it limits your mobility.  In this day & age we need to be able to move in & out of different places to survive.”  Grant further states that you should:

Rent where you live, own where you rent

In a nutshell you should rent your home where you live, and own rental properties where you can rent them out.

Assets produce Income

As hinted in our previous post ‘to define success‘ assets are by definition income producing properties.  I agree with Robert Kiyosaki in that your house is a not an asset.  Rather your house is a liability because it costs you money.   Continue reading Assets VS Liabilities

Define Success

To Achieve, First Define

To achieve, you must first define.  In this case we are referring to success.  In Wikipedia success is defined as:

 

  • Attainment of higher social status
  • Achievement of a goal such as academic success
  • The opposite of failure (that stings!)

 

We define success similarly. Success to us is our duty, obligation, and need as a human being.  Success is the driver behind anything great.  Success to your life because it brings more than just security.  It brings fame, honor, and religion to lives.

 

Religion

Religion is the most powerful substance besides success.  Faith itself cannot be questioned.  The power that lies behind faith is unshakable.  We all know that praying won’t bring you any closer to success.  Channeling that faith into your mindset as we’ll be talking about in later posts is essential to delivering you from failure into the arms of success.

Failure

Failure has such a heavy spell on those it infects.  After failing, people often stop trying.  Failure is part of the process; in fact it is the most essential part of the process.  Failure is good because it limits the amount of success that is available.  If getting a Benz was a piece of cake then we definitely wouldn’t feature it in our cars post.

Achievement

Achievement is the most important part of success.  The achievement that we’re talking about is residual income.  True success is only gained when you can take the income produced by your assets and pay for all your liabilities + a Mercedes Benz.

Assets

Assets are defined as anything that makes you money.  You may have heard this line from Robert Kiyosaki the author of Rich Dad Poor dad, a New York Times best seller.

Your home is not an asset, it is a liability

You know why that is?  Because your home doesn’t create you money.  Your home costs you money to maintain, repair and keep.  We agree with the fact that owning a home and putting $$ Continue reading Define Success

The Pinnacle of Life